Copa (CPA) 8 Feb 242023 Q4 Earnings call transcript

Ladies and gentlemen, thank you for standing by. Welcome to the Copa Holdings Fourth Quarter Earnings Call. [Operator Instructions]. Afterwards, we will conduct a question-and-answer session. [Operator Instructions].

call webcast this February recorded reminder, XXXX. X, a is and being on As

turn over the Director now will I conference Relations. you of to Sir, may begin. Investor Tapia, Daniel

fourth and everyone, Lisa, call. you, Thank to our quarter welcome, earnings

of Joining Jose Holdings; Montero, Heilbron, and Copa us CFO. Pedro today are CEO our

International Reporting discuss been has financial our reconciliation non-IFRS reports with quarter Financial call, analysts. Copa the our in Standards. we been which IFRS non-IFRS Pedro Immediately of financial posted have In First, will fourth afterward, start Holdings' on to call measures today's Jose, by we found release, going by followed A will open can the for results. from be questions financial company's who financial our measures. earnings will accordance copaair.com. in over highlights, will prepared discuss the website,

forward-looking statements, assumptions Our limited events current expectations contain change. and and/or not intentions filed the on to in are uncertainties differ actual report to Many materially results SEC. to historical results. These involve with discussion also our future company's today are that reflect that discussed could these beliefs, statements annual based will the regarding of cause subject risks and forward-looking facts and

CEO, turn call to like I'd Now Heilbron. over Mr. to the our Pedro

would and Thank our Copa to the for as thanks and fourth to Good was their our our commitment you, in my very Daniel. financial passengers. coworkers extend to strong year all we I morning for quarter results. . XXXX participating like to company sincere all, for solid a earnings gratitude call. reported

line QX. financial industry-leading in XX.X% traffic grew period our for XX%. to Passenger consistent the in low to capacity and highlights in continued of the healthy the respect and region, keeping deepest ex-fuel revenues, Thanks demand and year. Summarizing XXXX, were and they we increasing same with growth a the results costs compared have able to always, my As quarter main unit environment in execution the our deliver admiration. for

'XX Passenger the percentage the came RASM fuel and XX.X%. compared unit distribution costs. lower at driven to costs X.X% a lower in increased a result, decreased by or to by for in load jet X.X QX factor mainly yields by price 'XX, revenues As $X.XXX. Unit of resulting quarter sales QX points and compared to $X.XX,

Excluding costs operating fuel, our margin CASM-ex at or decrease to industry-leading in came an a QX quarter in unit the X.X% And came at for XX.X%. compared XXXX. $X.XX,

for XX.X%. compared while the Now increased highlights XXXX. XX.X% XXXX full Passenger turning to to by grew capacity our traffic main year our

the came in mentioned for year factor points X.X in Austin $X.XXX, result, Baltimore in load operating a yields below XX.X%. With at XXXX, network revenues year for And serving before. percentage by X.X% Venezuela. As to in XXXX. X.X% fuel margin X% Manta the our U.S. CASM-ex Unit increased came at passenger to in increased Ecuador new and in a X.X factor destinations, in and in increase Barquisimeto and the started to our XX.X%. RASM regards we $X.XX, increase or driven year-over-year load X

America serve now destinations countries we South Caribbean. in additions, the With XX XX North, these Central, and in

our As hub channels. traditional cost our passenger Latin lower our that dependency NDC in as new lowering we our Considerably and position are continue strengthening of as our were travel able complete to through the significantly via and and on XX% these convenient America. We agency sales more most sales solidifying are costs and both channels connecting and increase direct and channel GDS total of today, sold glad the than reducing share to distribution copa.com our channels.

