Core Viewpoint - AZUL is expected to report its fourth-quarter 2024 results on February 24, with a history of disappointing earnings surprises, missing estimates in the last four quarters with an average miss of 100.8% [1][2]. Financial Estimates - The Zacks Consensus Estimate for AZUL's earnings for the upcoming quarter is flat at 12 cents per share, while revenue estimates are at $957.6 million, indicating a year-over-year decline of 5.7% [2]. - Total operating expenses are projected to increase by 2% year-over-year, driven by high labor and fuel costs [3]. Earnings Performance - AZUL reported a loss of 32 cents per share in the third quarter of 2024, which was worse than the Zacks Consensus Estimate of a loss of 10 cents. Total revenues for the third quarter were $925.1 million, falling short of the estimate of $953.2 million [5]. Earnings Prediction Model - The current model does not predict an earnings beat for AZUL, with an Earnings ESP of -59.18% and a Zacks Rank of 3 (Hold) [4]. Industry Comparisons - Delta Air Lines reported fourth-quarter 2024 earnings of $1.85 per share, surpassing estimates and showing a year-over-year increase of 44.5% due to low fuel costs. Revenues reached $15.56 billion, exceeding estimates and increasing by 9.4% year-over-year [8][9]. - J.B. Hunt Transport Services reported earnings of $1.53 per share, which was below estimates, but total operating revenues of $3.15 billion narrowly beat expectations despite a year-over-year decline of 4.8% [10][11].

Core Insights - The company has successfully completed a restructuring process that eliminated US$ 2.1 billion in debt and financial obligations while securing US$ 525 million in new capital [1][2][4] Financial Restructuring - The negotiation process involved converting US$ 557 million in instruments held by lessors and OEMs into 94 million preferred AZUL4 shares, and converting over US$ 785 million of financial debt maturing in 2029 and 2030 [2][3] - The restructuring is expected to improve cash flow by more than US$ 300 million until the end of 2027 and will deleverage the company by approximately 1.4x on a pro-forma basis using 3Q 2024 figures [5] Operational Context - The company faced significant challenges in the previous year, including currency devaluation, high operational costs due to aviation fuel prices, litigation rates, global supply chain issues, and natural disasters [3] - Despite these challenges, the company managed to reach amicable agreements with investors and partners, demonstrating strong market trust [3] Future Outlook - The company plans to add 15 new Embraer E2 aircraft to its fleet within the year, which is expected to enhance its operational capabilities and expand access to air travel across Brazil [6]

Core Viewpoint - Azul S.A. has successfully completed an exchange offer for its outstanding 11.930% Senior Secured First Out Notes due 2028, with 99.69% of the existing notes validly tendered for exchange, satisfying the minimum exchange condition [3][4]. Group 1: Exchange Offer Details - The exchange offer and solicitation expired on January 21, 2025, at 5:00 p.m. New York City time [3]. - The issuer, Azul Secured Finance LLP, offered to exchange existing notes for newly issued notes with the same interest rate and maturity [1]. - The minimum exchange condition required at least 66.67% of the existing notes to be tendered, which was met with 99.69% participation [3][4]. Group 2: Conditions and Expectations - The completion of the exchange offer is subject to several conditions, including the issuance of at least $500 million in Superpriority Notes and amendments to the indenture governing convertible debentures [4]. - Azul expects to announce the settlement date for the exchange offer promptly, following the satisfaction or waiver of the conditions [5]. - On the settlement date, the issuer will accept all validly tendered existing notes for total early consideration, with the interest commencement date for the new notes set as November 28, 2024 [6]. Group 3: Amendments and Consents - The issuer has received sufficient consents to effect proposed amendments to the terms of the existing notes, and a supplemental indenture will be executed on the settlement date [7]. Group 4: Company Overview - Azul S.A. is the largest airline in Brazil, operating over 1,000 daily flights to more than 160 destinations with a fleet of over 180 aircraft [16]. - The company has been recognized for its operational excellence, being named the most on-time airline in the world in 2022 and awarded the best airline in the world by TripAdvisor in 2020 [16].

Core Viewpoint - Azul S.A. has successfully completed its exchange offers for existing senior secured notes, with a high percentage of participation from eligible holders, indicating strong investor confidence in the company's financial restructuring efforts [1][3]. Exchange Offers - The exchange offers involved the existing 11.500% Senior Secured Second Out Notes due 2029 and 10.875% Senior Secured Second Out Notes due 2030, which were exchanged for newly issued notes of the same interest rates and due dates [1]. - The expiration deadline for the exchange offers was set at 5:00 p.m. New York City time on January 21, 2025 [2]. Participation Rates - As of the expiration deadline, 98.02% of the Existing 2029 Notes and 94.51% of the Existing 2030 Notes were validly tendered for exchange, with a combined participation rate of 95.55% for both series [3]. Conditions for Completion - The completion of the exchange offers was subject to certain conditions, including the valid tendering of at least 66.67% of each series and 95% of both series combined, which were met [3]. - Additional conditions included amendments to the indenture governing convertible debentures and the issuance of at least $500 million in aggregate principal amount of Superpriority Notes [3]. Settlement Expectations - Azul expects to settle the exchange offers promptly and will announce the settlement date in due course [4]. - On the settlement date, eligible holders will receive accrued and unpaid interest in the form of additional principal amount of the new notes issued [5]. Proposed Amendments - The issuer has received sufficient consents to effect proposed amendments to the terms of the existing notes, and a supplemental indenture will be executed on the settlement date [6]. Company Overview - Azul S.A. is the largest airline in Brazil, operating over 1,000 daily flights to more than 160 destinations with a fleet of over 180 aircraft [14].

