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Volaris Reports January 2025 Traffic Results: Load Factor of 87%

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Volaris (NYSE: VLRS) has released its January 2025 traffic results, showing mixed performance. The airline's ASM capacity increased by 4.7% year-over-year, while RPMs grew by 2.9%. The company transported 2.6 million passengers, with domestic RPMs rising 0.9% and international RPMs increasing by 5.9%. However, the load factor decreased by 1.5 percentage points to 86.6%.

The company noted softness in VFR traffic to the U.S. due to geopolitical uncertainty, leading to fare adjustments to maintain healthy load factors. For 2025, Volaris plans to grow total ASMs by 13-15% compared to 2024. However, overall capacity will remain relatively flat compared to 2023 due to Pratt & Whitney engine-related AOGs, with domestic capacity in Mexico expected to be 11% below 2023 levels, while international capacity is projected to be up 20%.

Volaris (NYSE: VLRS) ha pubblicato i risultati del traffico di gennaio 2025, mostrando prestazioni miste. La capacità ASM della compagnia aerea è aumentata del 4,7% rispetto all'anno precedente, mentre i RPM sono cresciuti del 2,9%. L'azienda ha trasportato 2,6 milioni di passeggeri, con un aumento dei RPM nazionali dello 0,9% e un incremento dei RPM internazionali del 5,9%. Tuttavia, il fattore di carico è diminuito di 1,5 punti percentuali, scendendo all'86,6%.

L'azienda ha notato un calo nel traffico VFR verso gli Stati Uniti a causa dell'incertezza geopolitica, il che ha portato a aggiustamenti delle tariffe per mantenere fattori di carico sani. Per il 2025, Volaris prevede di crescere il totale degli ASMs del 13-15% rispetto al 2024. Tuttavia, la capacità totale rimarrà relativamente stabile rispetto al 2023 a causa dei problemi di AOG legati ai motori Pratt & Whitney, con la capacità domestica in Messico attesa l'11% sotto i livelli del 2023, mentre la capacità internazionale dovrebbe aumentare del 20%.

Volaris (NYSE: VLRS) ha publicado sus resultados de tráfico de enero de 2025, mostrando un rendimiento mixto. La capacidad ASM de la aerolínea aumentó un 4.7% en comparación con el año anterior, mientras que los RPM crecieron un 2.9%. La compañía transportó a 2.6 millones de pasajeros, con un aumento de los RPM nacionales del 0.9% y un incremento de los RPM internacionales del 5.9%. Sin embargo, el factor de ocupación disminuyó 1.5 puntos porcentuales al 86.6%.

La empresa notó una debilidad en el tráfico VFR hacia EE. UU. debido a la incertidumbre geopolítica, lo que llevó a ajustes en las tarifas para mantener factores de carga saludables. Para 2025, Volaris planea aumentar su total de ASMs en un 13-15% en comparación con 2024. Sin embargo, la capacidad total se mantendrá relativamente plana en comparación con 2023 debido a los AOGs relacionados con los motores Pratt & Whitney, con la capacidad doméstica en México esperada un 11% por debajo de los niveles de 2023, mientras que se proyecta que la capacidad internacional aumente un 20%.

볼라리스 (NYSE: VLRS)는 2025년 1월의 교통 실적을 발표하며 혼합된 성과를 보였습니다. 항공사의 ASM 용량은 전년 대비 4.7% 증가했으며, RPM은 2.9% 증가했습니다. 회사는 260만 명의 승객을 수송했으며, 국내 RPM은 0.9% 상승하고 국제 RPM은 5.9% 증가했습니다. 그러나 적재계수는 1.5%포인트 감소하여 86.6%에 이르렀습니다.

회사는 지정학적 불확실성으로 인해 미국으로의 VFR(방문 친구 및 친척) 교통이 약해졌다고 언급하며, 건강한 적재계수를 유지하기 위해 요금을 조정했습니다. 2025년을 위해 볼라리스는 2024년 대비 ASM 총량을 13-15% 성장시킬 계획입니다. 그러나 전체 용량은 Pratt & Whitney 엔진 관련 AOG로 인해 2023년과 비교할 때 상대적으로 평탄하게 유지될 것이며, 멕시코의 국내 용량은 2023년 대비 11% 낮을 것으로 예상되며, 국제 용량은 20% 증가할 것으로 예상됩니다.

