Controladora Vuela Compania de Aviacion SAB de CV (VLRS) 2023 Q4 法說會逐字稿

Good morning, everyone. Thank you, for standing by. Welcome to Volaris fourth quarter and full year 2023 financial results conference call. All lines are in listen-only mode. Following the company's presentations, we will open the call for your questions. Please note that we are recording this event. This event is also being broadcast live via webcast and can be accessed through the Volaris website.

大家，早安。謝謝你，你一直站在一旁。歡迎參加 Volaris 第四季和 2023 年全年財務業績電話會議。所有線路均處於僅監聽模式。在公司介紹之後，我們將開始電話詢問您的問題。請注意，我們正在記錄此事件。該活動還透過網路直播進行現場直播，並且可以透過 Volaris 網站進行存取。

At this point, I would like to turn the call over to Ricardo Martinez, Investor Relations Director. Please go ahead, Ricardo.

現在，我想將電話轉給投資者關係總監里卡多·馬丁內斯 (Ricardo Martinez)。請繼續，里卡多。

Good morning, everyone, and thank you for joining the call. With us is our President and CEO, Enrique Beltranena; our Airline Executive Vice President, Holger Blankenstein; and our Chief Financial Officer, Jaime Pous. They will be discussing the company's fourth quarter and full year 2023 results. Afterwards, we will move on to your questions. Please note that this call is for investors and analysts only.

大家早安，感謝您加入通話。與我們在一起的是我們的總裁兼執行長 Enrique Beltranena；我們的航空公司執行副總裁 Holger Blankenstein；以及我們的財務長 Jaime Pous。他們將討論公司第四季和 2023 年全年業績。接下來，我們將繼續回答您的問題。請注意，本次電話會議僅針對投資者和分析師。

Before we begin to remind everyone that this call may include forward-looking statements within the meaning of applicable securities laws. Forward-looking statements are subject to several factors, that could cause the company results to differ materially from expectations. As described in the company's filings with the United States, SEC and Mexico CMBB.

在我們開始提醒大家之前，本次電話會議可能包含適用證券法意義內的前瞻性陳述。前瞻性陳述受到多種因素的影響，這些因素可能導致公司業績與預期有重大差異。正如該公司向美國、SEC 和墨西哥 CMBB 提交的文件中所述。

These statements speak only as of the date they are made and Volaris undertakes no obligation to update or modify any forward-looking. As in our earnings press release, our numbers are in US dollars compared to the fourth quarter of [2023], unless otherwise noted.

這些陳述僅代表截至其作出之日的情況，Volaris 不承擔更新或修改任何前瞻性陳述的義務。正如我們的財報新聞稿中所言，除非另有說明，否則我們的數據均以美元為單位，與 [2023] 年第四季相比。

And with that, I will turn the call over to Enrique.

接下來，我會將電話轉給恩里克。

Thank you, Ricardo, and thank you all for joining us today. During 2023, we learned a lot, when resizing the operations and turned a very complex situation into a solid financial result for the fourth quarter. When an absolute basis, we recorded our highest-ever historical quarterly periods, not only that we were profitable for the quarter posting a net income of $112 million.

謝謝里卡多，也謝謝大家今天加入我們。2023 年，我們在調整營運規模並將非常複雜的情況轉變為第四季度穩健的財務業績時學到了很多東西。在絕對基礎上，我們創下了有史以來最高的季度業績，不僅如此，我們在該季度實現了盈利，淨收入達到 1.12 億美元。

Our quarterly and full year 2023 performance demonstrated resilience in the face of the challenge encountered throughout the year, such as the extended a downgrade of Mexico to CAT 2, aircraft on ground AOG's due to Pratt & Whitney's preventive accelerated inspections and slot restrictions at the Mexico City International Airport. These challenges have tested our managerial and operational flexibility and the mitigation plan outlined in our recent earnings call has proven effect.

我們的2023 年季度和全年業績表現出面對全年遇到的挑戰的彈性，例如由於普惠公司在墨西哥機場的預防性加速檢查和起降時刻限制，墨西哥機場的降級延長至CAT 2、地面AOG 的飛機城市國際機場。這些挑戰考驗了我們的管理和營運靈活性，我們最近的財報電話會議中概述的緩解計劃已證明有效。

Now let's review how we closed the fourth quarter. Operating revenue grew 9.6% year-over-year with unit revenue rising 10.7% on ASMs that contracted 1.1% EBIT and EBITDA margins expanded by 11 point and 6 points respectively versus the same period of 2022. I think it is important to emphasize the value of the lessons we learned during the fourth quarter's rapid changes. We took advantage of strong demand while adjusting our network size, placing focus on prioritizing passenger service, which led to positive outlook.

現在讓我們回顧一下第四季的結束情況。營業收入年增 9.6%，ASM 的單位收入成長 10.7%，收縮 1.1%，息稅前利潤和 EBITDA 利潤率與 2022 年同期相比分別增長 11 個百分點和 6 個百分點。我認為重要的是要強調我們在第四季度的快速變化中學到的教訓的價值。我們抓住強勁的需求，調整網路規模，把重點放在旅客服務上，帶來了積極的前景。

We improved our proficiency and implementing effective cost control measures, we acknowledged the crucial significance of being proactive and our management and team were showcased our competitive advantages, including flexibility, effective negotiations and crisis moments.

我們提高了我們的熟練程度並實施了有效的成本控制措施，我們認識到積極主動的重要性，我們的管理層和團隊展示了我們的競爭優勢，包括靈活性、有效的談判和危機時刻。

Moving to the engine preventive accelerated inspections, remember that in November we signed a compensation agreement with Pratt & Whitney the agreement with hub to address certain fixed costs associated with our aircraft groundings during inspections and will complement outlined mitigation initiatives, which Jaime, will explain the accounting details.

談到發動機預防性加速檢查，請記住，去年11 月，我們與普惠公司簽署了一份補償協議，該協議與樞紐協議旨在解決與我們的飛機在檢查期間停飛相關的某些固定成本，並將補充概述的緩解措施，Jaime 將解釋這些措施會計細節。

Volaris' analytical tools for predicting engine performance has proven accurate, ensuring our successful efforts towards maintaining a reliable passenger schedule. However, despite an approximate 30% increase in shop capacity amounts by breadth, persistent delays in materials, availability at engine shops are anticipate.

Volaris 用於預測引擎性能的分析工具已被證明是準確的，確保我們成功維持可靠的乘客時刻表。然而，儘管車間容量按寬度增加了約 30%，但預計引擎車間的材料和可用性將持續延遲。

This will result in winter wind turnaround times exceeding 350 days, inspections are likely to extend into 2026. Pratt is working hard to ramp up production of new materials, including full life discs, improved seals, terminal foils, new software that eliminates vibrations plus several other structural improvements that will be initially incorporated for new aircraft deliveries and will be available later this year for engines inductive for shop visits.

這將導致冬季風力週轉超過 350 天，檢查可能會延長至 2026 年。普拉特正在努力提高新材料的產量，包括全壽命盤、改進的密封件、端子箔、消除振動的新軟體以及其他幾項結構改進，這些改進將最初用於新飛機交付，並將於今年稍後推出引擎感應用於商店參觀。

Most important breadth is standing behind its broad. For top priority has always been the safety of our ambassadors and our customers. Since June 2023, we have grounded 16 aircraft on average per month, impacting roughly 6.5% of our future book, to address this during the second half of last year we needed to re-accommodate and or compensate affected passengers, which meant absorbing in a resized capacity low for bookings that consequently diluted unit revenues and added some incremental costs.

最重要的廣度是其廣度背後的支撐。我們的大使和客戶的安全始終是重中之重。自2023 年6 月以來，我們平均每月停飛16 架飛機，影響了我們未來預訂量的約6.5%，為了在去年下半年解決這個問題，我們需要重新安置和/或補償受影響的乘客，這意味著要吸收調整了較低的預訂容量，從而稀釋了單位收入並增加了一些增量成本。

Beginning in October, however, we started to see positive outcomes from our capacity rationalization efforts. We reduced capacity in the domestic Mexican market while we continue to reach accommodate our effective capacity. Regionally, overall Mexican domestic market capacity contracted as we along with our one of our domestic competitors, progressively removed GTF engines for inspection.