the strategy only percentage September channels through around of our XXXX, launch the in distribution to was prior XX%. our perspective, in it sales put of To new direct

airline on-time for operational the recently the was in Latin Copa XXXX. front, Cirium by recognized time in the America On most ninth as

highest to of world. highest Americas on-time any among fact, carrier in In the XX.X% according the the and performance of again once the in Copa's was Cirium,

last and the Airlines a us Airline qualified XX Additionally, for year, as and Best Caribbean. From Major The traveler, Central the Choice in Five-Star which of Conde from the -- major America which XXXX. the year and Copa consecutive received APEX such Award airline Skytrax in part eighth airlines Nast from Copa major for multiple Reader's as as Airline included recognitions top international

to now Wingo. Turning

the [indiscernible]. During XXXX, Venezuela, Bucaramanga, Wingo in and Aruba. Wingo during new Panama Bogota here and seasonal a year to Barranquilla, Panama on adding from Colombia Bogota city Cartagena routes Internationally, start from of routes road focus from new launched the X with capacity domestic Marta, from and to X Pereira to Caracas, from more Santa its market to to to Medellin Cali

Wingo to these additions, XX routes currently countries. with cities XX With XX operates service and

go I'll now our So over for expectations XXXX.

cancel and fairly our long hold our and in impacted on grounding XX them of forced the the the been a flight to know, which returned once This the manner. Boeing term. I'm were our way partner important which to FAA already accountable in the Nonetheless, by we operations we to X, of to our safe in care and reliable airworthiness grounding to continues grounded take passengers we able and possible our planes XX. to our committed of financials January to January to that hard the for X,XXX for our from relationship to unexpected the than share its glad we you operations approved and be more our by probably flights. passengers As X schedule has be and dedication, US impact compensated. for XXX of remain expect around thanks directive and FAA issued an disruption XX% team's us Copa daily represented work, MAX following the commitment best

estimated to between from XX% delayed, from original XX%. growth impact QX results, this XX% be the our capacity deliveries expectation and Aside the to on our seems of reducing of MAX year to that year's financial the likely our it operational XXXX grounding for XXX are further approximately

we XXXX. network in to in Florianopolis week, strong operate Continuing Going region environment new expect a plans, X Tulum the our this forward, U.S., to continue again to that summer, this start healthy financial we the in in destinations and Brazil Raleigh-Durham see will with we results in demand as announced deliver growth Mexico.

model With Latin consistently summarize, and we we and first as in our continue XX the these Latin connecting while Hub to full continuing quarter as additions, will of the year delivered as industry-leading best believe most the leadership destinations hub America, our financial international us positioned relevant grow our XX region the countries we as deliver is position and results. To as with industry-leading our solid to in in reach solidify destinations in to business ever, Americas is America. We best hub making airline Panama results capacity. the in

We continue to execution strategy. deliver on our cost

convenient the and the We travel most complete and strengthening hub in for our network, Americas. continue growing

also environment in We healthy always, And a operational our continue team again continues see as world-leading in to strong deliver and operating to region the margins demand once expect XXXX. deliver to results.

it go detail. turn over Jose, more our results financial in over I'll Now who will to

key grounding best Good their MAX the being in acknowledging for I'd Thanks for by the main company. I commitment Pedro. Pedro to efforts going morning, will great our to possible and all for for as today. and way X our you, our full highlights start course, team in of XXXX. success with join passengers us coworkers handling the over Thank our everyone. for like keeping a safe. is year Their the

driven our $X.XXX in by jet load X.X% mainly average $X.XX came while revenues versus fuel, in year-over-year. Unit factor X.X% increased year-over-year improved versus points cost X.X X% came XXXX or at unit our percentage lower Our reduction XX% at by by of a to cost reduction unit in $X.XXX, the to XX.X%. a XXXX, ex-fuel price

for XXXX As was higher margin a percentage of than XX.X%. Reported translates the in in to came per million, full $XXX.X which X.X income the at result, at points our earnings year $XX.XX. operating share net for XXXX year