Core Viewpoint - Azul S.A. has extended the expiration deadline for its exchange offers for existing senior secured notes, allowing more eligible holders to participate in the exchange process [1][3]. Summary by Sections Exchange Offers - The exchange offers involve the existing 11.500% Senior Secured Second Out Notes due 2029 and 10.875% Senior Secured Second Out Notes due 2030, which are being exchanged for newly issued notes of the same type [1]. - The expiration deadline has been extended from January 15, 2025, to January 21, 2025, providing additional time for eligible holders to tender their existing notes [3]. Participation Results - As of the original expiration deadline, 98.02% of the existing 2029 notes and 94.42% of the existing 2030 notes had been validly tendered for exchange [4]. - The total valid tender for both series of existing notes reached 95.48% [4]. Conditions for Completion - The completion of the exchange offers is contingent upon receiving valid tenders representing at least 95% of the aggregate principal amount of both series of existing notes, which has been satisfied [5]. - Additional conditions include amendments to the indenture governing the convertible debentures and the issuance of at least $500 million in aggregate principal amount of superpriority notes [10]. Consent Solicitation - Simultaneously with the exchange offers, a solicitation of consents from eligible holders was conducted to effect proposed amendments to the existing notes indenture, with requisite consents received to proceed [8][9]. Company Overview - Azul S.A. is the largest airline in Brazil, operating over 1,000 daily flights to more than 160 destinations with a fleet of over 180 aircraft [21]. - The company has been recognized for its operational excellence, being named the most on-time airline in the world in 2022 and awarded the best airline in the world by TripAdvisor in 2020 [21].

Core Viewpoint - Azul S.A. has extended the expiration deadline for its Exchange Offer of existing senior secured notes, allowing more eligible holders to participate in the exchange process [1][3]. Group 1: Exchange Offer Details - The expiration deadline for the Exchange Offer has been extended from January 15, 2025, to January 21, 2025 [3]. - As of the original expiration deadline, 99.69% of the total outstanding principal amount of the existing notes had been validly tendered for exchange [4]. - The withdrawal deadline for the Exchange Offer expired on January 7, 2025, and holders can no longer withdraw existing notes tendered [5]. Group 2: Conditions and Results - The minimum exchange condition for the consummation of the Exchange Offer has been satisfied, with 99.69% of existing notes tendered [4]. - The issuer has received sufficient consents to effect proposed amendments to the existing notes indenture [7]. - The obligation to complete the Exchange Offer is subject to conditions, including the receipt of at least 66.67% of existing notes validly tendered by the extended expiration deadline [8][9]. Group 3: Company Overview - Azul S.A. is the largest airline in Brazil, operating over 1,000 daily flights to more than 160 destinations with a fleet of over 180 aircraft [20]. - The company was recognized as the most on-time airline in the world in 2022 and has received accolades for its service quality [20].

Customers of Azul and Gol, will have access to more destinations, routes, products and services. The companies have almost 90% complementary routes, will maintain their independent operating certificates and brandsSÃO PAULO, Jan. 15, 2025 /PRNewswire/ -- Azul and Abra, the majority investor of Gol and Avianca, have announced today they have signed a non-binding Memorandum of Understanding (MoU) with the intent to combine their businesses in Brazil. The intended structure, the result of a combination of Azul ...

SÃO PAULO, Jan. 8, 2025 /PRNewswire/ -- Azul S.A., "Azul," (B3: AZUL4, NYSE: AZUL) ("Azul") today announced the early participation results for the previously announced offer by its wholly-owned subsidiary Azul Secured Finance LLP (the "Issuer") to Eligible Holders to exchange (such offer, the "Exchange Offer") any and all of the outstanding 11.930% Senior Secured First Out Notes due 2028 issued by the Issuer (the "Existing Notes") for newly issued 11.930% Senior Secured First Out Notes due 2028 to be issue ...

Azul S.A. (AZUL) has been benefiting from improvement in air-travel demand (following the end of the pandemic and normalization of economic activities), fleet-modernization efforts and fuel efficiency gains. Rising operating expense act as headwinds.Factors Favoring AZULAZUL’s top line benefited from a healthy demand environment and robust ancillary revenues in the third quarter of 2024. With more people taking to the skies, Azul’s passenger revenues, contributing 92.8% to the top line, grew 4% year over ye ...

SÃO PAULO, Dec. 17, 2024 /PRNewswire/ -- Azul S.A., "Azul," (B3: AZUL4, NYSE: AZUL) ("Azul") today announced that its wholly-owned subsidiary Azul Secured Finance LLP (the "Issuer") has commenced offers to Eligible Holders (as defined below) to exchange (such offers, the "Exchange Offers") (i) any and all of the outstanding 11.500% Senior Secured Second Out Notes due 2029 issued by the Issuer (the "Existing 2029 Notes") for newly issued 11.500% Senior Secured Second Out Notes due 2029 to be issued by the Is ...