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Copa Holdings (CPA) Q4 Earnings & Revenues Beat, Rise Y/Y
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Copa Holdings, S.A. (CPA - Free Report) reported solid fourth-quarter 2022 results wherein earnings and revenues surpassed the Zacks Consensus Estimate.
Quarterly earnings of $4.49 per share surpassed the Zacks Consensus Estimate of $4.09 and rose more than 100% year over year. Revenues of $890.6 million beat the Zacks Consensus Estimate of $883.8 million and improved year over year on the back of passenger revenues.
Passenger revenues (contributed 95.6% to the top line) increased 29.5%, owing to higher yields (up 12.1%). Cargo and mail revenues jumped 69% to $27.09 million, owing to higher cargo volumes and yields. Other operating revenues improved 41.1% to $11.22 million, owing to revenues from non-air ConnectMiles partners.
Copa Holdings, S.A. Price, Consensus and EPS Surprise
Below, we present all comparisons (in % terms) with third-quarter 2019 levels (pre-coronavirus).
On a consolidated basis, traffic (measured in revenue passenger miles) grew 7.5% and capacity (measured in available seat miles) increased by 5.9%. As a result, the load factor increased 1.4 percentage points to 86.6% in the reported quarter.
Passenger revenue per available seat miles increased 22.4% to 13.1 cents. Additionally, revenue per available seat mile increased 23.4% to 13.7 cents. Cost per available seat mile decreased 4.6%. Excluding fuel, the metric dipped 23.9%. The average fuel price per liter soared 63.1% to $3.52.
Total operating expenses increased 1% to $670.95 million due to the 59.9% increase in fuel costs. Expenses on wages, salaries and other employee benefits fell 8.7% on reduced headcount. Sales and distribution costs increased 15.5% due to higher sales. Passenger servicing costs dropped 21.3%. Flight operation costs increased 3%.
Copa Holdings exited the fourth quarter with cash and cash equivalents of $122.42 million compared with $198.74 million at the end of September 2022. Total debt, including lease liabilities, was $1.7 billion, flat sequentially.
CPA exited 2022 with a consolidated fleet of 97 aircraft, which comprises 67 Boeing 737-800s, 20 Boeing 737 MAX 9s, 9 Boeing 737-700s and 1 Boeing 737-800 freighter. During the fourth quarter of 2022, the carrier took delivery of two Boeing 737 MAX 9 aircraft.
In January, CPA further took delivery of one Boeing 737 MAX 9 and anticipates receiving one additional aircraft by the end of the first quarter.
Delta AirLines’ (DAL - Free Report) third-quarter 2022 earnings (excluding 42 cents from non-recurring items) of $1.51 per share fell short of the Zacks Consensus Estimate of $1.56. Escalated operating expenses induced the earnings miss. Multiple flight cancelations and booking weaknesses due to Hurricane Ian also hurt results. DAL reported earnings of 30 cents per share a year ago, dull in comparison to the current scenario, as air-travel demand was not so buoyant then.
DAL reported revenues of $13,975 million, which lagged the Zacks Consensus Estimate of $14,157.2 million. Driven by the high air-travel demand, total revenues increased more than 52% on a year-over-year basis.
United Airlines’ (UAL - Free Report) third-quarter 2022 earnings (excluding 5 cents from non-recurring items) of $2.81 per share beat the Zacks Consensus Estimate of $2.21 and our estimate of $2.17. An upbeat in air-travel demand aided results. In the year-ago quarter, UAL incurred a loss of $1.02 per share when air-travel demand was not as buoyant as in the current scenario. The third quarter of 2022 was the second consecutive profitable quarter at UAL since the onset of the pandemic.
Operating revenues of $12,877 million beat the Zacks Consensus Estimate of $12,709.5 million and our estimate of $12, 631.6 million. UAL’s revenues increased more than 66% year over year owing to an upbeat air-travel demand. The optimistic air-travel demand scenario is also evident from the fact that total operating revenues increased 13.2% from third-quarter 2019 (pre-coronavirus) levels.
J.B. Hunt Transport Services, Inc. (JBHT - Free Report) reported better-than-expected third-quarter 2022 results, wherein earnings and revenues outperformed the Zacks Consensus Estimate.JBHT’squarterly earnings of $2.57 per share surpassed the Zacks Consensus Estimate of $2.45 and improved 36.7% year over year.
Total operating revenues of $3,838.3 million also outperformed the Zacks Consensus Estimate of $3803.4 million. The top line jumped 22.1% year over year on the back of strength across — Dedicated Contract Services, Intermodal, Truckload and Final Mile Services segments. Total operating revenues, excluding fuel surcharges, rose 12.4% year over year.
