Azul S.A. Files 6-K Report

TL;DR

Azul S.A. filed its quarterly 6-K, standard procedure, no major news.

AI Summary

Azul S.A. filed a Form 6-K on August 12, 2024, for the period ending June 30, 2024. The filing is a report of a foreign private issuer and does not contain specific financial details or operational updates within the provided text. It serves as a notification to the SEC regarding its status and reporting requirements.

Why It Matters

This filing indicates Azul S.A. is meeting its ongoing reporting obligations as a foreign private issuer with the SEC, which is standard for publicly traded international companies.

Risk Assessment

Risk Level: low — This filing is a routine report of a foreign private issuer and does not contain new material information or significant financial updates.

Key Players & Entities

• Azul S.A. (company) — Registrant
• 001-38049 (dollar_amount) — SEC File Number
• 20240630 (dollar_amount) — Reporting Period End Date
• 20240812 (dollar_amount) — Filing Date

FAQ

Key Financial Figures

• $1.1 billion — Azul Reports 2Q Results with EBITDA of R$1.1 billion São Paulo, August 12, 2024 – A
• $1.1 b — ting Highlights § EBITDA reached R$1.1 billion, with a margin of 25.2%, and oper
• $441.2 m — rgin of 25.2%, and operating income of R$441.2 million, representing a 10.6% margin. &
• $4.2 b — in. § Operating revenue reached R$4.2 billion, down 2.3% compared to 2Q23, main
• $34.18 — above 2Q23. § CASK in 2Q24 was R$34.18 cents, a reduction of 1.8% compared to
• $2.5 b — items. § Immediate liquidity was R$2.5 billion, 23.7% higher compared to 2Q23, r
• $1.5 billion — inued to deleverage and paid down over R$1.5 billion in current and deferred leases and debt
• $5 — ring an end-of-period exchange rate of R$5.00, Azul's leverage ratio would have be
• $200 million — impacted our 2Q24 results by at least R$200 million. The quick devaluation of the Brazilia
• $6.4 billion — and reserves, our total liquidity was R$6.4 billion. As we enter the seasonally strong spr
• $96.7 million — ing revenues of R$4.2 billion, 2.3% or R$96.7 million lower than 2Q23 mainly due the impact o
• $313.7m — Q23. Cargo revenue and other totaled R$313.7million, 2.2% lower than 2Q23, also impac
• $3.7 b — ses In 2Q24, operating expenses were R$3.7 billion, 1.5% higher than 2Q23 mainly exp
• $1,373.6 million — lows: Aircraft fuel increased 2.6% to R$1,373.6 million mostly due to a 3.4% increase in total
• $87.5 million — et. Salaries and benefits increased R$87.5 million compared to 2Q23, mainly driven by our

Filing Documents

• azulpr2q24_6k.htm (6-K) — 319KB
• image_001.jpg (GRAPHIC) — 3KB
• image_002.jpg (GRAPHIC) — 17KB
• 0001292814-24-003102.txt ( ) — 348KB