$XXX.X settlement adjusted notes, during the Excluding share company's or third special mostly namely we $XX.XX. per items, came related at in net net which million million $XXX.X the of adjusted to earnings convertible quarter, closed income the a of charge

to share. of $X.XX the results. turning Now for net or quarter profit million per a fourth quarter We our reported $XXX.X

reported in in or investments. adjusted profit special came Excluding mark-to-market the consisted We seat or per operating an value million of of special of quarterly of items at X.X changes operating Capacity $X.X XXXX. net a items, higher $XXX.X XX% and $XXX.X financial available share. than $X.XX quarter realized fourth million came QX The of million XX.X%. at profit miles in billion in gain our margin related to

sheet X.X% X.X% lower X.X% by NDC want by came year-over-year. liquidity. compared penetration factor agency or point at load mainly fuel due to QX Our in percentage jet X.X both balance $X.XXX prices, of a mainly direct revenues CASM decrease lower and decrease XXXX, distribution our came driven Unit sales lower discussing a driven the to at in and or travel excluding XXXX, versus now sales in versus yields for the lower at quarter, and driven year-over-year. to $X.XX, to a costs And XX.X% increase higher $X.XXX our same a finally, time fuel unit costs QX the cost XXXX in X.X% spend period channels. We some in came decreased lower CASM by

quarter assets billion short- of and investments, As of XX% $X.X of ended we end billion, the our cash, long-term quarter, revenues. over with months' XX $X.X the last had we represents the which of fourth close to to

with net ended solely $X.X the that of billion debt cost and comprised of came to X.X%, our aircraft-related fixed. adjusted being XX% an and of X.Xx. is to lease which be around in debt-to-EBITDA of in pleased debt, quarter report in the we debt, I'm debt our with ratio of And continues currently liabilities with range debt terms of in average

our now to fleet. Turning

we XXX During received X Xs. the Boeing fourth MAX quarter,

XX, MAX and Wingo. our figures XXX-XXX XXX freighter by fleet X, the These of operated include XXX-XXXs XXX-XXXs, now With comprised these XXX-XXXs. XX, and X, X additions, total is Xs

in XXXX for guidance plan, for we the further XX his in deliveries embedding deliveries figure As year. Therefore, capacity remarks, as be likely our mentioned XXXX. delayed the preliminary aircraft of are fleet in year will a Pedro

calls Xs a X, XXX Our end current aircraft. the to MAX for X, plan Xs XXX with MAX fleet of receiving total XXX and year

JOLCO deliveries expected these XXXX. XX financing for have of secured out We X in already

that June, Directors XXXX December, I'd has Turning of Board payment paid now a to to the the to highlight dividend value to $X.XX approved be subject during dividend Board increment payment like pleased quarter to quarter. per in to versus paid our of ratification our represents XXXX. per month in of announce each the share I'm March, of year-over-year and that the significant XXXX dividend shareholders. September return a

March February record of The shareholders first all to of quarterly payment as will be XX made on XX.

As for can following guidance we the provide the full outlook, year for our XXXX.

ASMs in we expect the margin XX% approximately range capacity our within by We year-over-year, [Technical increase an expect operating to of to Difficulty] deliver and

you're Yes, back into call. the

And got for some out. we reason, dropped -- so

So you is can this tell live.

will I part. our remarks. so of start part prepared outlook as And my And again with

going XX% ASMs by expect and to and operating I I'm we our talking So I to of capacity expect the for our to in deliver margin -- XXXX, XX% the increase that was saying year was to range an XX%. outlook about we within approximately year-over-year,

following we We the load to of unit on and of fuel are $X.XXX within the basing of our of XX%, XX% range in within ex-fuel per the $X.XX outlook $X.XX CASM gallon. expecting revenues all-in for and to factor the price be an the range XXXX year are range assumptions:

Copa's from financial of the Our X place X guidance and grounding aircraft, MAX XX. of which XXXX full impact January XX year January took the between includes

for aircraft Additionally, further impact X of accounts due year delivery delays MAX full the capacity anticipated year. our the estimate throughout coupled grounding, it the current with to

XX% the the our capacity approximately that of changes schedule preliminary pending remainder in note of to delivery to important for is XXXX. guidance adjustments, It's subject aircraft

