Aeromexico Reports 3Q17 Results

Editor -

Grupo Aeromexico S.A.B. de C.V. ("Aeromexico") (BMV: AEROMEX), today reported its unaudited consolidated results for the third quarter 2017 (3Q17).

KEY FINANCIAL HIGHLIGHTS FOR THE THIRD QUARTER 2017

  • Grupo Aeromexico's third quarter 2017 revenue reached $15.9 billion pesos, a 10.1% year on-year increase.
  • CASK in pesos decreased by 2.3%, year-on-year, while CASK excluding fuel in pesos decreased by 4.1%, year-on-year, highlighting Grupo Aeromexico´s ongoing focus on optimizing unit costs.
  • Grupo Aeromexico reported an operating profit of $1.3 billion pesos, with an operating margin of 8.2%. This result represents the 30th consecutive quarter of positive EBIT results.
  • Third quarter EBITDAR reached $4.1 billion pesos with a margin of 26.0%.
  • Aeromexico reported a net profit of $339 million pesos for the third quarter 2017. - During the quarter the company registered a negative foreign exchange impact of $54 million pesos.
  • These financial results include the negative impact of several natural disasters that affected operations, including the September 7 and 19 earthquakes. These natural disasters adversely impacted operating profit by approximately $250 million pesos.
  • Grupo Aeromexico´s revenue reached $44.6 billion pesos for the first nine months of 2017, a 14.8% increase compared to the same period of 2016. EBITDAR reached $11.1 billion pesos, a 10.0% year-on-year increase, equating to 24.8% EBITDAR margin
  • During the first nine months of 2017, Grupo Aeromexico reported operating profit of $2.3 billion pesos with an operating margin of 5.2%.
  • Third quarter 2017 cash flow generation remained strong with $1.0 billion pesos in incremental net cash flow generated from operating activities. Aeromexico's cash position as of September 30, 2017 was $10.0 billion pesos. This brings Grupo Aeromexico's cash to last-twelve-month revenue ratio to 16.7%.
  • During the quarter, the Company incorporated net three aircraft into its fleet under operating lease agreements. As of September 30, 2017 Grupo Aeromexico's operating fleet comprised 126 aircraft.

All figures are expressed in millions of pesos unless otherwise indicated. Grupo Aeromexico's financial statements are prepared in accordance with International Financial Reporting Standards (IFRS).

The International Accounting Standard 1 (IAS 1) "Presentation of Financial Statements" establishes that in the Consolidated Statement of Comprehensive Income additional items, headings and subtotals can be presented when they are relevant to understanding the financial performance of the entity.

To access the full text of this earnings release, please visit Aeromexico's Investor Relations website at: https://aeromexico.com/en-us/investors.