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Aeromexico posts quarterly loss, hit deeper by coroanvirus shutdowns

Mexican airline Aeromexico, which is undergoing a Chapter 11 restructuring process, on Tuesday posted a loss in the fourth quarter of last year, taking yet another hit from the coronavirus pandemic’s drain on global tourism.

The company reported a net loss of 9.72 billion pesos ($487 million) in the October to December period, with passenger capacity down nearly 48% from the same quarter a year earlier.

It also reported losses in the first three quarters of 2020, including a slimmer loss of $130 million in the prior period.

Still, Aeromexico said it transported 56% more people than in the third quarter, with 2.9 million passengers.

“The market showed signs of a modest recovery in the demand for trips,” the company said in a statement, attributing the increase in part to more flights between Mexico and the United States.

Aeromexico said it plans to keep expanding operations in the coming months.

The carrier reported 7.2 billion pesos in revenue, down 58.4% from a year ago.

($1= 19.9500 pesos at end-December)

Reporting by Daina Beth Solomon and Noe Torres

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