And hopefully. we'll Thank we're call that, if the hear for still you. questions with open

will [Operator Syth be coming James. today Savi Instructions]. And of Raymond our from first question

kind of economy I'm the the trends of a the on seating know growth has you've the just in to of premium past side lot seat region, ULCC but kind the seeing curious the think changed. mix about talked on in I compared you're versus XXXX. I

on And you premium curious versus fares economy are trends. so seeing revenue what and

Savi, environment the entire I that general RASM, would the we're trend demand of region. still say seeing very healthy in in terms, a

customers it that However, split and than seeing where -- in still it's was lower are I data has that we're somewhat purposes, that have think the down for when traveling of But still back XXXX. it business in seen we supplementing you since say, of supplemented the the on travel also we've business that I'd travelers say, by leisure it's sort of -- the that leisure were also transporting been, and other business would that VFR been source pandemic. I there's certainly

is -- And better the doing than year-over-year. still front cabin better doing

it better did a healthy it's XXXX. or XXXX better in than So doing

much share cash year missed for buyback if And but And versus done? of have of how Interesting. apologize you flow you just thoughts need this, I other terms this uses? I what on CapEx any the in

and the No the situation look, financing then the we million -- activity that the But the $XXX got fleet of have, aircraft quarter, expect the in the have we have during mostly we But our and $XXX CapEx priority in able via million, in recall, be to January, in terms is that million sure buyback as that Savi, flow our and range. shares CapEx like for buying we MAX Sure. of the that sustain is program in $XXX making XXX% probably maintenance program. cash continuing air. aircraft had our CapEx some with in fourth active. Plus the is you dividend already, back for JOLCO us we the our was year, to the we to in --

cash uses the of for cash. certainly sustains our of the So all flow year

for Rogerio from America. of coming Araujo And of the question next moment our One will be next question. Bank

I couple for Congratulations here. results. have the a

from you is the the been and guidance. then. depend guys external call, last capacity fuel quarter flattish would since one including the competitors. factors, first Last on -- has in Fuel The on said quarter guidance that

main peers actually if this check Can of is that includes margin I bit it not? idea expansions to if is a robust competition first out, any So expected? That's how from the already how about there? new one. you from some pretty here about competition? guidance talk And please and little some or [indiscernible] think capacity Or player routes kind is less than the aggressivity play

when we're if as digits, going like probably to Yes. capacity seeing Overall, numbers above few that's all growth. we was preliminary are changed Competition expected. varies competition mid-double lot competition is above were we guidance what And hasn't It depending it's growing ourselves, -- the put together in months airline. that. what it the the XX% a is the seeing gave before. from America, on ago. Latin we're But altogether same XX% be we XX% it The again, a growing somewhat

for the there, our So year. hasn't it change any there been and is in included guidance

Okay.

levels. operating margin higher regarding Copa Sounds has margin my second perfect. is And question sustainability. been a at than historical

of is sustainable. cost pre-COVID One than in believe time. point But at profitable to that the is be reduction expected maybe region some also is the seems the our any question to is and that the reasons margin to reason the normalization industry that more be in

So for current sustainability what forward do this going about Copa? think guys margin higher you

today always now more so in agree was we're course, is we've competitive of and high. and XXXX, guiding even than mean, industry guidance very profitable run a So keeping our we're airline would I only margin and what quite that the before. Latin for America lean pre-pandemic. right I it more than

direct with have cost -- our distribution and significantly them connect our controlled strategy strategy. our direct reduced actually We

been that's airlines and producing that competitive in wise more overhead advantage results also Chapter and maybe in competitive their overall. case, like of region. would ASMs. growth also In So And the taking significant. We're through say the I better XX also are other the are more and

coming And TD from of be Becker our Cowen. will next Helane question

versus guys demand that of thinking is? And next you said how your Or that is market have wondering or pick that there noticed announced high? other about markets Raleigh-Durham more really market I'm attraction had as I is, One might Like the did questions. the city. two that -- demand? First you you what had were U.S.

