Volaris reports July 2025 traffic results: increased capacity, flat RPMs, and decreased load factor year-over-year while transporting 2.8 million passengers.
Quiver AI Summary
Controladora Vuela Compañía de Aviación, S.A.B. de C.V. (Volaris) reported its preliminary traffic results for July 2025, indicating a 6.0% increase in ASM capacity compared to the previous year, but RPMs remained relatively flat with a slight domestic decline of 0.4% and a 1.0% increase in international RPMs. The consolidated load factor dropped 5.0 percentage points year-over-year to 84.9%, as the airline transported 2.8 million passengers during the month, with strong domestic demand but a planned decrease in international load factor due to a focus on yields. CEO Enrique Beltranena remarked that the company is on track with its quarterly expectations, as the market gradually stabilizes amidst a reduction in industry capacity.
Potential Positives
- Volaris transported 2.8 million passengers in July 2025, reflecting strong demand and an increase in domestic passenger traffic by 2.9% year-over-year.
- Despite a slight decline in domestic RPMs, the company's overall year-to-date RPMs increased by 3.9%, indicating positive trend in passenger traffic over the year.
- The company reported a significant 14.1% increase in international ASM capacity for July, suggesting strategic expansion into international markets.
- Volaris' President and CEO stated that the company is on track to meet its quarterly guidance, demonstrating confidence in its operational performance and strategic focus.
Potential Negatives
- Consolidated load factor decreased by 5.0 percentage points year-over-year to 84.9%, indicating a potential decline in operational efficiency and demand relative to capacity.
- Domestic RPMs declined 0.4%, suggesting weakness in the domestic market, which could negatively impact revenue growth.
- International load factor declined by 10.1 percentage points year-over-year, highlighting challenges in maintaining profitability in international operations.
FAQ
What are Volaris' July 2025 traffic results?
In July 2025, Volaris transported 2.8 million passengers, with overall traffic remaining flat and a load factor of 84.9%.
How did domestic and international RPMs perform?
Domestic RPMs declined by 0.4%, while international RPMs increased by 1.0% in July 2025 compared to the previous year.
What was the change in Volaris' ASM capacity?
Volaris' ASM capacity increased by 6.0% in July 2025, reflecting the addition of new capacity in both U.S. and Central America.
What does the load factor indicate?
The load factor decreased by 5.0 percentage points year-over-year to 84.9%, indicating changes in passenger demand and capacity management.
Who should be contacted for investor relations information?
For investor relations, contact Ricardo Martínez at [email protected] for inquiries related to Volaris' financial performance.
Disclaimer: This is an AI-generated summary of a press release distributed by GlobeNewswire. The model used to summarize this release may make mistakes. See the full release here.
$VLRS Hedge Fund Activity
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$VLRS Analyst Ratings
Wall Street analysts have issued reports on $VLRS in the last several months. We have seen 4 firms issue buy ratings on the stock, and 0 firms issue sell ratings.
Here are some recent analyst ratings:
- UBS issued a "Buy" rating on 07/31/2025
- Goldman Sachs issued a "Buy" rating on 06/10/2025
- JP Morgan issued a "Overweight" rating on 05/06/2025
- Citigroup issued a "Buy" rating on 03/05/2025
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$VLRS Price Targets
Multiple analysts have issued price targets for $VLRS recently. We have seen 5 analysts offer price targets for $VLRS in the last 6 months, with a median target of $8.0.
Here are some recent targets:
- Alberto Valerio from UBS set a target price of $8.0 on 07/31/2025
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- Fernando Abdalla from JP Morgan set a target price of $7.0 on 05/06/2025
- Stephen Trent from Citigroup set a target price of $11.0 on 03/05/2025
Full Release
MEXICO CITY, Aug. 07, 2025 (GLOBE NEWSWIRE) -- Controladora Vuela Compañía de Aviación, S.A.B. de C.V. (NYSE: VLRS and BMV: VOLAR) (“Volaris” or “the Company”), the ultra-low-cost carrier (ULCC) serving Mexico, the United States, Central and South America, reports its July 2025 preliminary traffic results.
In July, Volaris’ ASM capacity increased 6.0%, while RPMs for the month remained essentialy flat. Mexican domestic RPMs declined 0.4%, while international RPMs increased 1.0%. Consolidated load factor decreased by 5.0 percentage points year-over-year to 84.9%. During the month, Volaris transported 2.8 million passengers.
