The Curious Case of Azul Airlines
Airlines
The Curious Case of Azul Airlines
Skift Take
Azul is now the second-largest carrier in Brazil. The pandemic has done little to deter its growth, but the airline must find a solution for its increasing debt levels. Can a merger fix this?
Report Overview
Our first curious case report focused on Indigo, India’s largest airline, and for the next one in our series, we're shifting our attention to Latin America. This region is home to one of the most fascinating case studies in aviation right now - Azul Airlines. The airline commenced operations in 2009 and has experienced significant growth over the past 15 years thanks to its strong domestic network, route exclusivity, and operational efficiency.
However, the devaluation of the Brazilian Real means carriers with debts in foreign currencies will face increased costs. With substantial debt on Azul’s balance sheet, the question arises: how does the airline plan to manage its leverage levels?
What You'll Learn From This Report
- The structure of the Brazilian domestic market
- Azul’s network in comparison to its regional counterparts
- Exclusivity of routes within the Brazilian airlines
- Azul’s approach to mitigating the impact of currency devaluation
- The growth of Azul’s high-margin auxiliary businesses
- Azul’s future plans
