17-May-2010 3:29 PM

TAM revenue down 0.5%, unit revenue down in 1Q2010

TAM revenue down 0.5% - financial highlights for he three months ended 31-Mar-2010:

  • Operating revenue: USD1,446 million*, -0.5% year-on-year;
  • Total operating costs: USD1,393 million, +0.9%;
    • Fuel: USD441.4 million, +14.3%;
    • Labour: USD295.4 million, +2.0%;
  • EBIT: USD53.5 million, -26.8%;
  • Operating profit: USD47.7 million, +24.1%;
  • EBITDA: USD142.7 million, -15.2%;
  • Passenger numbers: 8.3 million, +13.2%;
  • Load factor: 72.1%, +5.0 ppts;
  • Breakeven load factor: 69.4%, +5.7 ppts;
  • Total revenue per ASK: USD 8.50 cents, -5.7%;
    • Domestic scheduled: USD 7.11 cents, -8.9%;
    • International scheduled: USD 6.89 cents, -0.2%;
  • Total yield: USD 12.27 cents, -11.8%;
    • Domestic scheduled: USD 10.94 cents, -16.5%;
    • International scheduled: USD 9.00 cents, -6.7%;
  • Cost per ASK: USD 8.22 cents, -4.3%;
  • Cost per ASK excl fuel: USD 5.61 cents, -9.3%;
  • FY2010 Guidance:
    • Capacity (ASKs): +12%;
      • Domestic: +14%;
      • International: +8%;
    • Load factor: 69%;
      • Domestic: 66%;
      • International: 75%;
    • Cost per ASK excl fuel: -6%. [more]

*Based on the conversion rate at USD1 = BRL1.8005

TAM: “On March 31, 2010 we presented our estimates for 2010. Despite the growth in demand in the domestic market of 32% from January to April, we still believe in a growth from 14% to 18% on the average of 2010 against the previous year. We are growing below our estimates on supply side, and the increase will come from a combination of the arrival of new aircraft and the increase in aircraft utilization. In the domestic market we have already received three A319 aircraft and until the end of the year we will receive one more A319, three A320 and two A321. In the international market, the supply increase will come with the arrival of two new A330 by the beginning of June, which will be used to fulfill our plan of two new international flights or destinations. So far, we are operating with load factor above our estimates, reminding that January and February are months historically with higher load factors. Our CASK excluding fuel expenses is 9% below the first quarter of 2009. Up to now, the assumptions used are consistent with our estimates,” Company statement. Source: TAM, 15-May-2010.

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