Core Viewpoint - Copa Holdings, S.A. reported fourth-quarter 2024 earnings per share of $3.99, exceeding the Zacks Consensus Estimate of $3.84, but reflecting a 10.7% decline year over year. Revenues of $877.1 million fell short of the Zacks Consensus Estimate of $880.1 million, marking a 4.4% year-over-year decrease primarily due to a 4.8% drop in passenger revenues [1][2]. Financial Performance - Passenger revenues, which accounted for 94.9% of total revenues, decreased by 4.8% compared to the fourth quarter of 2023, driven by a 10.8% decline in passenger yield and a 0.4 percentage-point drop in load factor [2]. - Cargo and mail revenues increased by 9.2% year over year to $29.0 million, while other operating revenues grew by 34.8% year over year to $14.9 million, attributed to higher ConnectMiles revenues from non-air partners [3]. - Total operating expenses decreased by 3.7% year over year to $672.9 million, influenced by a 22.6% reduction in average fuel prices and an 8.3% decrease in sales and distribution costs [6]. Operational Metrics - Copa Holdings' traffic, measured in revenue passenger miles, grew by 6.7% year over year, and capacity, measured in available seat miles, increased by 7.2% from the previous year. However, the load factor decreased by 0.4 percentage points to 86.3% [4]. - Revenue per available seat mile (RASM) declined by 10.4% year over year to 11.3 cents, while passenger revenue per available seat mile fell by 11.2% to 10.8 cents [5]. Cash and Debt Position - At the end of the fourth quarter, Copa Holdings had cash and cash equivalents of $613.31 million, a significant increase from $275.25 million at the end of the previous quarter. Total debt, including lease liabilities, rose to $1.94 billion from $1.87 billion [8]. Future Outlook - Management expects consolidated capacity to grow by 7-8% year over year, with an anticipated operating margin of 20-22%. RASM is projected to be 11.3 cents, and the load factor is expected to reach 86.5%. Non-fuel unit costs are anticipated to be 5.8 cents, with fuel costs expected at $2.60 per gallon [10].

• On February 12, 2025, the Board of Directors of Copa Holdings approved a 2025 quarterly dividend payment of US$1.61 per share, maintaining last year's dividend payment. Dividends will be distributed in March, June, September, and December. The first quarterly dividend will be paid on March 14, 2025, to shareholders on record as of February 28, 2025. • In January, Copa Airlines was recognized by Cirium for the tenth time as the most on-time airline in Latin America in 2024. Copa Airlines' on-time performan ...

Financial Data and Key Metrics Changes - The company reported a net profit for Q4 of $166.2 million or $3.99 per share, and for the full year, the net profit was $608.5 million or $14.56 per share [25] - The operating profit for Q4 was $204.2 million with an operating margin of 23.3%, while the full year operating profit was $753.4 million with a 21.9% operating margin [25][31] - The company ended the year with over $1.4 billion in cash and investments, representing 42% of the last twelve months' revenues, and had $2 billion in debt and lease liabilities [26] Business Line Data and Key Metrics Changes - Capacity increased by 7.2% year over year in Q4, and for the full year, capacity increased by 8.6% [17][19] - Unit revenues (RASM) for Q4 were 11.3 cents, a 10.4% decrease compared to Q4 2023, primarily due to a 10.8% yield reduction [17] - The unit cost excluding fuel (CASM ex-fuel) for Q4 was 5.9 cents, a 2.6% improvement compared to Q4 2023 [18] Market Data and Key Metrics Changes - The company was recognized as the most on-time airline in Latin America for 2024, with an on-time performance of 88.2% [20] - The company anticipates a continuation of the current demand environment in the region for 2025, with expected capacity growth of 7% to 8% year over year [22] Company Strategy and Development Direction - The company aims to maintain cost discipline and continue expanding its network as the most complete and convenient hub for travel in the Americas [22][24] - The focus remains on lowering unit costs and strengthening the network to deliver strong financial results [131] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in delivering strong margins for 2025, projecting an operating margin within a range of 20% to 22% [31] - The management acknowledged challenges such as currency weakness and increased industry capacity impacting yields but expects a potential positive inflection in the second half of the year [45] Other Important Information - The board of directors approved a quarterly dividend payment of $1.61 per share for 2025, maintaining last year's payout [29] - The company repurchased $87 million of its ongoing $200 million share repurchase program during 2024 [30] Q&A Session Summary Question: Fleet details and delivery expectations - Management confirmed that the delivery schedule from Boeing is acceptable, with 13 aircraft expected this year, mostly in the second half [36] Question: CapEx expectations - CapEx for this year is expected to be lower, around $850 million, with cash CapEx around $200 million [39] Question: RASM trends and future prospects - Management indicated that RASM guidance is yearly, with expectations for a slight improvement in the first quarter but overall similar trends continuing [44] Question: Overcapacity in specific regions - Management noted that capacity growth in certain markets, such as Brazil and Colombia, has been around 20%, impacting yields [50] Question: FX volatility management - Management stated that they price in dollars but sell in local currencies, with some hedging in place for Brazilian sales [56] Question: Cargo revenue and profitability - The company operates a single freighter, with most cargo revenue coming from passenger flights, and expects profitability from the additional freighter [86] Question: Business travel demand - Management indicated that corporate accounts show flat business traffic year over year, with no expected growth [59] Question: Jet fuel tariffs and expenses - Management confirmed that they are not at a disadvantage in any market regarding jet fuel costs [120] Question: M&A and alliances - Management expressed satisfaction with the current relationship with United Airlines and sees no immediate need for changes [124]