Volaris (NYSE: VLRS) a publié ses résultats de trafic de janvier 2025, montrant des performances mitigées. La capacité ASM de la compagnie aérienne a augmenté de 4,7 % par rapport à l'année précédente, tandis que les RPM ont cru de 2,9 %. L'entreprise a transporté 2,6 millions de passagers, avec une hausse de 0,9 % pour les RPM domestiques et une augmentation de 5,9 % pour les RPM internationaux. Cependant, le taux de chargement a diminué de 1,5 point de pourcentage, atteignant 86,6 %.

L'entreprise a noté une faiblesse dans le trafic VFR vers les États-Unis en raison de l'incertitude géopolitique, ce qui a conduit à des ajustements tarifaires pour maintenir des taux de chargement sains. Pour 2025, Volaris prévoit d'accroître l'ensemble des ASMs de 13 à 15 % par rapport à 2024. Cependant, la capacité totale restera relativement stable par rapport à 2023 en raison des AOG liés aux moteurs Pratt & Whitney, la capacité domestique au Mexique étant attendue à 11 % en dessous des niveaux de 2023, tandis que la capacité internationale devrait augmenter de 20 %.

Volaris (NYSE: VLRS) hat die Verkehrsresultate für Januar 2025 veröffentlicht, die gemischte Leistungen zeigen. Die ASM-Kapazität der Fluggesellschaft stieg im Vergleich zum Vorjahr um 4,7%, während die RPM um 2,9% zunahmen. Das Unternehmen beförderte 2,6 Millionen Passagiere, wobei die nationalen RPM um 0,9% und die internationalen RPM um 5,9% stiegen. Der Auslastungsfaktor hingegen sank um 1,5 Prozentpunkte auf 86,6%.

Das Unternehmen stellte eine Schwäche im VFR-Verkehr in die USA fest, die auf geopolitische Unsicherheiten zurückzuführen ist, was zu Anpassungen der Tarife führte, um gesunde Auslastungsfaktoren aufrechtzuerhalten. Für 2025 plant Volaris, die Gesamt-ASMs im Vergleich zu 2024 um 13-15% zu steigern. Die Gesamtkapazität wird jedoch im Vergleich zu 2023 aufgrund von AOGs im Zusammenhang mit Pratt & Whitney-Triebwerken relativ stabil bleiben, wobei die nationale Kapazität in Mexiko voraussichtlich 11% unter dem Niveau von 2023 liegen wird, während die internationale Kapazität um 20% steigen soll.

Positive
  • Total passenger traffic increased 4.3% YoY to 2.6 million passengers
  • International RPMs grew 5.9% YoY
  • Planned ASM growth of 13-15% for 2025 compared to 2024
Negative
  • Load factor decreased 1.5 percentage points YoY to 86.6%
  • Domestic RPMs showed weak growth of only 0.9% YoY
  • Softness in U.S. VFR traffic requiring fare adjustments
  • Continued impact from Pratt & Whitney engine-related AOGs affecting capacity

Insights

The January 2025 traffic results reveal important strategic shifts and challenges for Volaris. The 86.6% load factor, while still healthy for the industry, represents a concerning trend as capacity growth (4.7%) outpaces demand (2.9%). This mismatch typically pressures yields and unit revenues, particularly when combined with the disclosed fare adjustments to stimulate demand.

The divergence between international and domestic performance is particularly noteworthy. International RPM growth of 5.9% versus domestic at 0.9% reflects a strategic pivot, with management planning to maintain domestic capacity 11% below 2023 levels while expanding international capacity by 20%. This reallocation appears prudent given stronger international demand, though it may increase exposure to currency and competitive risks.

The planned 13-15% ASM growth for 2025 warrants scrutiny. While ambitious, this expansion faces three key challenges:

  • Ongoing Pratt & Whitney engine-related AOGs constraining fleet availability
  • Softening VFR traffic in key U.S. markets
  • The need to maintain yield discipline in a capacity-heavy environment

The management's acknowledgment of temporary market softness and willingness to adjust network capacity demonstrates operational flexibility, but investors should monitor whether these adjustments can effectively protect unit revenues without sacrificing market share in key routes.

MEXICO CITY, Feb. 06, 2025 (GLOBE NEWSWIRE) -- Controladora Vuela Compañía de Aviación, S.A.B. de C.V. (NYSE: VLRS and BMV: VOLAR) (“Volaris” or “the Company”), the ultra-low-cost carrier (ULCC) serving Mexico, the United States, Central and South America, reports its January 2025 preliminary traffic results.

In January, Volaris’ ASM capacity increased by 4.7% year-over-year, while RPMs for the month grew by 2.9%. Mexican domestic RPMs rose 0.9%, while international RPMs increased by 5.9%. As a result, the load factor decreased by 1.5 percentage points year-over-year to 86.6%. During the month, Volaris transported 2.6 million passengers.

