Copa Holdings SA【CPA】株式ニュース

Copa Holdings Reports Net Income of $136.5 million and EPS of $3.22 for the First Quarter of 2018

Source: PR Newswire (US)
PANAMA CITY, May 9, 2018 /PRNewswire/ -- Copa Holdings, S.A. (NYSE: CPA), today announced financial results for the first quarter of 2018 (1Q18). The terms "Copa Holdings" and "the Company" refer to the consolidated entity. The following financial information, unless otherwise indicated, is presented in accordance with International Financial Reporting Standards (IFRS). See the accompanying reconciliation of non-IFRS financial information to IFRS financial information included in the financial tables section of this earnings release. Unless otherwise stated, all comparisons with prior periods refer to the first quarter of 2017 (1Q17).

OPERATING AND FINANCIAL HIGHLIGHTS

Copa Holdings reported net income of US$136.5 million for 1Q18 or earnings per share (EPS) of US$3.22, as compared to net income of US$101.0 million or earnings per share of US$2.38 in 1Q17.
Operating income for 1Q18 came in at US$143.4 million, representing a 23.4% increase over operating income of US$116.2 million in 1Q17, as a result of a 7.2% increase in unit revenues (RASM), which outpaced the 5.6% oil-driven increase in unit costs (CASM). Operating margin for 1Q18 came in at a strong 20.1%, compared to an operating margin of 18.9% in 1Q17.
For 1Q18, consolidated passenger traffic grew 10.4% while consolidated capacity grew 8.4%. As a result, consolidated load factor for the quarter increased 1.5 percentage points to 83.0%.
Total revenues for 1Q18 increased 16.2% to US$715.0 million. Yield per passenger mile increased 5.3% to 13.3 cents and RASM came in at 11.4 cents, or 7.2% above 1Q17.
Operating cost per available seat mile (CASM) increased 5.6%, from 8.6 cents in 1Q17 to 9.1 cents in 1Q18. CASM excluding fuel costs increased 1.1% from 6.2 cents in 1Q17 to 6.3 cents in 1Q18, mainly as a result of maintenance events related to an aircraft lease return.
Cash, short-term and long-term investments ended the quarter slightly over US$1.0 billion, representing 38% of the last twelve months' revenues.
Copa Holdings ended the quarter with a consolidated fleet of 100 aircraft – 67 Boeing 737-800s, 14 Boeing 737-700s, and 19 Embraer-190s.
For 1Q18, Copa Airlines had an on-time performance of 91.3% and a flight-completion factor of 99.8%, maintaining its position among the best in the industry.
Subsequent Events

In April 2018, the company took delivery of one Boeing 737-800, increasing the consolidated fleet to 101 aircraft.
Copa Holdings will pay its second quarterly dividend of $0.87 per share on June 15, to all Class A and Class B shareholders on record as of May 31, 2018.

Consolidated Financial
& Operating Highlights

1Q18

1Q17*

Variance vs. 1Q17

4Q17*

Variance vs. 4Q17

Revenue Passengers Carried ('000)

2,465

2,264

8.9%

2,460

0.2%

RPMs (mm)

5,223

4,732

10.4%

5,086

2.7%

ASMs (mm)

6,297

5,808

8.4%

6,111

3.0%

Load Factor

83.0%

81.5%

1.5 p.p.

83.2%

-0.3 p.p.

Yield

13.3

12.6

5.3%

12.7

4.5%

PRASM (US$ Cents)

11.0

10.3

7.2%

10.6

4.1%

RASM (US$ Cents)

11.4

10.6

7.2%

11.0

3.7%

CASM (US$ Cents)

9.1

8.6

5.6%

9.1

-0.1%

CASM Excl. Fuel (US$ Cents)

6.3

6.2

1.1%

6.5

-2.4%

Fuel Gallons Consumed (Millions)

80.1

74.2

8.0%

78.7

1.8%

Avg. Price Per Fuel Gallon (US$ Dollars)

2.16

1.84

17.6%

2.03

6.7%

Average Length of Haul (Miles)

2,119

2,090

1.4%

2,067

2.5%

Average Stage Length (Miles)

1,322

1,275

3.7%

1,292

2.3%

Departures

32,339

31,095

4.0%

32,183

0.5%

Block Hours

108,635

101,495

7.0%

106,750

1.8%

Average Aircraft Utilization (Hours)

12.0

11.3

6.1%

11.6

3.3%

Operating Revenues (US$ mm)

715.0

615.3

16.2%

669.3

6.8%

Operating Income (US$ mm)

143.4

116.2

23.4%

114.1

25.7%

Operating Margin

20.1%

18.9%

1.2 p.p.

17.1%

3.0 p.p.