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Copa Holdings (CPA) Q4 Earnings & Revenues Beat, Rise Y/Y
Copa Holdings, S.A. (CPA - Free Report) reported solid fourth-quarter 2022 results wherein earnings and revenues surpassed the Zacks Consensus Estimate.
Quarterly earnings of $4.49 per share surpassed the Zacks Consensus Estimate of $4.09 and rose more than 100% year over year. Revenues of $890.6 million beat the Zacks Consensus Estimate of $883.8 million and improved year over year on the back of passenger revenues.
Passenger revenues (contributed 95.6% to the top line) increased 29.5%, owing to higher yields (up 12.1%). Cargo and mail revenues jumped 69% to $27.09 million, owing to higher cargo volumes and yields. Other operating revenues improved 41.1% to $11.22 million, owing to revenues from non-air ConnectMiles partners.
Copa Holdings, S.A. Price, Consensus and EPS Surprise
Copa Holdings, S.A. price-consensus-eps-surprise-chart | Copa Holdings, S.A. Quote
Below, we present all comparisons (in % terms) with third-quarter 2019 levels (pre-coronavirus).
On a consolidated basis, traffic (measured in revenue passenger miles) grew 7.5% and capacity (measured in available seat miles) increased by 5.9%. As a result, the load factor increased 1.4 percentage points to 86.6% in the reported quarter.
Passenger revenue per available seat miles increased 22.4% to 13.1 cents. Additionally, revenue per available seat mile increased 23.4% to 13.7 cents. Cost per available seat mile decreased 4.6%. Excluding fuel, the metric dipped 23.9%. The average fuel price per liter soared 63.1% to $3.52.
Total operating expenses increased 1% to $670.95 million due to the 59.9% increase in fuel costs. Expenses on wages, salaries and other employee benefits fell 8.7% on reduced headcount. Sales and distribution costs increased 15.5% due to higher sales. Passenger servicing costs dropped 21.3%. Flight operation costs increased 3%.
Copa Holdings exited the fourth quarter with cash and cash equivalents of $122.42 million compared with $198.74 million at the end of September 2022. Total debt, including lease liabilities, was $1.7 billion, flat sequentially.
CPA exited 2022 with a consolidated fleet of 97 aircraft, which comprises 67 Boeing 737-800s, 20 Boeing 737 MAX 9s, 9 Boeing 737-700s and 1 Boeing 737-800 freighter. During the fourth quarter of 2022, the carrier took delivery of two Boeing 737 MAX 9 aircraft.
In January, CPA further took delivery of one Boeing 737 MAX 9 and anticipates receiving one additional aircraft by the end of the first quarter.
Currently, Copa Holdings carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Performance of Other Transportation Companies
Delta AirLines’ (DAL - Free Report) third-quarter 2022 earnings (excluding 42 cents from non-recurring items) of $1.51 per share fell short of the Zacks Consensus Estimate of $1.56. Escalated operating expenses induced the earnings miss. Multiple flight cancelations and booking weaknesses due to Hurricane Ian also hurt results. DAL reported earnings of 30 cents per share a year ago, dull in comparison to the current scenario, as air-travel demand was not so buoyant then.
DAL reported revenues of $13,975 million, which lagged the Zacks Consensus Estimate of $14,157.2 million. Driven by the high air-travel demand, total revenues increased more than 52% on a year-over-year basis.
United Airlines’ (UAL - Free Report) third-quarter 2022 earnings (excluding 5 cents from non-recurring items) of $2.81 per share beat the Zacks Consensus Estimate of $2.21 and our estimate of $2.17. An upbeat in air-travel demand aided results. In the year-ago quarter, UAL incurred a loss of $1.02 per share when air-travel demand was not as buoyant as in the current scenario. The third quarter of 2022 was the second consecutive profitable quarter at UAL since the onset of the pandemic.
Operating revenues of $12,877 million beat the Zacks Consensus Estimate of $12,709.5 million and our estimate of $12, 631.6 million. UAL’s revenues increased more than 66% year over year owing to an upbeat air-travel demand. The optimistic air-travel demand scenario is also evident from the fact that total operating revenues increased 13.2% from third-quarter 2019 (pre-coronavirus) levels.
J.B. Hunt Transport Services, Inc. (JBHT - Free Report) reported better-than-expected third-quarter 2022 results, wherein earnings and revenues outperformed the Zacks Consensus Estimate.JBHT’squarterly earnings of $2.57 per share surpassed the Zacks Consensus Estimate of $2.45 and improved 36.7% year over year.
Total operating revenues of $3,838.3 million also outperformed the Zacks Consensus Estimate of $3803.4 million. The top line jumped 22.1% year over year on the back of strength across — Dedicated Contract Services, Intermodal, Truckload and Final Mile Services segments. Total operating revenues, excluding fuel surcharges, rose 12.4% year over year.