Enrique Beltranena, Volaris’ President and CEO, said : “The third quarter is performing in line with our expectations, and we are on track to meet our quarterly guidance. In July, our domestic network delivered a strong load factor, underscoring steady demand across Mexico. International load factor declined year-over-year, as expected, driven by our tactical focus on prioritizing yields and ancillary revenues. This result also reflects year-over-year ASM restoration, including the recent addition of capacity in July, which will continue maturing throughout the second half of the year in both the U.S. and Central America. The market continues to gradually stabilize, with reduced industry capacity aligned with current passenger demand patterns.”
Jul 2025 | Jul 2024 | Variance |
YTD Jul
2025 |
YTD Jul
2024 |
Variance | |||||||
RPMs (million, scheduled & charter) | ||||||||||||
Domestic | 1,651 | 1,657 | -0.4 | % | 10,812 | 10,374 | 4.2 | % | ||||
International | 1,044 | 1,034 | 1.0 | % | 6,667 | 6,451 | 3.3 | % | ||||
Total | 2,695 | 2,692 | 0.1 | % | 17,479 | 16,826 | 3.9 | % | ||||
ASMs (million, scheduled & charter) | ||||||||||||
Domestic | 1,832 | 1,819 | 0.7 | % | 12,226 | 11,455 | 6.7 | % | ||||
International | 1,345 | 1,178 | 14.1 | % | 8,573 | 7,932 | 8.1 | % | ||||
Total | 3,177 | 2,997 | 6.0 | % | 20,799 | 19,387 | 7.3 | % | ||||
Load Factor (%, RPMs/ASMs) | ||||||||||||
Domestic | 90.1 | % | 91.1 | % | (1.0) pp | 88.4 | % | 90.6 | % | (2.1) pp | ||
International | 77.7 | % | 87.8 | % | (10.1) pp | 77.8 | % | 81.3 | % | (3.6) pp | ||
Total | 84.9 | % | 89.8 | % | (5.0) pp | 84.0 | % | 86.8 | % | (2.8) pp | ||
Passengers (thousand, scheduled & charter) | ||||||||||||
Domestic | 2,036 | 1,979 | 2.9 | % | 13,119 | 12,288 | 6.8 | % | ||||
International | 729 | 705 | 3.3 | % | 4,594 | 4,407 | 4.2 | % | ||||
Total | 2,764 | 2,685 | 3.0 | % | 17,713 | 16,695 | 6.1 | % | ||||
The information included in this report has not been audited and does not provide information on the Company’s future performance. Volaris’ future performance depends on several factors. It cannot be inferred that any period’s performance or its comparison year-over-year will indicate a similar performance in the future. Figures are rounded for convenience purposes.
Glossary
Revenue passenger miles (RPMs): Number of seats booked by passengers multiplied by the number of miles flown.
Available seat miles (ASMs): Number of seats available for passengers multiplied by the number of miles flown.
Load factor: RPMs divided by ASMs and expressed as a percentage.
Passengers: The total number of passengers booked on all flight segments.
Investor Relations Contact
Ricardo Martínez /
[email protected]
Media Contact
Israel Álvarez /
[email protected]
About Volaris
*Controladora Vuela Compañía de Aviación, S.A.B. de C.V. (“Volaris” or “the Company”) (NYSE: VLRS and BMV: VOLAR) is an ultra-low-cost carrier, with point-to-point operations, serving Mexico, the United States, Central, and South America. Volaris offers low base fares to build its market, providing quality service and extensive customer choice. Since the beginning of operations in March 2006, Volaris has increased its routes from 5 to more than 219 and its fleet from 4 to 151 aircraft. Volaris offers around 500 daily flight segments on routes that connect 44 cities in Mexico and 29 cities in the United States, Central, and South America, with one of the youngest fleets in Mexico. Volaris targets passengers who are visiting friends and relatives, cost-conscious business and leisure travelers in Mexico, the United States, Central, and South America. For more information, please visit
ir.volaris.com
. Volaris routinely posts information that may be important to investors on its investor relations website. The Company encourages investors and potential investors to consult the Volaris website regularly for important information about Volaris.