然而，從 10 月開始，我們開始看到產能合理化工作的正面成果。我們減少了墨西哥國內市場的產能，同時繼續滿足我們的有效產能。從地區來看，由於我們與國內競爭對手之一逐步拆除 GTF 引擎進行檢查，墨西哥國內市場整體容量出現收縮。

At the same time, we instituted strategic commercial measures to protect our financial performance in domestic Mexican domestic market. We canceled routes in the ramp-up phase and adjusted frequencies on oversaturated roads. Furthermore, we strategically redesigned capacity in the US, Mexico international market, focusing on growth for enhanced loads and higher unit revenues rather than pursuing market share.

同時，我們制定了策略性商業措施，以保護我們在墨西哥國內市場的財務表現。我們取消了啟動階段的路線，並調整了過飽和道路的頻率。此外，我們策略性地重新設計了美國、墨西哥國際市場的產能，並專注於成長以提高負載和更高的單位收入，而不是追求市場份額。

For 2024, we anticipate that on average our network on an ASM basis will approximately 45% international, a notable increase from 35% in 2023, which will increase US-dollar denominated revenues. We successfully boosted ancillary revenues to an all-time high accounting for 50% of total operating revenues in the fourth quarter. Simultaneously, we have effectively managed our labor force, reducing its size in headcount, quite sustaining productivity at over 80 hours per month for each pilot and flight of them.

到 2024 年，我們預計我們的 ASM 網路平均約 45% 是國際化的，比 2023 年的 35% 顯著增加，這將增加以美元計價的收入。我們成功地將輔助收入提高到歷史最高水平，佔第四季總營業收入的 50%。同時，我們有效地管理了我們的勞動力，減少了人員規模，使每位飛行員和每個航班每月工作超過 80 小時，相當維持生產力。

Another key focus is liquidity. At year end, our cash position was at the level comparable to last year's balance. Additionally, our debt maturity profile and leverage remained healthy. Our ongoing efforts to mitigate risks will safeguard profitability and align with our primary objective of generating shareholder returns in accordance with our long-term strategy.

另一個重點是流動性。截至年底，我們的現金狀況與去年的餘額相當。此外，我們的債務到期狀況和槓桿率保持健康。我們持續努力降低風險將保障獲利能力，並符合我們根據長期策略為股東創造回報的主要目標。

For this year were low-risk strategy is based on three core pillars. The Pillar number one is fleet and capacity. Our dedication lies in preserving business continuity while minimizing disruptions to our core operations, flight service and passenger experience. To achieve this, we secured additional capacity that will supplement for some of our GTS inspection impacted fleet.

今年的低風險策略基於三個核心支柱。第一支柱是機隊和運能。我們致力於維持業務連續性，同時最大限度地減少對我們核心營運、航班服務和乘客體驗的干擾。為了實現這一目標，我們獲得了額外的產能，以補充我們一些受 GTS 檢查影響的機隊。

Accordingly, we executed lease extensions of America that were scheduled for redelivery and secured straight operating leases for additional aircraft, thereby balancing capacity reduction with operational requirements. Furthermore, we successfully negotiated the acquisition of additional experience. During this quarter, Volaris analyzed wet list capacity, and we concluded that it was not strategically productive or cost deficient .

因此，我們延長了美國計劃重新交付的租約，並獲得了額外飛機的直接經營租賃，從而平衡了運力減少與營運需求。此外，我們也成功地透過談判獲得了額外的經驗。在本季度，Volaris 分析了濕單產能，我們得出的結論是，它在戰略上不具有生產力或成本不足。

Regarding growth, it is important to note that as our capacity returns to our fleet in 2025, we will be prudent and rational. Notably building on our lessons learned, we now have significant flexibility with our scheduled deliveries of new aircraft and lease expirations that will allow us proactively manage capacity and prioritize profitability. We focused on our passengers by clearly and consistently communicating capacity and route availability. Our efforts have proven effective despite Volaris' advance booking profile being particularly challenging and sensitive.

關於成長，值得注意的是，隨著我們的運能在2025年恢復到我們的機隊，我們將保持謹慎和理性。值得注意的是，根據我們學到的經驗教訓，我們現在在新飛機的預定交付和租賃到期方面具有很大的靈活性，這將使我們能夠主動管理產能並優先考慮盈利能力。我們透過清晰、一致地傳達運力和航線可用性來關注乘客。儘管 Volaris 的提前預訂資料特別具有挑戰性和敏感性，但我們的努力已被證明是有效的。

Pillar number two, network optimization and profitably. We view our GTF capacity reduction as an opportunity, and we'll capitalize on this opportunity to achieve strong profitability as we did bouncing back from the pandemic. Our strategy involves redesigning our network and reallocating capacity to prioritize profits over defending market share in highly competitive sectors.

第二支柱，網路優化和獲利。我們將 GTF 產能削減視為一個機會，我們將利用這個機會實現強勁的獲利能力，就像我們從疫情中恢復過來一樣。我們的策略包括重新設計我們的網路並重新分配產能，以優先考慮利潤，而不是在競爭激烈的行業中捍衛市場份額。

Capitalizing on the return of category one, we plan to increase higher margin international flights and take advantage of reduced capacity throughout Mexico, aiming for stronger yields and unit revenues without compromising network defensibility. We're boosting tourism and effectively managing CASM ex, our demand is distinct and more elastic, driven by appealing prices and safety for both switching passengers, the convenience for growing adopters and frequent passengers and the resilience of our DFR network.

利用第一類航班的回歸，我們計劃增加利潤率更高的國際航班，並利用墨西哥各地運力的減少，力爭在不影響網路防禦能力的情況下實現更高的收益和單位收入。我們正在促進旅遊業發展並有效管理CASM ex，我們的需求是獨特且更具彈性的，這得益於對換乘乘客有吸引力的價格和安全性、對不斷增長的採用者和常客的便利性以及我們DFR 網路的彈性。

We anticipate ancillaries to constitute more than 50% of our total revenues. We expect this to further enhance our profit profile with attractive margins. The labor market in our regions varies significantly from that in the United States. Additionally, we distinguish ourselves by maintaining a healthy balance sheet.

我們預計輔助業務將占我們總收入的 50% 以上。我們預計這將進一步提高我們的利潤狀況，並具有有吸引力的利潤率。我們地區的勞動市場與美國的勞動市場差異很大。此外，我們也透過保持健康的資產負債表而脫穎而出。

Here's where Volaris stands out from the US industry and low-cost carriers in South America. No doubt, for example, we recently agreed a mutually satisfactory 5% wage increase in Mexican pesos for 2024 effective February first. All the costs remain controlled with a lower ASMs expected to be the primary constraint on cost performance this year. Important to note that once the capacity is reinstated, our cost advantage will increase versus our competitors.

這就是 Volaris 從美國航空業和南美低成本航空公司中脫穎而出的地方。毫無疑問，例如，我們最近商定了雙方都滿意的 2024 年墨西哥比索工資增長 5% 的協議，自 2 月 1 日起生效。所有成本仍然受到控制，ASM 較低預計將成為今年成本績效的主要限制。值得注意的是，一旦產能恢復，我們相對於競爭對手的成本優勢將會增加。

Pillar number three, elevating passenger experience and cultivating talent for future growth. In previous disruptions, we've navigated challenges while laying foundations for long-term growth, and this time is no exception. During this pause in our growth, our focus on differentiating or live includes renewing the customer promise to foster positive brand perception, offering a new optimized and reliable schedule with no need for further cancellation, investing in technology as a growth platform and balancing short-term efficiency with long term talent needs.

第三支柱，提升乘客體驗並培養未來成長的人才。在先前的顛覆中，我們克服了挑戰，同時為長期成長奠定了基礎，這次也不例外。在我們成長的暫停期間，我們對差異化或生存的關注包括更新客戶承諾以培養積極的品牌認知、提供新的優化且可靠的時間表而無需進一步取消、投資技術作為成長平台以及平衡短期效率與長期人才需求。

Before I turn the call over to Holger, I want to highlight that our valued ambassadors consistently demonstrate exceptional dedication and work ethic. I am optimistic about our market guidance, supported by positive trends in traffic. Our successful execution of the capacity reduction and itinerary realignments further strengthens this confidence.

在我把電話轉給霍爾格之前，我想強調一下，我們尊貴的大使始終表現出非凡的奉獻精神和職業道德。在流量正向趨勢的支持下，我對我們的市場指引感到樂觀。我們成功執行了運力削減和行程調整，進一步增強了這種信心。

Moving forward, we will continue to prioritize profitability and will maintain a conservative approach to managing our balance sheet.

展望未來，我們將繼續優先考慮獲利能力，並維持保守的資產負債表管理方法。

I would now like to turn the call over to Holger, who will cover our fourth quarter operational performance and commercial plan for 2024.