Enrique Beltranena, Volaris’ President and CEO, said: “In the second half of January, we observed some softness in VFR traffic to the U.S. that we believe is influenced by geopolitical uncertainty. To manage this, we adjusted base fares to stimulate demand and deliver healthy load factors. It is our expectation this is a temporary market condition, but we will continue to monitor demand patterns closely and will adjust the network accordingly.

For the full year 2025, Volaris currently plans to grow total ASMs by 13% to 15% as compared to 2024, with this expansion evenly distributed across the network. Despite this year-over-year growth, our overall capacity will be relatively flat as compared to 2023 as we recover from the Pratt & Whitney engine-related AOGs; with domestic capacity in Mexico around 11% below 2023 levels, proportional to expected demand, and international capacity, where demand has been strong, up approximately 20% as compared to 2023.”  

 January
2025
January
2024
Variance
RPMs (million, scheduled & charter)   
Domestic1,558 1,544 0.9% 
International1,107 1,045 5.9% 
Total2,665 2,590 2.9% 
ASMs (million, scheduled & charter)   
Domestic1,775 1,722 3.0% 
International1,304 1,219 6.9% 
Total3,078 2,941 4.7% 
Load Factor (%, RPMs/ASMs)    
Domestic87.8% 89.7% (1.9) pp 
International84.9% 85.7% (0.9) pp 
Total86.6% 88.0% (1.5) pp 
Passengers (thousand, scheduled & charter)   
Domestic1,833 1,772 3.5% 
International764 719 6.2% 
Total2,597 2,491 4.3% 
       

The information included in this report has not been audited and does not provide information on the Company’s future performance. Volaris’ future performance depends on several factors. It cannot be inferred that any period’s performance or its comparison year-over-year will indicate a similar performance in the future. Figures are rounded for convenience purposes.

Glossary

Revenue passenger miles (RPMs): Number of seats booked by passengers multiplied by the number of miles flown.

Available seat miles (ASMs): Number of seats available for passengers multiplied by the number of miles flown.

Load factor: RPMs divided by ASMs and expressed as a percentage.

Passengers: The total number of passengers booked on all flight segments.

Investor Relations Contact
Ricardo Martínez / ir@volaris.com

Media Contact
Israel Álvarez / ialvarez@gcya.net

About Volaris
*Controladora Vuela Compañía de Aviación, S.A.B. de C.V. (“Volaris” or “the Company”) (NYSE: VLRS and BMV: VOLAR) is an ultra-low-cost carrier, with point-to-point operations, serving Mexico, the United States, Central, and South America. Volaris offers low base fares to build its market, providing quality service and extensive customer choice. Since the beginning of operations in March 2006, Volaris has increased its routes from 5 to more than 222 and its fleet from 4 to 145 aircraft. Volaris offers more than 450 daily flight segments on routes that connect 44 cities in Mexico and 29 cities in the United States, Central, and South America, with one of the youngest fleets in Mexico. Volaris targets passengers who are visiting friends and relatives, cost-conscious business and leisure travelers in Mexico, the United States, Central, and South America. Volaris has received the ESR Award for Social Corporate Responsibility for fifteen consecutive years. For more information, please visit ir.volaris.com. Volaris routinely posts information that may be important to investors on its investor relations website. The Company encourages investors and potential investors to consult the Volaris website regularly for important information about Volaris.


FAQ

What was Volaris (VLRS) load factor in January 2025?

Volaris reported a load factor of 86.6% in January 2025, which was a decrease of 1.5 percentage points compared to January 2024.

How many passengers did Volaris (VLRS) transport in January 2025?

Volaris transported 2.6 million passengers in January 2025, representing a 4.3% increase from January 2024.

What is Volaris' (VLRS) capacity growth target for 2025?

Volaris plans to grow total ASMs by 13% to 15% in 2025 compared to 2024, with expansion evenly distributed across the network.

How did Volaris' (VLRS) international traffic perform in January 2025?

Volaris' international RPMs increased by 5.9% year-over-year in January 2025, with international passenger traffic growing by 6.2%.

What impact are the Pratt & Whitney engine issues having on Volaris (VLRS) capacity?

Due to Pratt & Whitney engine-related AOGs, Volaris' overall capacity will remain flat compared to 2023, with domestic capacity in Mexico about 11% below 2023 levels.

Controladora Vuela Compania de Aviacion, S.A.B. de C.V.

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