Net Income (US$ mm)

136.5

101.0

35.1%

94.6

44.3%

Adjusted Net Income (US$ mm) (1)

136.5

101.9

34.0%

94.0

45.1%

EPS - Basic and Diluted (US$)

3.22

2.38

35.0%

2.23

44.3%

Adjusted EPS - Basic and Diluted (US$) (1)

3.22

2.40

33.8%

2.22

45.1%

# of Shares - Basic and Diluted ('000)

42,439

42,396

0.1%

42,430

0.0%

(1)Adjusted Net Income and Adjusted EPS for 1Q17, and 4Q17 exclude non-cash charges/gains associated with the mark-to-market of fuel hedges.

* Restated for retrospective adoption of IFRS15.

Note: Attached to this press release is a reconciliation of non-IFRS financial measures to the comparable IFRS measures.

FULL 1Q18 EARNINGS RELEASE AVAILABLE FOR DOWNLOAD AT: http://investor.shareholder.com/copa/results.cfm

1Q18 EARNINGS RESULTS CONFERENCE CALL AND WEBCAST

Date:

May 10, 2018

Time:

11:00 AM US ET (10:00 AM Local Time)

Conference telephone number:

877-293-5456 (US Domestic Callers)

707-287-9357 (International Callers)

Webcast:

http://investor.shareholder.com/copa/events.cfm

Speakers:

Pedro Heilbron, Chief Executive Officer

José Montero, Chief Financial Officer

About Copa Holdings
Copa Holdings is a leading Latin American provider of passenger and cargo services. The Company, through its operating subsidiaries, provides service to 78 destinations in 32 countries in North, Central and South America and the Caribbean with one of the youngest and most modern fleets in the industry, consisting of 101 aircraft: 82 Boeing 737NG aircraft and 19 EMBRAER-190s. For more information visit: www.copa.com.

CONTACT: Copa Holdings S.A.
Investor Relations:
Ph: 011 507 304-2774
www.copa.com (IR section)

This release includes "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements are based on current plans, estimates and expectations, and are not guarantees of future performance. They are based on management's expectations that involve a number of business risks and uncertainties, any of which could cause actual results to differ materially from those expressed in or implied by the forward-looking statements. The Company undertakes no obligation to update or revise any forward-looking statement. The risks and uncertainties relating to the forward-looking statements in this release are among those disclosed in Copa Holdings' filed disclosure documents and are, therefore, subject to change without prior notice.

CPA-G

Copa Holdings, S.A.

Income Statement - IFRS

(US$ Thousands)

Unaudited

Unaudited

%

Unaudited

%

1Q18

1Q17*

Change

4Q17*

Change

Operating Revenues

Passenger revenue

694,912

597,736

16.3%

647,776

7.3%

Cargo and mail revenue

14,337

12,856

11.5%

14,841

-3.4%

Other operating revenue

5,775

4,665

23.8%

6,665

-13.4%

Total Operating Revenue

715,024

615,257

16.2%

669,282

6.8%

Operating Expenses

Fuel

173,957

136,343

27.6%

159,556

9.0%

Wages, salaries, benefits and other employees' expenses

110,630

100,817

9.7%

110,952

-0.3%

Passenger servicing

25,462

23,074

10.3%

26,481

-3.8%

Airport facilities and handling charges

44,547

40,966

8.7%

42,238

5.5%

Sales and distribution

53,779

49,760

8.1%

51,452

4.5%

Maintenance, materials and repairs

31,724

25,596

23.9%

31,932

-0.7%

Depreciation and amortization

41,909

39,775

5.4%

42,151

-0.6%

Flight operations

27,664

24,031

15.1%

25,082

10.3%

Aircraft rentals and other rentals

33,330

34,231

-2.6%

33,313

0.1%

Cargo and courier expenses

2,047

1,464

39.8%

2,218

-7.7%

Other operating and administrative expenses

26,579

23,001

15.6%

29,790

-10.8%

Total Operating Expense

571,628

499,059

14.5%

555,165

3.0%

Operating Profit

143,396

116,198

23.4%

114,117

25.7%

Non-operating Income (Expense):

Finance cost

(8,564)

(8,921)

-4.0%

(8,725)

-1.8%

Finance income

5,248

3,446

52.3%

5,443

-3.6%

Gain (loss) on foreign currency fluctuations

7,723

2,723

183.7%

(5,676)

n/m

Net change in fair value of derivatives

-

(860)

n/m

540

n/m

Other non-operating income (expense)

496

(615)

n/m

(916)

n/m

Total Non-Operating Income/(Expense)

4,902

(4,227)

n/m

(9,334)

n/m

Profit before taxes

148,298

111,971

32.4%

104,783

41.5%

Income tax expense

11,825

10,971

7.8%

10,212

15.8%

Net Profit

136,473

101,000

35.1%

94,571

44.3%

EPS - Basic and Diluted

3.22

2.38

35.0%

2.23

44.3%

Shares - Basic and Diluted

42,438,748

42,395,784

0.1%

42,429,821

0.0%

* Restated for retrospective adoption of IFRS 15

Copa Holdings, S. A. and subsidiaries

Balance Sheet - IFRS

(US$ Thousands)

March

December 31

2018

2017

(Unaudited)