From the Filing

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 6-K REPORT OF FOREIGN PRIVATE ISSUER PURSUANT TO RULE 13a-16 OR 15d-16 UNDER THE SECURITIES EXCHANGE ACT OF 1934 For the month of August, 2024 Commission File Number: 001-38049 Azul S.A. (Name of Registrant) Edifcio Jatob, 8th floor, Castelo Branco Office Park Avenida Marcos Penteado de Ulha Rodrigues, 939 Tambor, Barueri, So Paulo, SP 06460-040, Brazil. +55 (11) 4831 2880 (Address of Principal Executive Office) Indicate by check mark whether the registrant files or will file annual reports under cover of Form 20-F or Form 40-F. Form 20-F x Form 40-F Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(1): Yes No x Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(7): Yes No x Second Quarter Results 2024 Azul Reports 2Q Results with EBITDA of R$1.1 billion São Paulo, August 12, 2024 – Azul S.A., "Azul" (B3:AZUL4, NYSE:AZUL), the largest airline in Brazil by number of cities and departures, announces today its results for the second quarter of 2024 ("2Q24"). The following financial information, unless stated otherwise, is presented in Brazilian reais and in accordance with International Financial Reporting Standards (IFRS). Financial and Operating Highlights § EBITDA reached R$1.1 billion, with a margin of 25.2%, and operating income of R$441.2 million, representing a 10.6% margin. § Operating revenue reached R$4.2 billion, down 2.3% compared to 2Q23, mainly due the impact of the Rio Grande do Sul floods in May and the temporary reduction in our international capacity, which fell 8.0% year over year. Without these impacts, we estimate that our top-line revenues would have been above 2Q23. § CASK in 2Q24 was R$34.18 cents, a reduction of 1.8% compared to 2Q23, as a result of our moreoperational efficient operationgains and the higher utilization of our next-generation aircraft, partially offset by the 5.3% average depreciation of the Brazilian real against the US dollar, 1.4% higher fuel prices, and a 4.2% inflation over the last 12 months. § Passenger traffic (RPK) increased 3.9% over a capacity increase of 3.4%, resulting in a load factor of 80.3%. 2Q24 Highlights 2Q24 2Q23¹ Change 1H24 1H23¹ Change Total operating revenue (R$ million) 4,172.7 4,269.4 -2.3% 8,851.2 8,747.7 1.2% Operating income (R$ million) 441.2 591.9 (150.7) 1,241.9 1,054.3 187.6 Operating margin (%) 10.6% 13.9% -3.3 p.p. 14.0% 12.1% +2.0 p.p. EBITDA (R$ million) 1,052.6 1,156.9 (104.3) 2,467.8 2,186.9 280.9 EBITDA margin (%) 25.2% 27.1% -1.9 p.p. 27.9% 25.0% +2.9 p.p. ASK (million) 10,918 10,563 3.4% 21,996 21,362 3.0% RASK (R$ cents) 38.22 40.42 -5.4% 40.24 40.95 -1.7% PRASK (R$ cents) 35.34 37.38 -5.4% 37.35 38.00 -1.7% Yield (R$ cents) 44.03 46.81 -5.9% 46.93 47.66 -1.5% CASK (R$ cents) 34.18 34.81 -1.8% 34.59 36.01 -3.9% Fuel cost per liter (R$) 4.35 4.30 1.4% 4.30 4.78 -10.0% ¹ 2Q23 and 1H23 operating results were adjusted for non-recurring items. § Immediate liquidity was R$2.5 billion, 23.7% higher compared to 2Q23, representing 13.4% of the last twelve months' revenues. In the quarter, we continued to deleverage and paid down over R$1.5 billion in current and deferred leases and debt amortizations. § Azul's leverage ratio measured as net debt to LTM EBITDA was 4.5x, solely due to the 11.7% end of period depreciation of the Brazilian real against the US dollar in the quarter, which impacted our dollar-denominated debt. Considering an end-of-period exchange rate of R$5.00, Azul's leverage ratio would have been 3.75x, flat compared to 1Q24. § Booking trends in the third quarter have been very encouraging, with an acceleration in corporate demand, leading to an increase in fares. We expect this trend to accelerate into the second half of the year, our strongest period seasonally. 1 Second Quarter Results 2024 Management Comments First, I wish to express solidarity with Voepass and everyone involved in the tragedy that occurred last Friday. We offer them our condolences and support during this difficult time. I would also like to thank our Crewmembers for all their passion and dedication during 2Q24. Our strong culture has been essential as we successfully navigated the quarter and some of its challenges. In May, the state of Rio Grande do Sul was impacted by severe flooding. We were deeply saddened by the loss of lives, displacement of people, and widespread destruction in the region. Once again, our Crewmembers and Clients stepped up, contributing over 3,000 tons in donations, which we delivered safely and swiftly to those who needed them most. Also, Porto Alegre airport was forced to close, with

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View this 6-K filing on SEC EDGAR