yet a we only the Helane, entered not markets. have Starting have we have we we that currently -- record picking are track with X I'm good were and this but markets in really not And reactivated. in see. new last have we or not -- exception anything, there the the saying bragging the XX-plus that were pre-pandemic summer flying. as of we'll Well, that all And flying of years, routes

situation. But market we I So very pretty sits don't from today. well a reactivated have the know, record. we region And a of U.S. Raleigh-Durham in have serve pre-pandemic still as we special a good we there's some a that track think, -- not

part There's -- It's that region. market. So the growth. Raleigh-Durham. that growing a It It's ethnic area more, also. area a let's The American also U.S. Latin growing Southeast of of it's Tri-City economic say, to moving population has

So it's we -- not think well served. and

from what and markets this from direct in flight Latin area first makes the first one. be to flight to unique us area, Raleigh-Durham the America. of as succeed allows will that's We Raleigh-Durham And such kind us the what the

my Okay. that increase. you But dividend. That's I it's other pay And to about I or then the on I think then really mean Just did how the year? and about that kind such of but... And to big XX% adjusted get did mean double about a not of Because think increasing out, question it. -- you Board pretax. is like thought helpful. what, the you doubling how on trying a complaining, you I'm know handle smaller a increase it during

Our adjusted as to policy income. prior of year's is pay mentioned, well you XX% net out

Board this the respect get the so But have the let's did say, in about primary a this. And policy, value to is that detailed shareholders way end, company. to think shareholders. many value That's that discussion where from in very, of I the the our

an aspect the it's of Copa therefore, important So value proposition.

end, of a that's the policy in so the company. And

to is pay which important. And can afford we

course, is have expect of this source the the plus cash, growth in use -- and grow the of other continuing generation of to cash flow-wise, business. the is which Cash-wise of company, we that the sustains cash of to or

question from Barclays. coming And our be of will Pablo Monsivais next

that central environment. think To rates FX in of for be quick given want the lower demand currencies banks and this a do macro to might question pick demand versus headwind might course, resilient. see in and demand you effect is the you your the And a how US. its weaker strong think -- that extent the interest the on do be brain year. a the what of environment I you has helped the have local region just direction the to so terms I that if

in from Yes, it's course, let's of of positive, a traffic, say, generating going more been South America terms north.

currency Latin traffic the the more pull in growing serve positioned And we're and U.S., very weaken with then a meaning to more and we is market from well I dollar, a visitors a However, guess would still tourists if diversified. well the was U.S. from interest our stronger and to of regions. America, lot which

the to sit we X strong currencies. succeed strong other, not able think we middle and in and of have we So trends, so been balances the the one and with

pandemic, say flows would the one. the I balanced that we've after much are traffic more seen

of impacts So I helped that, the in has fluctuations. currency think, mitigating

from And our will question of next Michael be Bank. coming Deutsche Linenberg

of that rough just March guess, some of to which MAX probably sort quarter, even points me should should we margin in some give over I we -- sort -- grounding as impact the or the and form tie of numbers, Just in OEM a sort X assume round I is of typically... receive could that from And dollars. time, the mean, offset the numbers you'll you on

negotiation look, Boeing. time. There's Mike, MAX details into this pending going at the to not with the we're of a impact get financial

let's don't sort of year. and be expect guidance. do that the the the, fully the of of during the is of January negative The as really the issued we the delays with per we rest now say, impact And issue of to and However, quarter grounding for that fairly of QX include compensated. publish we aircraft that we month expect the guidance

leave now. have to we'll at So that for it

of strongest add, And year, Mike, months if I is that would one the January of the not our month. strongest

good in the middle a happened of bad for important and month such this an So of which us a course. is

month. of capacity having loss the at a during it's that our percent opportunity, But it's month. So a strong significant not same XX-plus time,

very does XX% well. other the So

alluded of Yes. take but you badness get is not offset offset you quarter, you've Jose, being Should fully as sort would potential Any said That of I of to incurred any over the what though, time? compensated. in sort from that all right? of sort you the

not our is in of figures. any It

That's perfect.