我現在想將電話轉給 Holger，他將介紹我們第四季的營運業績和 2024 年的商業計劃。

Thank you, and good morning, everyone. Overall we had a very dynamic 2023 that featured strong headwinds and robust demand throughout our network. During the last year, we navigated the prolonged recovery of Category 1 government related capacity reductions at Mexico City international airports and the announcement of GTF engine related accelerated inspection leading to aircraft grounding.

謝謝大家，大家早安。總體而言，我們度過了充滿活力的 2023 年，整個網路面臨著強勁的阻力和強勁的需求。去年，我們應對了墨西哥城國際機場 1 類政府相關產能削減的長期恢復，以及宣布與 GTF 發動機相關的加速檢查導致飛機停飛。

Despite these challenges, we grew increasing ASMs by 10% compared to 2022 and expanding our fleet by 12 aircrafts. Our full year 2023 results included a robust fourth quarter, which benefited from strong demand over the holiday season, our excellent operational execution and steps to address the impact of the aircraft on ground.

儘管面臨這些挑戰，與 2022 年相比，我們的 ASM 數量增加了 10%，機隊規模增加了 12 架飛機。我們的 2023 年全年業績包括強勁的第四季度業績，這得益於假日季節的強勁需求、我們出色的營運執行力以及解決飛機對地面影響的措施。

For 2023 as a whole, ancillary revenues represented 49% of total revenue, an increase of approximately 8-percentage-points compared to 2022. Throughout the year, we implemented initiatives contributing to this increase. In spring, we introduced the annual pass, allowing Volaris customers to fly as much as they want only paying airport fee.

2023年全年，輔助收入佔總收入的49%，較2022年增加約8個百分點。在這一年中，我們實施了有助於這項成長的措施。春季，我們推出了年票，讓 Volaris 客戶可以隨心所欲地飛行，只需支付機場費。

We are approaching 30,000 annual pass flyer in under a year. RV club membership featuring the new zero per ticket continues to attract strongly contributing 15% of our typical. The unbundled fare is gaining traction with smaller businesses, and we are tailoring it more to cater to this segment.

不到一年的時間，我們的年票傳單數量將接近 30,000 份。房車俱樂部會員資格以新的零票價為特色，繼續吸引我們的典型貢獻者的 15% 的強烈貢獻。非捆綁票價越來越受到小型企業的青睞，我們正在對其進行更多客製化以迎合這一細分市場。

Now double-clicking on the fourth quarter, our network-wide load factor rose to a strong 88.1%, including a 91.8% load in our Mexican domestic market. We managed capacity so that RPM growth was flat despite a decrease of 1% in ASM, highlighting demand remained especially strong in our core markets and stations.

現在雙擊第四季度，我們的全網負載率升至 88.1%，其中墨西哥國內市場的負載率為 91.8%。儘管 ASM 下降了 1%，但我們對容量進行了管理，使得 RPM 成長持平，這凸顯了我們的核心市場和加油站的需求仍然特別強勁。

However, in the fourth quarter, we had to reduce domestic ASMs by 11.2% year over year, while growing international ASMs by 21.7% due to the accelerated inspection required by Pratt & Whitney. Our capacity focus wasn't adding frequencies to the US transborder market, capitalizing on the restoration of Mexico's Category 1 to strengthen our presence in the US Mexico market.

然而，第四季度，我們不得不將國內ASM年減11.2%，而國際ASM則因普惠公司要求的加速檢查而增加21.7%。我們的運力重點不是增加美國跨境市場的班次，而是利用墨西哥 1 類恢復的機會來加強我們在美國墨西哥市場的影響力。

This not only allowed us to reallocate capacity from concentrated domestic markets such as the Tijuana and Guadalajara. We also addressed dilutions in the Central American market caused by the accelerated capacity, we added last year, notably. Fourth-quarter travel increased to $9.6 US cents, marking a 10.7% rise compared to last year. An achievement ranking among the best in our history.

這不僅使我們能夠從蒂華納和瓜達拉哈拉等集中的國內市場重新分配產能。我們也解決了中美洲市場因產能加速而造成的稀釋問題，我們去年特別補充。第四季旅遊費用增加至 9.6 美分，較去年增加 10.7%。這項成就在我們的歷史上名列前茅。

It's important to highlight that despite witnessing strong payer trends in the domestic market, including a 17.4% increase in December, our average base fare in the fourth-quarter was actually 2% lower than last year. Instead, unit revenue was primarily driven by effectively capturing demand and by robust growth in our ancillary offering. We have now achieved our target of over 50% of our total operating revenue.

需要強調的是，儘管國內市場的付費趨勢強勁，包括 12 月成長 17.4%，但我們第四季的平均基本票價實際上比去年低了 2%。相反，單位收入主要是由有效捕捉需求和我們的輔助產品的強勁成長所推動的。我們現在已經實現了佔總營業收入50%以上的目標。

In summary, our revenues per packs continue to be very strong. While we observe unit revenue pressures reported by our US peers. Ancillary per pax reached $55 in the fourth-quarter, a 33% increase and registered $61 in December as holiday flyers increasingly chose our ancillary offering.

總而言之，我們每包的收入仍然非常強勁。雖然我們觀察到美國同業報告的單位收入壓力。隨著越來越多的度假旅客選擇我們的輔助服務，第四季每人輔助費用達到 55 美元，成長 33%，12 月達到 61 美元。

Looking ahead to 2024 we believe ancillaries will reach 50% of total revenues for the entire year for the first time. Our initiatives to evolve our offering this year include continuously optimizing pricing through personalized and advanced pricing strategy, launching new products and services, including insurance of option, designed to offer flexibility and increase the presence of our co-branded credit card, leveraging recurring revenue streams through initiatives like E-Club membership services to encourage repeat service and customer affinity, creating a new mobile app that will improve the overall passenger experience.

展望 2024 年，我們相信輔助業務將首次達到全年總收入的 50%。我們今年改進產品的舉措包括透過個人化和先進的定價策略不斷優化定價，推出新產品和服務，包括期權保險，旨在提供靈活性並增加我們聯名信用卡的存在，利用經常性收入流通過E- Club 會員服務等措施鼓勵重複服務和客戶親和力，創建新的行動應用程式以改善整體乘客體驗。

On a different note, our transborder traffic between Mexico and the US demonstrate consistent growth prepared by the positive impact of near-shoring and the need for mobility. We believe that any potential new restriction to land border crossing will have no negative impact on our transborder air traffic. It is crucial to emphasize that the foundation of our traffic between the US and Mexico, particularly along the border region, is rooted in our robust network strength in the northern part of Mexico, and it has proven resilient through several cycles.

另一方面，墨西哥和美國之間的跨境交通表現出持續增長，這是由於近岸和流動性需求的積極影響所準備的。我們相信，任何潛在的陸路過境新限制不會對我們的跨境空中交通產生負面影響。必須強調的是，美國和墨西哥之間的流量基礎，特別是邊境地區的流量基礎，植根於我們在墨西哥北部的強大網路實力，並且經過多個週期的證明，它具有彈性。

Our leisure traffic to the Mexican beaches continues to thrive. Unlike the challenges faced by US carriers. Our leisure network predominantly caters to the domestic market. None of the domestic Mexican carriers have allocated surplus capacity to these markets, contributing to a robust and sustainable nature of our operations in this segment.

我們前往墨西哥海灘的休閒交通繼續蓬勃發展。與美國營運商面臨的挑戰不同。我們的休閒網路主要迎合國內市場。沒有一家墨西哥國內航空公司將剩餘運力分配給這些市場，這有助於我們在這一領域的營運保持強勁和可持續的性質。

Optimizing our international revenue mix is a key driver of our enhanced financial performance. The inclusion of longer flight sectors not only ensures a more efficient utilization of our fleet, but also holds the potential for other substantial benefits. We estimate to reach around 50% of our collection in USD in 2024, reducing foreign exchange exposure on our P&L.

優化我們的國際收入結構是我們提高財務績效的關鍵驅動力。納入更長的航段不僅可以確保更有效地利用我們的機隊，而且還具有獲得其他實質好處的潛力。我們預計到 2024 年，我們的收款額將達到 50% 左右，以美元計價，從而減少損益表中的外匯風險。

The positive trajectory extends further with the increasing adoptions of the ancillary offerings, particularly popular among passengers on extended journey, combined with improved domestic yields attributes to lower industry capacity, we are poised for robust travel results in 2024.

