Copa Holdings’ (CPA Quick QuoteCPA - Free Report) traffic, measured in revenue passenger miles (RPMs), declined 42.1% to 1.14 billion in July 2021 from the comparable period in 2019 as air-travel demand continues to be below the pre-pandemic level despite improving.

With this tepid demand, capacity, measured in available seat miles (ASMs), fell 36.4% from the 2019 level to 1.44 billion. With traffic declining more than the amount of capacity contraction, load factor (percentage of seats filled with passengers) deteriorated 780 basis points to 78.8% in July.

With air-travel demand continually improving, Copa Holdings’ July traffic statistics represent a significant increase on a month-over-month basis. Traffic rose nearly 19% sequentially in July while capacity climbed 19.1%. Since capacity expansion outweighed traffic growth, load factor deteriorated 10 basis points in July from the June level.

Copa Holdings, S.A. Price

Copa Holdings, S.A. price | Copa Holdings, S.A. Quote

Copa Holdings, carrying a Zacks Rank #3 (Hold), recently reported second-quarter 2021 earnings numbers, wherein, the company incurred a loss (excluding $1.04 from non-recurring items) of 38 cents per share, narrower than the Zacks Consensus Estimate of a loss of $1.08. This was the fifth consecutive quarterly loss incurred by the company. However, quarterly revenues of $304.3 million surpassed the Zacks Consensus Estimate of $268.4 million. Grappling with coronavirus-led suppressed travel demand, airline companies like Southwest Airlines (LUV Quick QuoteLUV - Free Report) , Delta Air Lines (DAL Quick QuoteDAL - Free Report) and American Airlines (AAL Quick QuoteAAL - Free Report) also incurred losses in the second quarter. Each of these stocks carries a Zacks Rank #3. You can see the complete list of today’s Zacks #1 (Strong Buy) Rank stocks here.