• Avianca Group International Limited reported strong financial performance for Q3 2025, delivering $411 million in EBITDAR — a 15 percent year-over-year increase — with a margin of 27.2 percent. This marks the fourth consecutive quarter of record EBITDAR and margin performance for the company.
• A standout highlight was the performance of Avianca Cargo, which generated $157 million in revenue, reflecting a 14.1 percent increase from the same period last year.
• The cargo division continued to benefit from stable market conditions and expanded its freighter fleet to nine A330s with the addition of two P2F aircraft.

Avianca Group International Limited has reported robust financial results for the third quarter of 2025, with its cargo division delivering standout performance. Avianca Cargo generated $157 million in revenue for the quarter, marking a 14.1 percent year-on-year increase, highlighting the continued strength of airfreight demand in the company’s key markets and the resilience of its logistics operations.

The growth in cargo revenue played a vital role in the company’s record $411 million EBITDAR, a 15.5 percent year-on-year increase, with a healthy 27.2 percent EBITDAR margin—the fourth consecutive quarter of record EBITDAR and margin performance for comparable periods. The results come at a time when the global air cargo market is gradually stabilizing following several years of volatility, with Avianca positioning its freighter fleet and logistics solutions to meet evolving customer demand.

Avianca Cargo’s operational freighter fleet expanded during the quarter with the induction of two additional A330 Passenger-to-Freighter (P2F) aircraft, bringing the total to nine widebody freighters. These aircraft continue to serve key trade routes across the Americas, supporting time-sensitive and high-value cargo flows across the region.

The strong performance of the cargo business was attributed to a combination of fleet expansion, efficient network deployment, and a stabilising rate environment. While global airfreight yields have come under pressure in some regions, Avianca Cargo’s performance points to targeted capacity growth, customer retention, and operational execution as factors behind the revenue rise.

Broader Group Performance Reflects Solid Strategy
Beyond cargo, the group reported total operating revenues of $1,509 million, representing a 12.8 percent increase from Q3 2024. Operating costs rose to $1,290 million (up 13.3 percent), but cost discipline was evident in several areas, including fuel.

Passenger fuel cost per Available Seat Kilometer (CASK) dropped by 9.9 percent year-on-year, aided by improved fuel efficiency and favorable prices. Total passenger CASK declined to 5.7 cents, down from 5.8 cents a year ago, while non-fuel CASK rose slightly to 3.9 cents (up 2.1 percent).

The Group carried 9.7 million passengers, maintaining consistent volumes with the prior year. Despite a 6.8 percent growth in capacity (measured in Available Seat Kilometers or ASKs) and a 7.0 percent rise in Revenue Passenger Kilometers (RPKs), the average yield per passenger fell by 3.5 percent, reflecting competitive pricing and network optimization. The load factor remained stable at 82.9 percent, suggesting efficient capacity management.

Avianca’s cost discipline and network strategy resulted in a net income of $101 million, a 40.1 percent year-on-year increase, underscoring strong execution across both passenger and cargo operations.

In recognition of its continued financial improvements, Moody’s and Fitch both upgraded Avianca’s credit ratings during the quarter—to B1 and B+, respectively, with stable outlooks. The upgrades reflect confidence in the airline’s operating model, consistent cash generation, and balance sheet health.

At the end of Q3, Avianca reported $1,361 million in liquidity, which includes a cash balance of $1,161 million and $200 million in undrawn revolving credit. The group’s net leverage ratio improved slightly to 2.8 times, down from 2.9 times the previous quarter.

Avianca continued refining its passenger network, improving connectivity through major hub redesigns in Bogotá, San Salvador, and Medellín. These efforts led to a 23 percent increase in markets served through its hubs and an 11 percent increase in weekly connections for Winter 2025 compared to the same period in 2024.

The airline also launched Business Class service across 54 new routes, further expanding its premium product offerings across Colombia, El Salvador, Ecuador, and other key destinations. These additions enhance passenger experience and contribute to higher ancillary revenues and loyalty engagement.

Avianca’s loyalty program LifeMiles continues to be a key contributor to group profitability. The program recorded a 72 percent increase in third-party cash EBITDA, reaching $77 million in the quarter. Growth was driven by co-branded credit card uptake, increased redemptions, and strong partner engagement.