隨著輔助產品的採用越來越多，尤其受到長途旅行乘客的歡迎，加上國內收益率的提高導致行業產能下降，我們預計將在2024 年實現強勁的旅行業績，這一積極軌跡將進一步延伸。

This encouraging trend initiated in the fourth-quarter of 2023 is already evident and booking curves indicate a continuation of this favorable trend in the coming months, aligned with our 2024 guidance. Passenger experience remains a priority. However, in the second-half of last year, our passengers experienced an unfortunate number of cancellations due to the mentioned challenges earlier on.

2023 年第四季開始的這一令人鼓舞的趨勢已經很明顯，預訂曲線表明這種有利趨勢將在未來幾個月持續存在，這與我們 2024 年的指導一致。乘客體驗仍然是首要任務。然而，去年下半年，由於先前提到的挑戰，我們的乘客不幸遭遇了多次航班取消。

We are committed to reversing this trend in 2024 completing a more reliable schedule. Our priority will be delivering the Volaris promise to our customers and flying them reliably, safely and on time. We are doubling down on making all interactions with our serviceable, especially for the day of departure. This will enhance customer satisfaction with an increasing mobile affinity. This effort remains crucial for fostering strong and recurring demand for the Volaris products.

我們致力於在 2024 年扭轉這一趨勢，完成更可靠的時間表。我們的首要任務是向客戶履行 Volaris 承諾，並可靠、安全和準時地為他們提供飛行服務。我們正在加倍努力，使與我們的所有互動變得可用，尤其是在出發當天。這將透過增加行動親和力來提高客戶滿意度。這項努力對於促進對 Volaris 產品的強勁和經常性需求仍然至關重要。

Regarding the network this year, we generate a more balanced ASM production with a split of around 55% in our Mexican domestic market and 45% international, the restoration of catagory one with further support capacity allocation to the United States enabling us to increase frequency on historically profitable routes.

關於今年的網絡，我們實現了更平衡的 ASM 生產，墨西哥國內市場約佔 55%，國際市場約佔 45%，恢復一類產品並進一步支持美國的產能分配，使我們能夠增加生產頻率歷史上盈利的航線。

We are excited about our partnership with Frontier Airlines. Despite the disappointment of Mexico's down rate category tool in the past two years, which impeded us from fully capitalizing on this collaboration. We are keen to revive our engagement this year and anticipate achieving significant outcomes. We are well positioned with our enhanced brand presence and greater distribution power.

我們對與邊疆航空的合作感到非常興奮。儘管過去兩年墨西哥的降息類別工具令人失望，這阻礙了我們充分利用這種合作。我們渴望今年恢復我們的參與，並期望取得重大成果。憑藉增強的品牌影響力和更大的分銷能力，我們處於有利地位。

Concurrently, we've witnessed Frontier's growth in their market position. It's important to highlight that our partnership with Frontier remain genuine featuring a code share and an overarching marketing collaboration. The absence of an [API] with Frontier underscores the authenticity of our relationship. As we move forward with reactivating this partnership, we eagerly anticipate operating on a more level playing field.

同時，我們也見證了 Frontier 市場地位的成長。需要強調的是，我們與 Frontier 的合作關係仍然是真誠的，包括程式碼共享和全面的行銷合作。Frontier 缺乏 [API]，這凸顯了我們關係的真實性。隨著我們繼續恢復這種夥伴關係，我們熱切地期望在一個更公平的競爭環境中開展業務。

In Central and South America, we are also planning capacity adjustments and a smaller footprint where markets are demonstrating sufficient capacity.

在中美洲和南美洲，我們也計劃進行產能調整，並在市場表現出足夠產能的情況下縮小佔地面積。

In summary, we see the opportunity to have a positive 2024 by delivering on our ongoing commitments, increased travel through better fare, improved load, a strong network and ancillary growth, ensure cost leadership and simplicity, deliver exceptional passenger experience and extract value from our network and ultimately become the preferred carrier in our market.

總而言之，我們認為有機會實現積極的2024 年業績，方法是兌現我們的持續承諾，透過更優惠的票價、改善載客量、強大的網絡和輔助增長來增加旅行，確保成本領先和簡單性，提供卓越的乘客體驗並從我們的服務中獲取價值網絡並最終成為我們市場上的首選營運商。

I will now turn the call over to Jaime to discuss our financial performance for the fourth quarter and full year 2023.

我現在將電話轉給 Jaime，討論我們第四季和 2023 年全年的財務表現。

Thank you, Holger. We are pleased to report that despite the external challenges discussed earlier, our fourth-quarter performance allowed us to turn an accumulated loss in the first nine-months into a positive net income, compared to the same period last year of our fourth-quarter 2022 results. Total operating revenues of $899 million, a 10% increase, notwithstanding the 1% year-over-year reduction in ASMs due to the continued strong demand and outstanding ancillary revenue improvement.

謝謝你，霍爾格。我們很高興地報告，儘管存在前面討論的外部挑戰，但與 2022 年第四季度去年同期相比，我們第四季度的業績使我們能夠將前 9 個月的累計虧損轉化為正淨利潤結果。儘管由於持續強勁的需求和顯著的輔助收入改善，ASM 年比減少 1%，但總營業收入仍達到 8.99 億美元，成長 10%。

Custom was $7.31, decelerating 2% year-over-year. Fuel was a driver of the decrease with our average economic fuel cost falling by 16% to $3.13 per gallon, while CASM ex fuel increased 11% and total $4.86. Before discussing profits. It is important to note that during the fourth-quarter, compensation from Pratt & Whitney is included in the P&L mainly as part of the other operating income.

定制價格為 7.31 美元，年減 2%。燃料是下降的推動因素，我們的平均經濟燃料成本下降了 16%，至每加侖 3.13 美元，而 CASM 不含燃料成本增加了 11%，總計 4.86 美元。在討論利潤之前。值得注意的是，第四季普惠公司的薪酬主要作為其他營業收入的一部分計入損益表。

This account in, it also includes aircraft sale and leaseback gains another accrual cancellations. As part of the mitigation plan for the engine inspections we extend and aircraft leases, not only for 2024, but also for 2025. EBIT total $164 million, an increase of 173%, reflecting the improvement in trust from the benefit of rates of lease extensions and favorable fuel costs.

在該帳戶中，還包括飛機銷售和回租收益的另一個應計取消。作為引擎檢查緩解計畫的一部分，我們不僅延長了 2024 年的引擎檢查期限，還延長了 2025 年的飛機租賃期限。息稅前利潤總計 1.64 億美元，成長 173%，反映出租賃延期率和有利的燃料成本帶來的信任度的改善。

This resulted in a margin of 18% and 11-percentage-points increase. EBITDA totaled $281 million, a 35% increase. EBITDA margin was 31%, an improvement of 6-percentage-points. This is a significant shift from our performance in the first nine months of the year. Net income rose to $112 million, translating into earnings per ADS of $0.96. The cash flow provided by operating activities in the fourth-quarter was $218 million. Cash outflows used in investing and financing activities were $113 million and $82 million, respectively.

這使得利潤率提高了 18%，成長了 11 個百分點。EBITDA 總計 2.81 億美元，成長 35%。EBITDA 利潤率為 31%，提高了 6 個百分點。這與我們今年前九個月的表現相比發生了重大轉變。淨利潤增至 1.12 億美元，相當於每股美國存託憑證收益 0.96 美元。第四季經營活動提供的現金流為2.18億美元。用於投資和融資活動的現金流出分別為1.13億美元和8,200萬美元。

Now moving to our full 2023 year results, we're now on financial performance stands out compared to 2022. Total operating revenues of $3.3 million an increase of 14% CASM of $7.81, a 1.7% decrease over 2022. The average economic fuel cost for the full year decreased by 18% to $3.11 per gallon, CASM ex-fuel of $4.81, reflecting a 12.8% increase. I want to emphasize that both total operating revenues and CASM ex-fuel results aligned with our annual outlook even as we initiated there for rounding in the third quarter.

現在來看看我們 2023 年的完整業績，與 2022 年相比，我們的財務表現表現出色。總營業收入為 330 萬美元，成長 14% CASM 為 7.81 美元，比 2022 年下降 1.7%。全年平均經濟燃油成本下降 18%，至每加侖 3.11 美元，CASM 不含燃油成本為 4.81 美元，成長 12.8%。我想強調的是，儘管我們在第三季開始進行四捨五入，但總營業收入和 CASM 扣除燃料後的業績都與我們的年度展望保持一致。

EBIT was $223 million, up from $44 million or 2022, with an EBIT margin of 7%, up 5.3-percentage-points. EBITDAR came in at $823 million, an increase of 40%, while EBITDAR margin was 25%, an increase of 4.7-percentage-points.