Core Insights - Copa Holdings reported revenue of $877.05 million for the quarter ended December 2024, a decrease of 4.4% year-over-year, and EPS of $3.99, down from $4.47 in the same quarter last year [1] - The reported revenue was slightly below the Zacks Consensus Estimate of $880.05 million, resulting in a revenue surprise of -0.34%, while the EPS exceeded the consensus estimate of $3.84 by 3.91% [1] Financial Performance Metrics - Load Factor was reported at 86.3%, slightly above the average estimate of 86.1% from five analysts [4] - PRASM (Passenger revenue per ASM) was 10.8 cents, matching the four-analyst average estimate [4] - Yield was reported at 12.5 cents, slightly below the four-analyst average estimate of 12.56 cents [4] - Average Price Per Fuel Gallon was $2.38, lower than the $2.43 average estimate from four analysts [4] - ASMs (Available seat miles) totaled 7.75 billion, below the average estimate of 7.81 billion [4] - CASM Excluding Fuel was reported at 5.9 cents, slightly better than the average estimate of 5.96 cents [4] - CASM was 8.7 cents, also better than the average estimate of 8.82 cents [4] - RPMs (Revenue passenger miles) were 6.68 billion, below the average estimate of 6.71 billion [4] - RASM was reported at 11.3 cents, slightly above the average estimate of 11.28 cents [4] - Fuel Gallons Consumed were 91.2 million, lower than the average estimate of 92.33 million [4] - The total number of aircraft remained at 112, consistent with the average estimate [4] - Operating Revenues from Passenger revenue were $833.19 million, below the average estimate of $844.35 million, representing a year-over-year decline of 5.3% [4] Stock Performance - Shares of Copa Holdings have returned -2.5% over the past month, contrasting with the Zacks S&P 500 composite's increase of +4.3% [3] - The stock currently holds a Zacks Rank 4 (Sell), indicating potential underperformance relative to the broader market in the near term [3]

Core Viewpoint - Copa Holdings reported quarterly earnings of $3.99 per share, exceeding the Zacks Consensus Estimate of $3.84 per share, but down from $4.47 per share a year ago, indicating a 10.7% year-over-year decline in earnings [1][2] Financial Performance - The company achieved revenues of $877.05 million for the quarter ended December 2024, which was 0.34% below the Zacks Consensus Estimate and a decrease from $916.93 million in the same quarter last year, reflecting a year-over-year revenue decline of 4.5% [2] - Over the last four quarters, Copa Holdings has surpassed consensus EPS estimates four times but has only topped revenue estimates once [2] Stock Performance and Outlook - Since the beginning of the year, Copa Holdings shares have increased by approximately 1.8%, while the S&P 500 has gained 3.2%, indicating underperformance relative to the broader market [3] - The current consensus EPS estimate for the upcoming quarter is $4.08, with expected revenues of $895.58 million, and for the current fiscal year, the EPS estimate is $15.29 on revenues of $3.66 billion [7] Industry Context - The Transportation - Airline industry, to which Copa Holdings belongs, is currently ranked in the top 23% of over 250 Zacks industries, suggesting a favorable industry outlook [8] - Empirical research indicates a strong correlation between near-term stock movements and trends in earnings estimate revisions, which can impact investor sentiment and stock performance [5][6]