(Restated) *

ASSETS

Current Assets

Cash and cash equivalents

196,584

238,792

Restricted cash and cash equivalents

-

-

Short-term investments

650,110

705,108

Total cash, cash equivalents and short-term investments

846,694

943,900

Accounts receivable, net

148,900

115,323

Accounts receivable from related parties

1,499

318

Expendable parts and supplies, net

84,849

81,825

Prepaid expenses

51,538

45,421

Other current assets

11,843

11,701

TOTAL CURRENT ASSETS

1,145,323

1,198,488

Long-term investments

155,313

65,953

Long-term accounts receivable

2,365

2,444

Long-term prepaid expenses

25,714

26,130

Property and equipment, net

2,863,901

2,825,904

Intangible, net

84,951

81,115

Net pension asset

3,561

3,185

Deferred tax assets

17,592

18,572

Other Non-Current Assets

31,285

31,140

TOTAL NON-CURRENT ASSETS

3,184,682

3,054,443

TOTAL ASSETS

4,330,005

4,252,931

LIABILITIES AND EQUITY

Current Liabilities:

Current maturities of long-term debt

253,944

298,462

Accounts payable

118,200

116,554

Accounts payable to related parties

14,405

12,880

Air traffic liability

485,199

477,168

Frequent flyer deferred revenue

54,959

50,312

Taxes and interest payable

89,058

81,440

Accrued expenses payable

38,616

60,321

Income tax payable

6,522

3,700

Other Current Liabilities

1,444

1,156

TOTAL CURRENT LIABILITIES

1,062,347

1,101,993

Long-term debt

889,011

876,119

Other long - term liabilities

130,834

123,182

Deferred tax Liabilities

45,268

50,628

TOTAL NON-CURRENT LIABILITIES

1,065,113

1,049,929

TOTAL LIABILITIES

2,127,460

2,151,922

EQUITY

Issued Capital

Class A - 33,796,272 issued and 31,243,732 outstanding

21,078

21,038

Class B - 10,938,125 shares issued and outstanding

7,466

7,466

Additional Paid-In Capital

74,871

72,945

Treasury Stock

(136,388)

(136,388)

Retained Earnings

2,102,933

1,775,426

Net Income

136,473

364,410

Other Comprehensive Income

(3,888)

(3,888)

TOTAL EQUITY

2,202,545

2,101,009

TOTAL LIABILITIES AND EQUITY

4,330,005

4,252,931

* Restated for retrospective adoption of IFRS 15

Copa Holdings, S. A. and subsidiaries

Consolidated Statement of Cash Flows

For the three months ended March 31,

(In US$ thousands)

2018

2017

2016

(Unaudited)

(Unaudited)

(Unaudited)

Cash flow from operating activities

145,019

132,752

118,934

Cash flow used in investing activities

(74,198)

(74,800)

(42,044)

Cash flow used in financing activities

(113,029)

(119,743)

(71,652)

Net (decrease) increase in cash and cash equivalents

(42,208)

(61,791)

5,238

Cash and cash equivalents at January 1

238,792

331,687

204,715

Cash and cash equivalents at March 31

$ 196,584

$ 269,896

$ 209,953

Short-term investments

650,110

570,497

457,505

Long-term investments

155,313

954

864

Restricted cash and cash equivalents

-

-

55,611

Total cash and cash equivalents and investments at March 31

$ 1,002,007

$ 841,347

$ 723,933

* Restricted cash corresponds to margin calls to secure derivative financial instruments transactions.

Copa Holdings, S.A.

NON-IFRS FINANCIAL MEASURE RECONCILIATION

This press release includes the following non IFRS financial measures: CASM Excluding Fuel, Adjusted Net Income and Adjusted EPS. This supplemental information is presented because we believe it is a useful indicator of our operating performance and is useful in comparing our performance with other companies in the airline industry. These measures should not be considered in isolation, and should be considered together with comparable IFRS measures, in particular operating income and net income. The following is a reconciliation of these non-IFRS financial measures to the comparable IFRS measures:

Reconciliation of Adjusted Net Income

and Adjusted EPS

1Q18

1Q17*

4Q17*

Net profit as Reported

$ 136,473

$ 101,000

$ 94,571

Special Items (adjustments):

Net change in fair value of derivatives

$ 860

$ (540)

Adjusted Net Income

$ 136,473

$ 101,860

$ 94,031

Shares used for Computation (in thousands)

Basic and Diluted

$ 42,439

$ 42,396

$ 42,430

Adjusted earnings per share - Basic and Diluted

$ 3.22

$ 2.40

$ 2.22

Reconciliation of Operating Costs per ASM

Excluding Fuel (CASM Excl. Fuel)

1Q18

1Q17*

4Q17*

Operating Costs per ASM as Reported (in US$ Cents)

9.1

8.6

9.1

Aircraft fuel per ASM (in US$ Cents)

(2.8)

(2.3)

(2.6)

Operating Costs per ASM excluding fuel (in US$ Cents)

6.3

6.2

6.5

* Restated for retrospective adoption of IFRS 15

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SOURCE Copa Holdings, S.A.

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