Core Insights - Copa Holdings reported a 5.8% increase in capacity (ASM) for August 2025 compared to August 2024, reaching 2,755.1 million available seat miles [1] - Revenue passenger miles (RPM) increased by 9.8% year-over-year, totaling 2,432.2 million for August 2025 [1] - The load factor for August 2025 was 88.3%, which is 3.2 percentage points higher than the load factor in August 2024 [1] Company Overview - Copa Holdings is a prominent provider of passenger and cargo services in Latin America, serving countries across North, Central, and South America, as well as the Caribbean [2] - The company operates through its subsidiaries, enhancing its service offerings in the region [2] Definitions - Available seat miles (ASM) is calculated by multiplying the aircraft seating capacity by the number of miles flown [2] - Revenue passenger miles (RPM) measures the number of miles flown by revenue-generating passengers [2] - Load factor indicates the percentage of aircraft seating capacity that is utilized [2]

I continue to rate Copa Holdings (NYSE: CPA ) as a “Strong Buy”, a rating first initiated earlier this year when the stock price was in the $90s. The stock has had a nice +30% run, trading near $120 recently. Despite this, as I arguedStriving to compound knowledge. Long-time fan of Warren and Charlie. Always invert. "To finish first, you must first finish". Investing own and family funds for +20 years. Senior finance roles at public and private corporations for most of that time.Analyst’s Disclosure:I/we ha ...

Core Viewpoint - Kootenay Silver Inc. has appointed Ron Miller as a director, bringing over 30 years of experience in accounting and advisory services, particularly in the mining sector [1][2][3]. Company Overview - Kootenay Silver Inc. is an exploration company focused on discovering and developing mineral projects in the Sierra Madre Region of Mexico, with a significant portfolio of silver assets [5]. - The company aims to expand its silver resources and develop priority silver projects in Sonora and Chihuahua, Mexico [5]. Appointment of Ron Miller - Ron Miller, a CPA, CA, has extensive experience in public practice and has been involved in numerous mergers, acquisitions, and financing for public companies, particularly in the mining sector [1][2]. - The President & CEO of Kootenay, James McDonald, expressed optimism about leveraging Miller's experience to advance the company's high-grade Columba discovery and resource projects [3]. Stock Options Announcement - Kootenay Silver Inc. has granted stock purchase options to a consultant, allowing the purchase of up to 250,000 shares at a price of $1.19 per share for a period of two years [3].

Core Insights - Copa Holdings (CPA) is experiencing growth due to increased passenger volumes, with robust traffic numbers reported for July 2025 driven by strong air travel demand [1] - The company is expanding its capacity to meet rising demand, with available seat miles increasing by 6.3% year-over-year in July [2] - Revenue passenger miles (RPM) improved by 7.8% year-over-year in July, leading to a load factor increase to 88.8% from 87.6% in July 2024 [2][8] Capacity and Traffic Growth - In the second quarter of 2025, RPM increased by 6.4% year-over-year, with a load factor rise of 0.5 percentage points to 87.3% [3] - Traffic growth outpaced capacity expansion of 5.8% during the same period, indicating strong demand [3] Comparative Analysis with Other Airlines - Ryanair reported a 3% year-over-year increase in passengers transported, totaling 20.7 million in July 2025, with a consistent load factor of 96% [4][5] - Controladora Vuela Compania de Aviacion (Volaris) saw a 3% year-over-year increase in passengers, but its load factor decreased by 4.9 percentage points to 84.9% due to capacity expansion outpacing traffic growth [7]

Group 1 - Copa Holdings reported a 6.3% increase in capacity (ASM) for July 2025 compared to July 2024, reaching 2,854.8 million available seat miles [1] - The company experienced a 7.8% increase in system-wide passenger traffic (RPM) for July 2025, totaling 2,533.7 million revenue passenger miles [1] - The load factor for July 2025 was 88.8%, which is 1.2 percentage points higher than the load factor in July 2024 [1] Group 2 - Copa Holdings is a prominent provider of passenger and cargo services in Latin America, serving countries across North, Central, and South America, as well as the Caribbean [2] - The company operates through its subsidiaries to deliver these services [2]