息稅前利潤為 2.23 億美元，高於 2022 年的 4,400 萬美元，息稅前利潤率為 7%，成長 5.3 個百分點。 EBITDAR 收入為 8.23 億美元，成長 40%，而 EBITDAR 利潤率為 25%，成長 4.7 個百分點。

Net income was $8 million, translating into earnings per ADS of $0.07. Volaris finished the year with a total liquidity position of $789 million, representing 24% of the last 12 months operating revenue. Our net debt to EBITDA ratio decreased to 3.4 times from 3.9 times at the end of 2022. The short-term maturities of our financial debt are attributed to pre-delivery payments which shareholders will eventually return upon aircraft delivery. In other words, Vuela will now discuss low and manageable refinancing exposure in the short to medium term.

淨利潤為 800 萬美元，相當於每份美國存託憑證收益為 0.07 美元。 Volaris 全年流動性部位總額為 7.89 億美元，佔過去 12 個月營業收入的 24%。我們的淨負債與 EBITDA 比率從 2022 年底的 3.9 倍下降至 3.4 倍。我們的金融債務的短期到期歸因於交付前付款，股東最終將在飛機交付時返還這些付款。換句話說，Vuela 現在將討論中短期內較低且可控的再融資風險。

Our CapEx net of fleet pre-delivery payments amounted to $152 million. As of December 31, our fleet comprised 129 aircraft, all from 117 aircraft a year ago. Since the Part two were 197 in the fourth-quarter, and our fleet had an average age of 5.7 years.

扣除機隊預先交付付款後，我們的資本支出達到 1.52 億美元。截至 12 月 31 日，我們的機隊由 129 架飛機組成，而去年同期為 117 架。由於第二部分第四季有 197 架飛機，我們機隊的平均機齡為 5.7 年。

Looking forward, we are working diligently on our fleet plan with Verbos and are maintaining our near term aircraft delivery schedule. We expect 17 scheduled aircraft deliveries in 2024 and 2025, all with PDP financing and [central lease commitments].

展望未來，我們正在與 Verbos 一起努力製定我們的機隊計劃，並維持我們的近期飛機交付計劃。我們預計 2024 年和 2025 年將有 17 架飛機按計劃交付，全部由 PDP 融資和[中央租賃承諾]。

We are entering this year with important financial data wins that put us in a good position to meet our yearly goals. Therefore, our outlook continues as follows. For the first-quarter of 2024, we expect a similar reduction of 16% to 18% year-over-year price of $8.5 to $8.7 CASM ex-fuel in the range of $5.5 to $5.7. This is not the primary cause of CASM ex-fuel increase the capacity reduction and the specific fixed costs linked to the grounded fleet, not fully compensated or perhaps AOG relief. And finally, we expect an EBITDA margin of 25% to 27% for the period.

今年我們取得了重要的財務數據，這使我們能夠很好地實現我們的年度目標。因此，我們的展望如下。對於 2024 年第一季度，我們預計 CASM 不含燃油價格將年減 16% 至 18%，為 8.5 至 8.7 美元，範圍為 5.5 至 5.7 美元。這並不是 CASM 燃油增加、容量減少以及與停飛機隊相關的特定固定成本、未充分補償或可能 AOG 減免的主要原因。最後，我們預計該期間的 EBITDA 利潤率為 25% 至 27%。

This outlook assumes an average foreign exchange rate of MXN17.20 Mexican peso per US dollar and an average economic fuel price of approximately $2.55 to $2.65 per gallon. For the full year 2024, we expect a similar reduction of 16% to 18% year-over-year, EBITDA margin in the range of 31% to 33% CapEx net of finance lease pre-delivery payments of approximately $200 million. Our full year 2024 outlook assumes an average exchange rate of MXN17.70 to MXN17.90 per US dollar at an average economic fuel price of approximately to $2.50 to $2.60 per gallon for the year.

該展望假設平均外匯匯率為 17.20 墨西哥比索兌 1 美元，平均經濟燃料價格約為每加侖 2.55 至 2.65 美元。對於 2024 年全年，我們預計將年減 16% 至 18%，EBITDA 利潤率將在 31% 至 33% 的範圍內，扣除約 2 億美元的融資租賃預交付付款後的資本支出。我們對 2024 年全年的展望假設，全年平均經濟燃料價格約為每加侖 2.50 至 2.60 美元，平均匯率為每美元 17.70 至 17.90 墨西哥比索。

Now I will turn the call over to Enrique for closing remarks.

現在我將把電話轉給恩里克做總結發言。

Thank you very much, Jaime. Before we begin the Q&A session, I want to emphasize that Volaris is dedicated to our ambassadors and customer safety and well-being. As airlines play a crucial role in connecting communities, we must exemplify safety, reliability and humanity. In practice this philosophy encompasses the safety first mindset discussed today and our participation in relief airports.

非常感謝你，海梅。在我們開始問答環節之前，我想強調 Volaris 致力於我們的大使以及客戶的安全和福祉。由於航空公司在連接社區方面發揮著至關重要的作用，因此我們必須體現安全性、可靠性和人性化。在實踐中，這個理念包含了今天討論的安全第一心態以及我們對救援機場的參與。

Last October, we provided free transportation for emergency responders, volunteers, Cremin tourists and transported humanitarian cargo to from the Acapulco region. After the devastation of Hurricane code. (inaudible - microphone inaccessible)

去年十月，我們為緊急救援人員、志工、克雷明遊客提供免費交通，並從阿卡普爾科地區運送人道貨物。颶風代碼遭到破壞後。（聽不清楚 - 麥克風無法存取）

In January, we hosted an event discussing the role of air transportation in preventing child and adolescent traffic. Additionally, in commemorating 10-years of Volaris' join in [airport], an non-government organization dedicated to fighting child exploitation and trafficking. We sign and then to expand the protocol to our operations in countries of Central and South America will continue to reaffirm our commitment to the people in the communities we serve.

一月份，我們舉辦了一場活動，討論航空運輸在預防兒童和青少年交通方面的作用。此外，為了紀念 Volaris 加入 [機場] 十週年，這是一個致力於打擊兒童剝削和販運的非政府組織。我們簽署協議並將其擴大到我們在中美洲和南美洲國家的業務，將繼續重申我們對我們所服務的社區人民的承諾。

We are confident that our corporate sustainability initiatives will foster long-term commitments from our stakeholders. At the risk cost today, we have spent the past 18-years creating advantages for Volaries that make us different. We primarily serve the resilient VFR market and attract first-time flyers.

我們相信，我們的企業永續發展措施將促進利害關係人的長期承諾。以今天的風險成本來看，我們在過去 18 年為 Volaries 創造了優勢，使我們與眾不同。我們主要服務於有彈性的 VFR 市場並吸引首次搭乘飛機的乘客。

Our controllable costs remain in check. Our network has been planned to capitalize on the return of CAT one and our closure was from there is not threatened. Volaris' balance sheet is strong and our fleet plan is flexible.

我們的可控成本仍然受到控制。我們的網路已計劃利用 CAT 1 的回歸，並且我們的關閉不會受到威脅。Volaris 的資產負債表強勁，我們的機隊計劃靈活。

Our strategies have proven, effective and resilient. These unprecedented market conditions represent an opportunity to shift our focus from establishing our industry profile to prioritizing profitability and shareholder returns. Moving forward, shareholder value creation remains as important to us as ever before.

我們的策略已被證明是有效且有彈性的。這些前所未有的市場狀況為我們提供了一個機會，可以將我們的重點從建立行業形象轉向優先考慮盈利能力和股東回報。展望未來，股東價值創造對我們來說仍然一如既往地重要。

Thank you very much for listening. Operator, please open the line for questions.

非常感謝您的聆聽。接線員，請開通提問線。

Thank you. The floor is now open for questions.

謝謝。現在可以提問。

(Operator Instructions)

（操作員說明）

Duane Pfennigwerth, Evercore ISI.

杜安‧芬尼格沃斯 (Duane Pfennigwerth)，Evercore ISI。

Thanks. Good morning. So I wanted to ask you about your international mix. You know, before the GTF issues showed up, you had a plan to increase international win Category one came back and now given the fleet constraints, you're redeploying to international, but also cutting back domestic something like 25% in the first-half of this year.

