Controladora Vuela Compania de Aviacion, S.A.B. de C.V. (VLRS) Q4 2024 Earnings Call Transcript

For the period ending December 31, 2024

February 24, 2025 11:00 a.m. ET

Prepared Remarks

Questions and Answers

Call Participants

Prepared Remarks:

Operator

Good morning, everyone. Thank you for standing by. Welcome to the Volaris Fourth Quarter and Full 2024 Financial Results Conference Call. All lines are in a listen-only mode. Following the company's presentation, we will open the call for your questions. Please note that we are recording this event. This event is also being broadcast live via a webcast and can be accessed through the Volaris website.

At this point, I would like to turn the call over to Ricardo Martinez, Investor Relations Director. Please go ahead, Ricardo.

Ricardo Martinez

Good morning and thank you for joining the call. With us is our President and CEO, Enrique Beltranena; our Airline Executive Vice President, Holger Blankenstein; and our Chief Financial Officer, Jaime Pous. They will be discussing the company's results. Afterwards, we will move on to your questions. Please note that this call is for investors and analysts only.

Before we begin, please remember that this call may include forward-looking statements within the meaning of applicable securities laws. Forward-looking statements are subject to several factors that could cause the company's results to differ materially from expectations. As described in the company's filings with the United States SEC and Mexico's CNBV.

These statements speak only as of the date they are made and Volaris undertakes no obligation to update or modify any forward-looking statements. As in our earnings press release, our numbers are in US dollars compared to the fourth quarter of 2023 unless otherwise noted.

And with that, I will turn the call over to Enrique.

Enrique Javier Beltranena Mejicano

Thank you very much, Ricardo. 2024 was a remarkable year for Volaris. Despite continuous adversity from GTF engine inspections and aircraft groundings, we generated some of our best top and bottom-line results.

Thanks to the work of our management team and ambassadors, we posted a net profit each quarter and generated a full-year EBITDAR margin of 36%. There are several key updates that Holger, Jaime, and myself will share with you today about Volaris, the advancement of our strategy and our outlook.

But first, I would like to reflect on where we stood in January of last year, following two mandatory early inspections affecting more than half of our fleet engines. At that point, we had already secured over 1.9 million future bookings, yet we faced a more than 30% reduction in our productive fleet.