GOL weathers Brazilian turmoil, posts Q1 net profit

GOL reported BRL757.1m (US$208.4m) Q1 2016 net profit, reversing its Q1 2015 BRL672.7m net loss. However, in its quarterly results release GOL noted an appreciation of the Brazilian real against the US dollar of BRL$653.5m. Excluding the exchange rate variations and a non-recurring event (BRL212.6m in profit for the return of sub-leased aircraft and on sale-leaseback transactions), GOL reported a Q1 2016 net loss, before income taxes, of BRL42.7m. “[Our results] reflect the adoption of measures to enhance the company’s liquidity position and bring its capital structure in line with Brazil’s macroeconomic environment, which has been negatively impacted by political instability and consequent economic volatility,” GOL CE Paulo Kakinoff said, adding the company has initiated measures “to overcome the recessionary environment.” <br/>