謝謝。早安.所以我想問一下你們的國際組合。你知道，在 GTF 問題出現之前，你有計劃增加國際一級比賽的勝利，現在考慮到機隊的限制，你正在重新部署到國際比賽，但也在上半年削減了 25% 左右的國內比賽今年的。

So I guess the question is, what do you think is the ideal. If you didn't have these constraints, what do you. What do you think the ideal mix of domestic versus international? Is there anything about your network is being reconfigured today? That's sort of surprising you positively maybe 45% or 50% is the right mix.

所以我想問題是，你認為什麼是理想的。如果你沒有這些限制，你會做什麼。您認為國內與國際的理想組合是什麼？今天您的網路有什麼需要重新設定的嗎？這有點讓你驚訝，也許 45% 或 50% 是正確的組合。

So, for the full year, as we said in the call, we are planning to get to 45% international, 55% domestic, and that is very much in line with what we had planned and we will add more flying line to the US. So we will see an increase in capacity despite a full year reduction of all overall network capacity.

因此，正如我們在電話中所說，全年我們計劃國際航線達到 45%，國內航線達到 55%，這與我們的計劃非常一致，我們將增加更多飛往美國的航線。因此，儘管全年網路總容量有所減少，但我們仍將看到容量的增加。

Most of the reduction will come from the domestic market. So we're not planning any decline in the in the US. And if you look at the first-quarter of the domestic reductions in ASMs will be up in the high 20-percentage-points. And then the international will actually increase by 9%, approximately 9% to 10%. But clearly, I need to underline that we will not abandon any of our core domestic markets, so we will continue to defend them and be very present in those core domestic markets.

大部分削減將來自國內市場。因此，我們不打算在美國出現任何下滑。如果你看看第一季國內 ASM 的減少量，增幅將高達 20 個百分點。然後國際實際上會增加9%，大約9%到10%。但顯然，我需要強調，我們不會放棄任何核心國內市場，因此我們將繼續捍衛它們，並在這些核心國內市場中佔有一席之地。

I guess just to follow up there, Holger, do you think this 45% mix is closer to optimal or if you had a blank sheet of paper, would it be, back to the 30% that you were doing historically?

我想接下來，Holger，您認為 45% 的混合比例是否更接近最佳，或者如果您有一張白紙，它會回到您歷史上所做的 30% 嗎？

I think we had too much capacity in the domestic market, Duane, as we always underline that during the last year and we had the shift some of that capacity to the US. So the answer is by now the mix. I think it's the right mix plus it gives us the advantage of this foreign exchange protection by having almost 50% of the collections in US dollar. We are protecting the 62% leverage that we have or exposure that we have on port on foreign exchange on the cost side. So it's balancing very well right now. And I think the target for this year is very optimal.

我認為我們在國內市場的產能太多了，杜安，正如我們去年一直強調的那樣，我們將部分產能轉移到了美國。所以現在的答案就是混合。我認為這是正確的組合，而且近 50% 的藏品以美元計價，這為我們提供了外匯保護的優勢。我們在成本方面保護我們擁有的 62% 槓桿或我們在港口外匯方面的敞口。所以現在平衡得很好。我認為今年的目標是非常理想的。

Okay, great. And then just to follow up on that on the GTF grounding, what is the incremental update today? What have you learned from Pratt over the course of the last quarter? And how should we be thinking about the timing of the resolution of these issues? In other words, is it sort of consistent with what you were thinking? Is it longer? Is it shorter? And I guess the punch line as it relates to Volaris, I know it's very early on, but how should we be thinking about 2025 growth? I assume it's a very wide range of outcomes, but I just, could capacity to be down again next year, for example? And thank you for the thoughts.

好的，太好了。然後，為了跟進 GTF 的基礎，今天的增量更新是什麼？上個季度您從普拉特身上學到了什麼？我們該如何思考解決這些問題的時機？換句話說，這和你的想法一致嗎？是不是更長了？是不是更短了？我猜想與 Volaris 相關的妙語是，我知道現在還為時過早，但我們應該如何考慮 2025 年的成長？我認為這是一個非常廣泛的結果，但我只是，例如，明年的產能是否會再次下降？謝謝你的想法。

Well, I think of doing we keep managing things like one that type, okay. So that's very important. As I said, during my Exposition, our analytical tools for predicting engine performance have proven to be accurate, and we have ensured the successful effort for that.

好吧，我想我們繼續管理類似的事情，好吧。所以這非常重要。正如我所說，在我的博覽會期間，我們用於預測引擎性能的分析工具已被證明是準確的，並且我們已確保為此所做的努力取得成功。

Having said that, as I said Pratt, is a taking a little bit more time at the shops because of lack of materials. Okay.

話雖如此，正如我所說的普拉特，由於缺乏材料，在商店裡要花更多的時間。好的。

And but what we are seeing is a and accelerated process fixing the different products that they have. And we strongly think that 2025 is still going to be like that somewhere around 350 to 400 days on shop and then eventually, I would say somewhere like February, March of next year, we might see a resumption that might affect the numbers for next year, but that's just a prediction based on today's forecast. And I don't want to say that it's going to be shorter, right now. I just wanted to say that there, I think we are in the right process towards the right solution.

但我們看到的是修復他們擁有的不同產品的加速過程。我們強烈認為2025 年仍將是這樣，大約350 到400 天的商店，然後最終，我會說，像明年2 月、3 月的某個時候，我們可能會看到恢復，這可能會影響明年的數字，但這只是基於今天預測的預測。我現在不想說它會更短。我只是想說，我認為我們正處於尋求正確解決方案的正確進程中。

Okay. Thank you for the thoughts.

好的。謝謝你的想法。

Thank you.

謝謝。

Steve Trent, Citi.

史蒂夫特倫特，花旗銀行。

Thank you very much, gentlemen. And good morning. Can you hear me okay. By the way?

非常感謝你們，先生們。早安.你聽得到我說話嗎？順便一提？

Yes, we hear you well.

是的，我們聽得很清楚。

Okay, great. Thanks very much.

好的，太好了。非常感謝。

So just one or two quick ones. For me. I think first as a follow-up to Duane's question one, we think about the greater emphasis on northbound US routes, fair to say kind of near to medium term there should be less expansion on these domestic interstate bus routes in Mexico.

所以只有一兩個快速的。為我。我認為首先作為杜安問題一的後續行動，我們考慮更加重視美國北行路線，公平地說，從近中期來看，墨西哥這些國內州際巴士路線的擴張應該會減少。

Yes, that's correct, Stephen. We accelerated our expansion into the US, so we're going to have a higher percentage of our business in the international this year and then we will shrink capacity in the domestic market. Absolutely.

是的，這是正確的，史蒂芬。我們加快了向美國的擴張，因此今年我們將在國際市場上擁有更高的業務比例，然後我們將收縮國內市場的產能。絕對地。

Great. Thank you, Holger.

偉大的。謝謝你，霍爾格。

And just another related question to that. If you could refresh my memory, very helpful color on domestic versus international. But within that, could you unpack a little bit, how you're thinking now about Central America to US non-stop or Central America to Mexico?

還有另一個與之相關的問題。如果你能喚起我的記憶，關於國內與國際的對比非常有幫助。但在這之中，您能否透露一下，您現在如何看待中美洲至美國的直航或中美洲至墨西哥的航班？

Yes, Stephen. So on last year, we accelerated our expansion in the Central American market to the US given the restrictions in Mexico with cuts two status of Mexico this year. And we have rightsized the Central American capacity where we shifting some of the capacity back to the domestic market in Mexico and to the Mexico US market. So we will see a slowdown of the accelerated growth that we saw last year. However, Central America continues to be a cornerstone of our growth strategy, and we believe in the long-term opportunities in Central and South America.

是的，史蒂芬。因此，去年我們考慮到墨西哥的限制，加速了中美洲市場向美國的擴張，今年又削減了墨西哥的兩個地位。我們對中美洲產能進行了調整，將部分產能轉移回墨西哥國內市場和墨西哥美國市場。因此，我們將看到去年的加速成長放緩。然而，中美洲仍然是我們成長策略的基石，我們相信中美洲和南美洲的長期機會。

-- I think it's really important to understand that the whole move that we're doing remains within our core practice of shifting passengers from the buses into the Asian market. And the markets that we are tackling are also was markets and the capacity is being reinforced in those markets all over the place in Central America in Mexico, in Mexico to the US.

——我認為了解我們正在做的整個舉措仍然屬於我們將乘客從公車轉移到亞洲市場的核心做法，這一點非常重要。我們正在解決的市場也是市場，中美洲、墨西哥、墨西哥到美國的這些市場的能力正在加強。

Okay. Super helpful. That makes a lot of sense and many thanks.