to only -- question, airplanes, easier year? Anyway, is actually clarifies that XX that going likely instead guess, growth kind then at That's see on take any Okay. an to my this XX, one, Wingo to X this is is And I going X? Or of of but second Wingo, guess. I some going that? that. color probably now you're stay Wingo

and Wingo very going stay year, it think this It put you as it for I to well. seems now, that is is

doing it's available. year in So going capacity Even be having additional to planes their markets a are or of difficult though, okay. terms quite

the Stephen from question will And next of be coming Trent Citi.

there's some question, on and curious a any to know on maybe if U.S. -- color of in given all, not broad happening be on first would you seeing at but airlines. affected the guys love little the I I just to what might you're that. view sort -- we're have get geographical unrest of what was your of from Ecuador demand, high-level by some been the that bit I

Okay.

in and affected of and is extreme most not market I Ecuador not because we out to our our an VFR mean, countries. in it's business that Ecuador and and happens leisure. of So much in other by what Maybe -- level are its

in helps as we of happened and kind there which that takes is are first that, know, away Ecuador. leisure, one disturbances what has the when So that like because things

an is are market and in business. of impact, that where there Latin not in significant. Overall, we most terms okay, markets So do our but America our

are Of stronger. be a weaker. are always might Many few stable, course, some

very details regional like besides that So never demand. give to specific on I would fact there's nothing say specific highlight we the out

given color, doesn't the assuming helpful it them with a some Brazil and pullback my impact side? to gives GOL the of an much financial any Or of sort may really I more at Pedro. this we you them. create think some I for look But opportunities that. just does much guys? When follow-up. international extent it's you on And [indiscernible] on I'm not you issues, limited appreciate having all, very from of have do one guys at for code maybe that share with That's

doesn't flyer much also share and relationship, we Brazil, a either But reciprocity. really GOL do It with have way. we have impact quote in frequent

positive operating expect to us, overlap. the competitors. GOL is not complete we a and way that for But be Yes, So in no case. and basically healthy we're direct there's

So from there's side. impact no that

And question of be Bruno coming our next will Amorim from GS.

have follow-up environment. but outlook for year guidance to well, specifically related the more a this as I on the related pricing to the

you end saw it we Now that guiding the somehow in for if revenues even versus revenue the are for what unit adjust quarter, in what year fourth you for below this we lower guiding we saw of seems seasonality, XXXX. are unit

So during are would year? some great the slightly you competitive unit slight result fall if being revenues you the understand to of that on Is be conservative? How behind pressure that. this will rationale it to the do Or even this side? just it conclusion get

say this I I related main there's the components. and MAX Yes, of would to -- Bruno, is most X mean grounding.

the the to be RASM XXXX. January length we haul than is year that, includes in slightly So then -- than in And to let's or say, expect of addition higher slightly effects XXXX of of for higher guidance the XXXX. it $X.XXX

in lower digits, double full we yes, in a for bit in are the there. of right, little for . And a an a XXXX it's finally, environment well, are versus the growing year So competitive year. then environment when fuel we impact

say majority little bit it impact guidance of the to would I RASM you has that in there compare the 'XX is impact the is there. effect an But year-over-year for MAX of the there. So related also fact when the a

affect clarify you and would ask on yields be how we delays supply And Can the positive eventually Should of the and for was revenues? think quick follow-up. the past a MAX more aircraft, also months. marginal just grounding I of production kind groundings May few dynamics? demand couldn't a over from of please which the capacity a new more unit of kind or

due the MAX Jose talk embedded and about delivery guidance, first, expectation But part. I'll grounding. then I'll our unit go the of delays is let further in the revenue to

few also have -- going of number year X we have last even and what this expecting of aircraft we're guidance delays numbers when a more sure the we're our delays. have month not We on risk deliveries we we we're still this reduced year. from are year get. to we we're expecting MAX Xs from other But And preliminary MAX receiving which the the this that XX in to

