Azul S.a. · BMFBOVESPA:AZUL3
Azul — Q1 2021 Earnings Presentation
15 slides from Azul's earnings presentation, May 6, 2021
Slide 1: First quarter 2021 highlights
[1] Operating revenue was adjusted for non-recurring items related to the COVID-19 pandemic totaling R$49.1 million in 4Q20. ² Operating expenses were adjusted for non-recurring items totaling R$31.8 million in 1Q21, R$14.8 million in 1Q20 and R$94.1 million in 4Q20. For more information, see page 1
Slide 2: Financial summary and footnotes
¹ Adjusted for non-recurring items totaling R$31.8 million in 1Q21, R$143.2 million in 4Q20 and R$14.8 million in 1Q20. For more information, see page 10. ² Financial results adjusted for convertible debentures expenses. ³ EPS and EPADR adjusted for unrealized derivatives results, foreign currency e
Slide 3: Operating Revenue
¹ Adjusted for non-recurring items Operating Revenue In 1Q21, Azul recorded operating revenues of R$1.8 billion, compared to R$2.8 billion in 1Q20, representing a decrease of 34.9% year over year, due to the reduction in 23.0% in capacity and 15.4% in RASK driven by the COVID-19 pandemic. Passenger
Slide 4: Operating Expenses
¹ Operating revenue adjusted for non-recurring items totaling R$49.1 million in 4Q20 ² Operating expenses adjusted for non-recurring items totaling R$31.8 million in 1Q21, R$94.1 million in 4Q20 and R$14.8 million 1Q20. For more information, see page 10. Operating Expenses Total operating expenses d
Slide 5: Total debt increased 11.0% to R$19.4 billion
Total debt increased 11.0% to R$19.4 billion compared to December 31, 2020, mostly due to the 9.6% end of period depreciation of the Brazilian real and the postponement of lease payments in the quarter.
Slide 6: Leases and debt information
¹ Considers the effect of hedges on debt, excludes convertible debentures given strike price considerably higher than current stock price. The table below presents additional information related to our leases as of March 31, 2021:
Slide 7: Azul's key financial ratios and debt maturity
Azul’s key financial ratios and debt maturity are presented below:
Slide 8: Fleet and Capital Expenditures
Fleet and Capital Expenditures As of March 31, 2021, Azul had a total passenger operating fleet of 159 aircraft and a passenger contractual fleet of 178 aircraft, with an average aircraft age of 7.8 years. Excluding 14 Cessna aircraft, the average aircraft age is 6.3. At the end of 1Q21, the 19 airc
Slide 9: Aircraft fleet footnote
¹ Includes 14 aircraft subleased.
Slide 10: Passenger Operating Fleet
Passenger Operating Fleet Aircraft Jose a Cet Airbus widebody Airbus narrowbody 45 Embraer E2 9 Embraer E1 48 ATRS 33 Cessna 13 Total 4159 0.0% 28.6% 2.0% 0.0% 0.0% 0.6% “om 71% 80.0% 0.0% 0.0% na. 15.2%
Slide 11: Capital expenditures (R$ million)
{RS million) ‘Aircraft related 4172 ara 34.7% ‘Maintenance and checks 38.3 68.4 44.0% Pre-delivery payments a 193 100.0% Other 208 478 58.5% Intangible Assets 416 262 58.6% CAPEX 2179 248.8 ADA ‘Acquisition of Azul Conecta 200 - na 278 288 aa% TOTAL
Slide 12: 1Q21 Non-recurring adjustments
1021 Non-recurring adjustments Revenue Operating expenses, Other operating expenses, Operating income Operating Margin EBITDA, EBITDA Margin ‘Adjustment Adjusted 18258 2071.8 299.9 (245.9) 13.5% 97.8 5.4% (61.8) 18) 31.8 +17 pp. 31.8 +17 pp. 1,825.8 2,039.9 268.0 (214.1) 14.7% 129.7 11%
Slide 13: Fleet footnote: excludes Cessna aircraft
. ¹ Excludes Cessna aircraft.
Slide 14: Balance sheet (R$ million)
(R$ milion) Assets Current assets ‘Cash and cash equivalents, Short-term investments ‘Trade and other receivables ‘Sublease receivables Inventories Security deposits and maintenance reserves ‘Assets held for sale Taxes recoverable Derivative financial instruments Prepaid expenses Other current asset
Slide 15: Cash flow statement (R$ million)
(R$ million) Cash flows from operating activities [Net loss for the period Total non-cash adjustments Depreciation and amortization Unrealized derivatives Exchange (gain) and losses in foreign currency Interest expenses on assets and labiities, Related parties Deferred income tax and social contribu