好的。超有幫助。這很有意義，非常感謝。

Michael Linenberg, Deutsche Bank.

麥可‧林伯格，德意志銀行。

Good morning, guys. This is actually Shannon Doherty on for Mike. Just my first question, Mexican has been up and running for about two months now, are you seeing any notable competitive impact thus far?

早上好傢伙。這實際上是香農·多爾蒂為麥克做的。我的第一個問題是，墨西哥已經啟動並運行了大約兩個月，到目前為止，您是否看到任何顯著的競爭影響？

No, Mexican line with very small traffic volumes and I think that's basically where we are and they're only operating Puerto Felipe Carrillo airport, and those are the facts. I cannot comment on anything further.

不，墨西哥航線的交通量非常小，我認為這基本上就是我們所處的位置，他們只運營菲利佩卡里略港機場，這些都是事實。我無法進一步評論任何事情。

It's fair. And maybe to elaborate a little bit on Steve's question, how are your Costa Rica and El Salvador operations doing? Can you remind us how many aircraft are under these certificates today and maybe how this has been impacted by the GTF branding versus your original plan for 2024? Thank you.

這是公平的。也許可以詳細說明一下史蒂夫的問題，你們在哥斯達黎加和薩爾瓦多的業務進展如何？您能否提醒我們目前有多少架飛機獲得這些證書？與您最初的 2024 年計劃相比，GTF 品牌對其有何影響？謝謝。

So currently, we are planning for this year on six aircraft in the region. We have two AOCs in Costa Rica and El Salvador. And the traffic is mostly focused on US to Central America, which is really an extension of our core business, the core VFR business that we are also operating between Mexico and the US, and we don't see any effect on the Central American business due to the GTF engine issues we have from being able to shift around capacity so that the impact on our Central American business is not there. And as I said, we continue to believe in the Central American opportunity them.

目前，我們計劃今年在該地區部署六架飛機。我們在哥斯達黎加和薩爾瓦多擁有兩個 AOC。而且流量主要集中在美國到中美洲，這實際上是我們核心業務的延伸，核心VFR業務我們也在墨西哥和美國之間運營，我們沒有看到對中美洲業務有任何影響由於GTF 發動機出現問題，我們無法調整產能，因此我們的中美洲業務不會受到影響。正如我所說，我們仍然相信中美洲的機會。

Thank you.

謝謝。

Rogerio Araujo, Bank of America.

羅傑裡奧·阿勞霍，美國銀行。

Thank you. Hi, guys. Thank you very much for the opportunity. I have a couple here. One is on costs, if you could please provide some incremental information on the aircraft and engine variable lease expenses. This line became positive this quarter. What can we attribute it to? And also the other operating expenses line, it came much above what we were seeing in past quarters. And what could explain that and one-off impact and what is the recovery level going forward?

謝謝。嗨，大家好。非常感謝您給我這個機會。我這裡有一對。一是關於成本，如果可以的話，請提供一些有關飛機和發動機可變租賃費用的增量資訊。這條線在本季轉為正值。我們可以將其歸因於什麼呢？還有其他營運費用線，它遠遠高於我們在過去幾個季度看到的水平。什麼可以解釋這現像以及一次性影響以及未來的恢復水準是多少？

This is the first one, and then I can make the second one later. Thank you.

這是第一個，我稍後可以做第二個。謝謝。

If you look at their engine variable lease, it accounts for the reimbursement due to the extensions of the planes that we took and also the delivery remeasurements. Remember, as part of the mitigation plan, we extended planes, we bought planes. We also canceled some related provisions.

如果你看一下他們的引擎可變租賃，你會發現由於我們購買的飛機延期以及交付重新測量而產生的報銷。請記住，作為緩解計劃的一部分，我們延長了飛機，我們購買了飛機。我們也取消了一些相關規定。

Sorry, I think I missed abit, but the other operating expenses explanation, sorry about that -- . (multiple speakers)

抱歉，我想我錯過了一點，但其他營運費用的解釋，對此感到抱歉——。 （多個發言者）

It's basically as a result of the growth of the business and considered that we have added 12 aircrafts into a business that we shipped capacity into the US markets in the 4Q.

這基本上是業務成長的結果，考慮到我們在第四季度向美國市場運送了12架飛機。

So the line is not any specific one-time effect is just as part of the natural growth that shift of the mix with domestic and international?

那麼，該行是否有任何特定的一次性效應只是作為國內和國際組合轉變的自然增長的一部分？

Pretty clear. Thank you. My second question is regarding margins. So the 31% to 33% margin guidance for this year. It is somehow negatively impacted by a lack of scale and all, SG&A costs that are not being diluted into more capacity, but at the same time, it has a positive effect on the compensation from Pratt and also the higher yields that this capacity constraint is causing any gas on what is going to be the normalized margin when aircraft are back to operate. Now in terms of having a positive effect on cost dilution, but at the same time and next one on margins and I and the competition already done, what would be and your best guess on a normalized margin level going forward? Thank you.

很清楚。謝謝。我的第二個問題是關於利潤率的。因此，今年的利潤率指引為 31% 至 33%。它在某種程度上受到缺乏規模和所有SG＆A成本的負面影響，這些成本沒有被稀釋為更多的產能，但同時，它對Pratt的補償以及這種產能限制所帶來的更高的收益產生了積極的影響當飛機恢復運作時，產生的氣體將達到正常水平。現在就對成本稀釋產生積極影響而言，但同時和下一個對利潤率的影響，我和競爭對手已經完成了，您對未來正常化利潤水平的最佳猜測是什麼？謝謝。

I think, our target is to be profitable and our goal a midterm will be to consistently deliver very low to mid 30% EBITDA margin. That's the goal.

我認為，我們的目標是獲利，我們的中期目標是持續實現 30% 至 30% 的 EBITDA 利潤率。這就是目標。

Thank you very much. Have a great time.

非常感謝。玩得很開心。

Helane Becker, TD Cowen.

海蘭·貝克爾，TD·考恩。

Hi, guys. Can you just comment, I have two questions. One on how we should think about the maintenance credits. And my second question is how are bookings looking for Holy Week?

嗨，大家好。你能評論一下嗎，我有兩個問題。關於我們應該如何考慮維護積分的一件事。我的第二個問題是聖週的預訂情況如何？

The maintenance credit is something which is containing a confidentiality agreement between Pratt & Whitney's and Volaris. So I cannot give that many details on it. But having said that, a highly explained where it is accounts for the first line of the P&L, and that's the credit that you see there. And I think it's compensating the vast majority of our fixed costs.

維護信用包含 Pratt & Whitney 和 Volaris 之間的保密協議。所以我不能提供那麼多細節。但話雖如此，損益表的第一行有一個高度解釋的位置，這就是您在那裡看到的信用。我認為它補償了我們絕大多數的固定成本。

And it's not covering all of that, and it's not recovering the revenues that were lost, losing. It is difficult given the confidentiality agreement to give more details, but we are planning to give a forecast of our numbers, especially that cash number and EBITDAR are on that on a quarterly basis and will provide for the second-quarter a guideline provided the beginning of the following quarter.

它並沒有涵蓋所有這些，也沒有恢復損失的收入。鑑於保密協議，很難提供更多細節，但我們計劃對我們的數字進行預測，特別是現金數字和 EBITDAR 每季度的預測，並將為第二季度提供指導，前提是開始下個季度的。

Okay. That's very helpful. Thank you.

好的。這非常有幫助。謝謝。

[Booking curve for the spring break and Easter high season. But just to remind everyone that oftentimes the last week of March sort of just as much as in the first quarter, then most of it in the same in April. But now because of that strong book-to-bill was first quarter look to some 600 a ton to start before that I'm going to be the extension of the qualitative guidance that we provided to you, right. You're actually giving a floating rate loans and more than 10% to 15% seems to be it if I took that down between domestic and international will be on site.] (Technical Difficulty)

[春假和復活節旺季的預訂曲線。但只是想提醒大家，通常情況下，三月的最後一周與第一季的情況一樣多，然後大部分在四月也是如此。但現在，由於第一季的訂單出貨量強勁，預計在這之前開始，我將擴展我們向您提供的定性指導，對吧。你實際上提供的是浮動利率貸款，超過10%到15%似乎是這樣，如果我把國內和國際之間的那個下來，就會在現場。]（技術難度）

So that management is to Metalink couple of gigawatts by the industrial capacity at that point and therefore, the average industrial will range from a slight increase in 2013, political in the network, taking advantage of the current view on sale and disposal of mobile with more specialist team. I'd like to point out on the bookings from the first quarter. Net interest and fees are high 10s.