Core Insights - Copa Holdings reported a net profit of US$166.2 million or US$3.99 per share for 4Q24, and a full-year net profit of US$608.5 million or US$14.56 per share, showing a decrease from the previous year's adjusted net profit of US$671.0 million or US$16.68 per share [5][10][15] - The company experienced a 4.0% increase in revenue passengers carried in 4Q24 compared to 4Q23, with a total of 3,444 thousand passengers [4][5] - Operating revenues for 4Q24 were US$877.1 million, a 3.9% decrease from US$912.8 million in 4Q23, while operating profit was US$204.2 million with an operating margin of 23.3% [6][10][11] Financial Performance - The operating profit for the full year 2024 was US$753.4 million, down from US$807.2 million in 2023, with an operating margin of 21.9% compared to 23.4% in the previous year [5][11] - Revenue per available seat mile (RASM) decreased by 10.4% to 11.3 cents in 4Q24, while operating cost per available seat mile excluding fuel (Ex-fuel CASM) decreased by 2.6% to 5.9 cents [5][6][15] - The company ended 2024 with approximately US$1.4 billion in cash and investments, representing 42% of the last twelve months' revenues [5][12] Capacity and Operations - Capacity, measured in available seat miles (ASMs), increased by 7.2% in 4Q24 compared to 4Q23, with a total of 7,747 million ASMs [4][6] - Copa Airlines was recognized as the most on-time airline in Latin America for 2024, achieving an on-time performance of 88.2% [5][8] Shareholder Returns and Corporate Actions - The company repurchased US$87 million worth of shares in 2024 as part of its US$200 million share repurchase program, representing approximately 2% of total outstanding shares [5][12] - The Board of Directors approved a quarterly dividend payment of US$1.61 per share for 2025, maintaining the previous year's dividend [5][12] Leadership Changes - Peter Donkersloot was appointed as Chief Financial Officer effective March 10, 2025, bringing over 20 years of international experience [5][8]

Copa Holdings, S.A. (CPA) reported traffic numbers for January 2025 on the back of upbeat air-travel demand. Driven by high passenger volumes, revenue passenger miles (a measure of traffic) improved on a year-over-year basis in January.To match the demand swell, CPA is increasing its capacity. In January, available seat miles (a measure of capacity) increased 22.1% year over year. Revenue passenger miles increased 23.6% year over year. Since traffic outpaced capacity expansion, the load factor (percentage o ...

PANAMA CITY, Feb. 11, 2025 (GLOBE NEWSWIRE) -- Copa Holdings, S.A. (NYSE: CPA) today released preliminary passenger traffic statistics for January 2025: Operating DataJanuary 2025January 2024% ChangeCopa Holdings (Consolidated) ASM (mm) (1)2,774.6 2,273.2 22.1%<td style="vertical-align: middle; t ...

Wall Street analysts expect Copa Holdings (CPA) to post quarterly earnings of $3.84 per share in its upcoming report, which indicates a year-over-year decline of 14.1%. Revenues are expected to be $880.05 million, down 4% from the year-ago quarter.The current level reflects a downward revision of 3.5% in the consensus EPS estimate for the quarter over the past 30 days. This demonstrates how the analysts covering the stock have collectively reappraised their initial projections over this period.Prior to a co ...

Copa Holdings (CPA) is scheduled to report fourth-quarter 2024 results on Feb. 12, after market close.See the Zacks Earnings Calendar to stay ahead of market-making news.Copa Holdings has an impressive earnings surprise history, having surpassed the Zacks Consensus Estimate in each of the trailing four quarters. The average beat is 11.8%.The Zacks Consensus Estimate for CPA’s soon-to-be-reported quarter’s earnings has been revised downward by 1.8% in the past 60 days to $3.84 per share. Meanwhile, the Zacks ...