So up say. I that's would still in the year,

Yes. And we flights, impact not we were seats of RASM of out passengers. close had Bruno, cancel terms last sell on the because to flights we reaccommodate on the and able remaining to in have we have to flights, to many our because

that that So where strong impact us. very month that's occurs in very, a is for

for will question the our final Duane And coming be day from Pfennigwerth of Evercore.

the I appreciate time and nice job.

you How the trajectory year? do the maybe it course guidance? big is what change of second in is have the versus estimating. the about half implied over you first by of we mean I assume year. thinking So just of just what you're revenue are picture, I think which well on your part visibility were guidance, into, ahead unit half XXXX the influenced you the of But earlier kind about how

how visibility the say there, seasonality there's more, course, And back the year half that again, say, I first of half level say ultimate RASM issue. limited and towards in second noise a of of it's of robust more, But that more MAX, would I but going in Sure, -- would say, the bit in little terms Duane. the first involved let's the say, of the some the of I because but the of half. There's in so higher first there's, half -- than to the of second in year RASM MAX the second demand also half behaves. and -- I'd

seeing it now. how we're So right that's of kind

From years And X down airport in Okay. there gating be a just footprint? gating Can much broad your you, will how out other then happen? that we're you road, that time-to-time, growth. issue with an strokes, going And the current longer-term projects just speak headroom need all? are for constraints infrastructure see have airport question. projects kind do you be to of your maybe on When there can are at as look X, to if we factors

lot Right. the beyond continue adopt that Yes. hope be growing, initiatives, infrastructure let's say frame. will there are we pace in there growing at But increase XX the time authority the that capacity eventually, for continue can the and term Well, if limitations X- airport a to we fix to X-year years. to of next

to doable. it we're consultants working and have with So data it's we update the very

we needs the the top not government again, are capacity of extend not next airport manageable, done. and the their to believe investments The that agenda. could many And very for years. have are that So be will what significant -- we it's on

had record airport Panama And the a over infrastructure years. investing of in its track has

going So we forward well. continue as expect to that

Yes. And and landings not also that. exit always how and with fast some aerospace and the it opportunities that. all are and its structures, managing is there taxiways of -- and things the like takeoffs just like airport exactly infrastructure, there's of also But

opportunities. So very it's of a doable list

we're airline analysts. Well, Okay.

doesn't as now, X years is well X to you it So issue. XXX, an from like an have sound might said eternity

call I the turn back session. Pedro Thank concludes like would to Q&A closing you. This for remarks. over the to

Copa's all summarize go talk when all performance. important Thank for of related at one you I them. this about some that and to mean from more than maybe call. I of call we much, few thanks But to to and -- question and you, operating we've we performance over think want we in didn't very participating and it's mean, our our margins things margins, least I one high a and got

used down, which a now, to to things. talked able I our something for is distribution full-service up not been over call, the were I get the been new be cost. We've CASM-ex. very we things, an the And what And not We're very that hard our to -- years. and It's that. a like building GDS we're important. thing is carrier so always an also with is few distribution cost or work in the low just a at -- And coming think the with summarize we're many which This burden, especially working this cost. sensation way which are about And we've anything new want overnight overnight years. very,

we that It us have and for better our control more better at much So channels, over do margins. competitive. not sales only cost, now makes much, allows but

also fly we it a ancillary and with and strong have continue our of very want revenue on A revenues the developed the on-time we clients network, strengthen. of the in-house. to with which efficient We very reliable to that much right in all the keep side, product performance Americas. And build technology, growing best

for talk downs in we're don't years, few and X industry have position strong of position. next to Duane the ups weather So really competitive this years to But continue as the success we and about a said, in sure, a and good we're having on, for and beyond. great

you. So time. next call. anyway, thank our and this for day, Thank us, see support. we'll a you earnings you you continued your with concludes and Thank Have great being for

participation. your for you thank gentlemen, This and concludes the Ladies presentation.

have wonderful a You and day. disconnect, may