Volaris ‘well-positioned’ for a successful summer travel season

Ultra-low-cost carrier Volaris anticipates lower coronavirus infections and ongoing strong demand for leisure travel to Mexico will make for a successful summer season. “2022 started with sharply rising fuel prices and a new surge in Covid cases,” the airline’s chief executive Enrique Beltranena says on 27 April. “Strong demand trends remained, however, and we are observing less and less of a disruption in demand from new Covid cases and customers recognizing Volaris’ reliability.” That increased demand allowed Volaris to raise prices in order to offset the rising fuel prices. The Mexico-City-based carrier reports an 80% increase in revenue during the first quarter of 2022, to $567m. In the same three months last year the company had reported $315m in total revenue. However, operating expenses also rose 70% to $598m from $351m, leaving Volaris with a net loss of $49m for the quarter. Volaris transported 7m passengers during the quarter, 64% more than last year. Total capacity in terms of available seat miles (ASMs) increased 50%, the airline says. Its load factor rose to 83.5%, more than five percentage points higher than during the first quarter of 2021.<br/>