(ATWonline) Copa Holdings, parent of Panama’s Copa Airlines and Copa Airlines Colombia (formerly Aero Republica), posted 2010 net income of $212.1 million, down 11.8% from a $240 million profit in 2009. But it noted that 2009 net results benefited from a $58 million non-cash gain owing to fuel hedging, and net income excluding special items rose from $201.7 million in 2009 to $219.2 million in 2010.
Fourth-quarter net income was $92.8 million, up 31.8% from a $70.4 million profit in the 2009 December period, on a 19.7% lift in revenue $410.6 million.
“Copa Holdings’ strong fourth-quarter and full-year results are the product of a solid and well executed business model based on operating the best and most convenient network for intra-Latin America travel,” the company said in a statement. It projects annual consolidated capacity growth of around 20% for 2011 “as a result of the full year effect of capacity added in 2010 and the introduction of 10 additional 737-800 aircraft during 2011.” Copa Airlines took delivery of three Boeing 737-800s in the fourth quarter to bring the consolidated fleet to 63 aircraft at year end comprising 20 737-700s, 17 737-800s and 26 Embraer 190s.
Full-year revenue increased 12.6% to $1.41 billion while expenses heightened 11.5% to $1.15 billion, producing operating income of $263 million, up 17.8% over an operating profit of $223.3 million in 2009.
Full-year traffic increased 13.8% to 8.42 billion RPMs on 10.5% growth in capacity to 10.95 billion ASMs, leading to a load factor of 76.9%, up 2.2 points. Yield dipped 1.1% to 15.9 cents as RASM edged up 1.9% to 12.9 cents and CASM rose 0.9% to 10.5 cents. CASM ex-fuel lowered 1.5% to 7.2 cents. Copa noted that RASM is expected to decrease approximately 4% year-over-year in 2011 “mainly as a result increased length of haul and capacity expansion.