因此，Metalink 的管理是透過當時的工業容量實現數千兆瓦，因此，平均工業容量將在 2013 年略有增加，網路政治，利用當前對行動裝置銷售和處置的看法專家團隊。我想指出第一季的預訂情況。淨利息和費用高達數十倍。

And that's very helpful, Holger. Thank you very much.

這非常有幫助，霍爾格。非常感謝。

Bruno Amorim, Goldman Sachs Group, Inc.

布魯諾阿莫林，高盛集團公司

Good morning, everybody. So I have two questions. The first one is to follow up on margins, you delivered 31% in the fourth-quarter. If we adjust for seasonality, this implies on a run rate on a normalized basis of around 28% and you're guiding for 31% to 33% this year. So you are implying an improvement between the fourth-quarter of last year and what do you expect for the full year 2024. Can you help us understand where the improvement comes from? Is it better pricing more than offsetting a lift fixed cost dilution or something else?

大家早安。所以我有兩個問題。第一個是跟進利潤率，第四季實現了 31%。如果我們根據季節性進行調整，這意味著標準化基礎上的運行率約為 28%，而您今年的指導值為 31% 至 33%。因此，您的意思是去年第四季度與您對 2024 年全年的預期之間有所改善。您能幫助我們了解改進來自何處嗎？定價是否比抵銷電梯固定成本稀釋或其他更好？

And the second question, you have alluded to that to certain extent, but can you clarify in terms of point of sale for roughly how much of sales do you expect to come from the US either these Mexico, you mentioned at some point.

第二個問題，您在一定程度上提到了這一點，但是您能否在銷售點方面澄清一下，您預計有多少銷售額來自美國或墨西哥，您在某個時候提到過。

International versus domestic route, the breakdown of revenues from that perspective, but it would be interesting to hear from you what do you expect for the break down in terms of point of sale will land with this new configuration of the network and more tilted towards international? Thank you.

國際與國內航線，從這個角度來看收入的細分，但很有趣的是，聽聽您的意見，您對銷售點方面的細分有何期望，這種新的網絡配置將更傾向於國際航線？謝謝。

So I'll start out with answering your question from the revenue perspective. Clearly and this year, we are seeing an improved unit revenue, that is driven by the solid demand we see in the domestic market and international market despite the reduction in capacity.

所以我先從收入的角度回答你的問題。顯然，今年我們看到單位收入有所改善，這是由我們在國內市場和國際市場看到的強勁需求所推動的，儘管產能有所減少。

We are seeing also a very solid fare environment and we are pushing ancillary revenues further. So the unit revenue improvement comes from load, fairs and ancillaries in 2024. And obviously, we rightsized our network and we shifted the capacity into the most profitable markets and then we already mentioned.

我們也看到了非常穩定的票價環境，我們正在進一步推動輔助收入。因此，2024 年單位收入的改善來自於負載、展會和輔助設施。顯然，我們調整了我們的網路規模，並將產能轉移到最有利可圖的市場，然後我們已經提到了。

In terms of point of sale on the AFM split that we expect towards the end of the year is going to be 45%, 55% and then if you look at US dollar collections and point of sale, it's actually more balanced. It's going to be somewhere around 50 -50. And that should result in an EBITDA margin guidance that we gave you for the full year of 31% to 33% for 2024. That's from the revenue perspective.

就 AFM 銷售點而言，我們預計到年底將分別為 45%、55%，然後如果你看看美元收藏和銷售點，實際上會更加平衡。它將在 50 -50 左右。這應該會導致我們為您提供的 2024 年全年 EBITDA 利潤率指引為 31% 至 33%。這是從收入角度來看的。

Thank you.

謝謝。

Pablo Mendoza, Santander.

巴勃羅·門多薩，桑坦德銀行。

Hi, good morning. I don't know if you can hear me. --

早安.我不知道你是否聽得到我的聲音。--

I have a question on labor. What are you seeing in terms of labor increases for your operations in Mexico?

我有一個關於勞工的問題。您對墨西哥業務的勞動力成長有何看法？

So as I stated in my presentation, the company was able to close a negotiation with the union with a base salary increase for the year of 5%.

因此，正如我在演講中所說，公司能夠結束與工會的談判，並將今年的基本薪資提高 5%。

Thanks.

謝謝。

Neil Glynn, Air Control Tower.

尼爾·格林，空中控制塔。

Good morning. And if I could ask two questions, please. The first one was just following on from the last question on labor, you're obviously reducing capacity 16% to 18% and headcount came down in the fourth-quarter, I think you mentioned. Can you confirm what kind of magnitude head count should fall in 2024 versus 2023 in the context of that capacity cost?

早安.如果我可以問兩個問題。第一個問題是關於勞動力的最後一個問題的後續問題，我想您提到過，您顯然將產能減少了 16% 至 18%，並且第四季度的員工人數也減少了。您能否確認，在產能成本的背景下，2024 年與 2023 年相比，員工人數應下降多少？

And then the second question, ancillaries have clearly been a big focus within this call. Can you give us a sense today, how much higher international routes are relative to domestic in terms of the ancillary proportion of total revenue? I guess, if the total is 49% across the overall network, you must be maybe hitting 60% or so on international routes? Thank you.

然後是第二個問題，輔助設備顯然是本次電話會議的一大焦點。今天您能否為我們介紹一下，國際航線相對於國內航線在總收入中的輔助佔比高了多少？我猜，如果全網的使用率是49%，那麼國際航線的使用率應該在60%左右吧？謝謝。

So answering your first question. It's going to be a little bit higher than what it was last year. There's two reasons for that. The first one is because the variable capacity that we have during the year, sometimes we go up and sometimes we go down in terms of their trucks that we are sending or putting down because of the anticipated revisions and then it's going to be a little bit higher also because in terms of technical professionals, we need to continue preparing people and we have this growth for next year. We need to be prepared to some grow during next year and especially the following year. So we preserve the technical capacity. That's why it's going to be maybe 1% higher, 1.5% higher than what we had last year. Referring to the second question, Holger will answer you.

所以回答你的第一個問題。與去年相比，這個數字將會略高一些。這有兩個原因。第一個是因為我們在這一年中擁有可變的運力，由於預期的修訂，我們發送或放下的卡車數量有時會上升，有時會下降，然後會有點更高的另一個原因是在技術專業人員方面，我們需要繼續為人員做好準備，明年我們會有這種成長。我們需要為明年，尤其是下一年的成長做好準備。所以我們保留了技術能力。這就是為什麼它可能比去年高 1%、1.5%。關於第二個問題，霍爾格將為您解答。

So clearly, the international portion in the ancillary pieces is higher than the domestic portion. Mostly driven by higher back of revenues and things like seat assignments for the longer stage length itineraries. We don't provide the exact breakdown, but I can tell you that the US and international portion is higher than domestic. And thus the ancillary percentage as a total for the 2024 will be helped by a shift of capacity to international business.

很明顯，輔助件中的國際部分高於國內部分。主要是由於收入增加以及較長舞台行程的座位分配等因素所推動的。我們沒有提供確切的細目，但我可以告訴你，美國和國際部分高於國內。因此，2024 年的輔助百分比將因產能轉移到國際業務的情況而有所幫助。

Great. Thank you.

偉大的。謝謝。

Thank you. Excuse me. This concludes today's question-and-answer session. I would like to invite Mr. Beltranena to proceed with his closing remarks. Please go ahead, sir.

謝謝。打擾一下。今天的問答環節到此結束。我想請貝爾特拉內納先生致閉幕詞。請繼續，先生。

Thank you, operator, and thank you, everyone. Like the past several months, the year ahead will be challenging and rewarding. I want to thank you, our family of ambassadors the Board of Directors, our Investors, Bankers, the resource and suppliers for their unwavering support and commitment to Volaris. I look forward to addressing you all next quarter and seeing you in the following conferences during now, during the next couple of months. Thank you very much.

謝謝運營商，也謝謝大家。與過去幾個月一樣，未來的一年將充滿挑戰和回報。我要感謝你們、我們的大使家族、董事會、我們的投資者、銀行家、資源和供應商對 Volaris 的堅定支持和承諾。我期待在下個季度向大家發表講話，並在接下來的幾個月內在接下來的會議上見到你們。非常感謝。

And this concludes Volaris conference call for today. Thank you very much for your participation and have a nice.

今天的 Volaris 電話會議到此結束。非常感謝您的參與並祝您玩得愉快。