Core Insights - Copa Holdings, S.A. (CPA) reported strong second-quarter 2025 results, with both earnings and revenues exceeding the Zacks Consensus Estimate, leading to a 7.7% increase in stock price since the earnings release on August 6 [1] Financial Performance - Quarterly earnings per share were $3.61, surpassing the Zacks Consensus Estimate of $3.25 and reflecting a 25.3% year-over-year improvement [2] - Revenues reached $842.60 million, beating the Zacks Consensus Estimate of $834.8 million and increasing by 2.8% year over year, driven by an 8% rise in onboard passengers [2] - Passenger revenues, contributing 94.6% to total revenues, grew 2% year over year to $797.26 million, supported by a 6.4% increase in revenue passenger miles (RPMs), despite a 4.1% decrease in passenger yield [3] Revenue Breakdown - Cargo and mail revenues increased by 12.4% year over year to $28.3 million, attributed to higher cargo volumes [4] - Other operating revenues improved by 33.9% year over year to $17.03 million, driven by increased ConnectMiles revenues from non-air partners [4] Operational Metrics - Copa Holdings' traffic (measured in RPMs) grew by 6.4%, while capacity (measured in available seat miles) increased by 5.8% from the previous year, resulting in a load factor of 87.3%, up 0.5 percentage points [5] - Passenger revenue per available seat mile decreased by 3.6% year over year to 10.1 cents, while revenue per available seat mile (RASM) fell by 2.8% to 10.7 cents [6] Cost Analysis - Total operating expenses rose by 0.9% year over year to $665.98 million, primarily due to increased capacity and maintenance costs, partially offset by lower fuel and passenger servicing expenses [7] - Employee-related expenses increased by 6.5%, while maintenance costs surged over 100% year over year [8] Cash Position - At the end of the second quarter, Copa Holdings had cash and cash equivalents of $236.17 million, up from $164.82 million at the end of the previous quarter [8] 2025 Outlook - Management anticipates consolidated capacity growth of 7-8% year over year, with an expected operating margin of 21-23% [9] - RASM is projected to be 11.2 cents, with a load factor expectation of 87% for the current year [9]

Financial Data and Key Metrics Changes - Copa Holdings reported a net profit of $149 million, or $3.61 per share, representing a 25% year-over-year increase in earnings per share [9] - Operating income reached $177 million with an operating margin of 21%, highlighting strong profitability [9] - Capacity increased by 5.8% year-over-year, while load factor reached 87.3%, an increase of 0.5 percentage points compared to Q2 2024 [6] - Passenger yields decreased by 4.1% year-over-year, and unit revenues (RASM) declined by 2.8% to $0.01107 [6][10] - Unit cost (CASM) decreased by 4.6% year-over-year to $0.85, driven primarily by a 17% reduction in average fuel price per gallon [10] Business Line Data and Key Metrics Changes - The cargo business has shown strong performance, with most cargo moving in the belly of passenger aircraft [39] - Copa took delivery of three Boeing 737 MAX 8 aircraft during the quarter, bringing the total fleet to 115 aircraft [12] Market Data and Key Metrics Changes - The company noted that most major currencies in South America and Latin America are up year-over-year, benefiting Copa as most sales are south to north [22] - Industry capacity in the region is expected to grow in the high single digits for the second half of the year [16] Company Strategy and Development Direction - Copa Holdings continues to focus on expanding its hub in Panama, with new services announced to various destinations [7][8] - The company aims to maintain a competitive advantage through low unit costs, a strong balance sheet, and a passenger-friendly product [8] - The company is reaffirming its full-year operating margin guidance of 21% to 23% and expects capacity growth in ASMs of 7% to 8% year-over-year [12] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the healthy demand environment and the ability to maintain strong results despite lower yields [32] - The company is focused on cost discipline and operational efficiency to navigate a lower yield environment [33] - Management highlighted ongoing investments in digital technology to enhance revenue management and ancillary revenues [80] Other Important Information - Copa Holdings ended the quarter with $1.4 billion in cash and investments, representing 39% of the last twelve months' revenue [11] - The company plans to make its third dividend payment of the year of $1.61 per share on September 15 [11] Q&A Session Summary Question: Demand trends in key markets - Management noted that most markets have strong or steady demand, with an increase in load factor guidance [15][16] Question: Aircraft delivery and capacity outlook for 2026 - Deliveries have been on time, with expectations for increased capacity in 2026 due to early aircraft deliveries [17][19] Question: Impact of foreign exchange on revenue and costs - Management indicated that stronger local currencies in Latin America benefit sales, but the impact is not significant [22][24] Question: Airport capacity and infrastructure projects - An expansion plan for the airport is underway, including runway repairs and additional gates [26][27] Question: Fuel price guidance and margin outlook - The fuel price assumption in guidance is based on historical data, and management does not see significant seasonality in CASM ex-fuel [51][52] Question: Cargo business outlook - The cargo business remains strong, with limited visibility into long-term trends, but a new freighter is expected to contribute to volume [39][41] Question: Competitive landscape and partnerships - Management acknowledged increased competition in the region but emphasized Copa's strong product and cost structure [72][75] Question: Role of technology in revenue management - The company has invested in digital technology to enhance revenue management and is exploring dynamic pricing [80][81] Question: Seat densification progress - There are 30 aircraft pending densification to increase seat capacity, without sacrificing comfort [83]

Core Insights - Copa Holdings reported revenue of $842.6 million for Q2 2025, a year-over-year increase of 2.8% and an EPS of $3.61 compared to $2.88 a year ago, exceeding the Zacks Consensus Estimate of $834.81 million by 0.93% [1] - The company delivered an EPS surprise of 11.08%, with the consensus EPS estimate being $3.25 [1] Financial Performance Metrics - Load Factor was 87.3%, surpassing the average estimate of 86.7% from five analysts [4] - PRASM (Passenger revenue per ASM) was 10.1 cents, matching the four-analyst average estimate [4] - Yield was 11.6 cents, exceeding the average estimate of 10.89 cents from four analysts [4] - Average Price Per Fuel Gallon was $2.32, lower than the $2.40 average estimate from four analysts [4] - ASMs (Available seat miles) totaled 7.86 billion, slightly above the four-analyst average estimate of 7.83 billion [4] - CASM Excluding Fuel was 5.8 cents, slightly higher than the four-analyst average estimate of 5.77 cents [4] - CASM was reported at 8.5 cents, lower than the average estimate of 8.58 cents from four analysts [4] - RPMs (Revenue passenger miles) reached 6.86 billion, exceeding the four-analyst average estimate of 6.79 billion [4] - RASM was 10.7 cents, below the average estimate of 11.41 cents from four analysts [4] - Fuel Gallons Consumed was 91.90 million gallons, higher than the average estimate of 91.27 million gallons from three analysts [4] - The total number of aircraft was 115, compared to the average estimate of 116 from two analysts [4] - Operating Revenues from Passenger revenue were $797.27 million, slightly above the five-analyst average estimate of $794.99 million, representing a year-over-year change of 2% [4] Stock Performance - Shares of Copa Holdings returned 0.8% over the past month, compared to the Zacks S&P 500 composite's 0.5% change [3] - The stock currently holds a Zacks Rank 3 (Hold), indicating potential performance in line with the broader market in the near term [3]

Group 1: Earnings Performance - Copa Holdings reported quarterly earnings of $3.61 per share, exceeding the Zacks Consensus Estimate of $3.25 per share, and up from $2.88 per share a year ago, representing an earnings surprise of +11.08% [1] - The company posted revenues of $842.6 million for the quarter ended June 2025, surpassing the Zacks Consensus Estimate by 0.93% and increasing from $819.4 million year-over-year [2] Group 2: Stock Performance and Outlook - Copa Holdings shares have increased approximately 25.4% since the beginning of the year, significantly outperforming the S&P 500's gain of 7.1% [3] - The current consensus EPS estimate for the upcoming quarter is $4.24 on revenues of $911.95 million, and for the current fiscal year, it is $16.62 on revenues of $3.59 billion [7] Group 3: Industry Context - The Transportation - Airline industry, to which Copa Holdings belongs, is currently ranked in the top 37% of over 250 Zacks industries, indicating a favorable outlook compared to the bottom 50% [8]

Core Insights - Copa Holdings reported strong financial results for the second quarter of 2025, achieving a net profit of US$148.9 million, or US$3.61 per share, marking a 25.2% increase in earnings per share compared to the same period in 2024 [4][7][8] - The company declared a dividend payment of US$1.61 per share, to be paid on September 15, 2025, to shareholders of record as of August 29, 2025 [1] Financial Performance - The total operating revenue for 2Q25 was US$842.6 million, a 2.8% increase from US$819.4 million in 2Q24 [7][8] - Passenger revenue increased by 2.0% to US$797.3 million, while cargo and mail revenue rose by 12.4% to US$28.3 million [7][8] - Operating expenses totaled US$666.0 million, a slight increase of 0.9% from US$659.9 million in 2Q24 [8] - The operating profit was US$176.6 million, reflecting a 10.7% increase compared to US$159.5 million in 2Q24 [8] Operational Metrics - Copa Holdings carried 3.6 million revenue passengers in 2Q25, a 9.0% increase from 3.3 million in 2Q24 [6] - The load factor improved to 87.3%, up 0.5 percentage points from 86.8% in 2Q24 [6] - The company ended the quarter with a consolidated fleet of 115 aircraft, including three new Boeing 737 MAX 8 deliveries [4][6] Cost Management - Operating cost per available seat mile (CASM) decreased by 4.6% to 8.5 cents, while CASM excluding fuel increased by 3.2% to 5.8 cents [4][6] - The average price per fuel gallon decreased by 17.0% to US$2.32 compared to the previous year [6][8] Cash Position and Debt - The company reported approximately US$1.4 billion in cash and investments, representing 39% of the last twelve months' revenues [4] - The adjusted net debt to EBITDA ratio stood at 0.6 times, indicating a strong balance sheet [4] Recognition and Awards - Copa Airlines was recognized by Skytrax as the "Best Airline in Central America and the Caribbean" for the tenth consecutive year [4]