BRAZIL MARKET ANALYSIS

Transcription

1 2015

2 5 YEAR PASSENGER TRAFFIC EVOLUTION Domestic CAGR: 10.6% International CAGR: 10.7% Passenger traffic in Brazil has experienced strong growth during the last 5 years both in the domestic and international market. During 2014, Brazilian carriers carried 95.9 million passengers with GOL leading the way with 35.7 million, followed by TAM Airlines, which carried 32.2 million. Azul Airlines was the fastest-growing airline in the domestic market, growing over 50% year-over-year to carry 20.0 million passengers. Avianca Brasil grew 16.6% compared to 2013 and carried 6.9 million passengers Source: ANAC

3 TOTAL SEAT CAPACITY 17% International The commercial aviation market in Brazil has a total GOL 38.3% capacity of more than 160 million annual seats. Domestic seats accounts for more than 80% of the total seat capacity. Total Seats Million NHT LINHAS AEREAS 0.12% PASSAREDO 1% AVIANCA BRASIL 7% Domestic 83% TAM 30.9% AZUL 21%

4 FASTEST GROWING DOMESTIC MARKETS FASTEST DECLINING DOMESTIC MARKETS % 2.5% 5.1% SEATS ADDED 2015 vs % 3.0% 19.9% Brasilia - Rio de Janeiro Porto Seguro - Sao Paulo Recife - Sao Paulo Belem - Sao Luiz Sao Jose do Rio Preto - Sao Paulo Recife - Rio de Janeiro Porto Alegre - Sao Paulo Rio de Janeiro - Sao Paulo Brasilia - Sao Paulo Belem - Sao Paulo Belo Horizonte - Sao Paulo Belo Horizonte - Vitoria (BR) -7.9% -26.7% -6.8% -35.0% -19.7% -13.0% SEATS WITHDRAWN 2015 vs 2014 Porto Alegre Sao Paulo is the fastest growing city pair in the Brazil domestic market, mainly by added capacity from Azul Airlines and Avianca Brazil. In contrast, Brasilia Rio de Janeiro is the slowest growing city pair with more that 230,000 seats withdrawn by TAM, GOL and Azul.

5 FASTEST GROWING AIRLINES IN THE DOMESTIC MARKET FASTEST DECLINING AIRLINES IN THE DOMESTIC MARKET 13.8% % SEATS ADDED 2015 vs % 0.2% TAM Linhas Aereas In the total domestic market, Avianca Brazil leads the way in seats added during 2015 with more tan 1.2 million seats added during 2015, mainly in the Brasilia Sao Paulo, and Rio de Janeiro Sao Paulo markets. On the other hand, TAM Airlines will withdraw more than 750,000 seats during Avianca Brasil Azul Airlines Passaredo Gol SEATS WITHDRAWN 2015 vs %

6 FASTEST GROWING INTERNATIONAL MARKETS FASTEST GROWING AIRLINES IN THE INTERNATIONAL MARKET SEATS ADDED SEATS ADDED 2015 vs vs Brazil - Chile Brazil - USA Brazil - Canada Brazil - Spain Brazil - Panama TAM Linhas Aereas Azul Airlines Gol Linhas Aereas Sky Airline Air Canada Copa Airlines Turkish Airlines KLM British Airways In the International Market, the Brazil-Chile market will grow the fastest during 2015 followed by Brazil-USA. TAM and Azul Airlines will be the carriers that grow the most in the international market, adding more than 1 million combined seats during the year

7 SEAT CAPACITY BY MONTH Domestic International 0 JAN FEB MAR APR MAY JUN JUL AGO SEP OCT NOV DEC

8 DOMESTIC SEAT CAPACITY BY CARRIER TYPE 60% Low Cost Carriers The domestic market in Brazil has a total seat capacity of 132.7M seats during 2015, of which 60% correspond to LCCs. Total Seats Million DOMESTIC MARKET FACTS 40% Network Carriers M Seats 333 city pairs 6 scheduled carriers Average stage length: 836 KM

9 DOMESTIC SEAT CAPACITY BY CARRIER 31% 38% Gol Airlines leads the way in the terms of seat capacity with 38.5% of the avaiable seats, followed by TAM with 31%. Azul and Avianca Brasil complete the group of 4 big carriers in the country, with 21.2% and 7.7% respectively. 0.1% 1.3% 7% 21%

10 DOMESTIC SEAT CAPACITY BY AIRPORT 2015 Seats Airport (departing) Sao Paulo (GRU) 15,732,401 Sao Paulo (CGH) 13,640,406 Brasilia (BSB) 12,167,785 Rio de Janeiro (GIG) 8,233,734 Rio de Janeiro (SDU) 7,873,132 Belo Horizonte (CNF) 7,431,389 Sao Paulo (VCP) 6,289,312 Salvador (SSA) 5,832,663 Curitiba (CWB) 5,253,490 Porto Alegre (POA) 4,984,457 % Growth vs 2014 Largest Carrier Capacity Share 2nd Carrier Capacity Share -2% Gol 38% TAM 37% -4% Gol 46% TAM 43% -13% TAM 43% Gol 18% -6% Gol 48% TAM 38% -5% Gol 46% TAM 24% 5% Gol 42% Azul 38% 7% Azul 87% Gol 9% -6% Gol 38% TAM 28% 13% Gol 38% TAM 30% 6% Gol 38% TAM 30% Sao Paulo Guarulhos is the biggest airport in terms of seat capacity in the Brazil domestic market with more than 15 million departing seats offered during 2015, followed by Sao Paulo Congohas with almost 14 million departing seats. Gol is the largest domestic carrier at GRU with 38% of the seat capacity.

11 DOMESTIC SEAT CAPACITY BY CITY PAIR City Pair 2015 Seats (roundtrip) % Growth vs 2014 Rio de Janeiro - Sao Paulo 14,516, % Brasilia - Sao Paulo 6,188, % Porto Alegre - Sao Paulo 5,507, % Belo Horizonte - Sao Paulo 5,421, % Curitiba - Sao Paulo 5,057, % Salvador - Sao Paulo 3,699, % Florianopolis - Sao Paulo 2,943, % Brasilia - Rio de Janeiro 2,768, % Recife - Sao Paulo 2,543, % Goiania - Sao Paulo 2,402, % Largest Carrier Capacity Share 2nd Carrier Capacity Share Gol 47% TAM 28% Gol 39% TAM 37% TAM 35% Gol 33% Gol 36% Azul 34% TAM 37% Gol 34% TAM 39% Gol 25% Gol 44% TAM 31% Gol 44% TAM 31% TAM 41% Gol 25% Gol 37% TAM 31% Rio de Janeiro Sao Paulo is the largest city pair in Brazilian domestic market offerring more than 14 million seats, with 47% of the capacity operated by Gol Airlines.

12 BRAZIL MARKET ANALYSIS RIO-SAO PAULO Route 2014 Seats 2015 Seats % Growth Congonhas Santos Dumont 6,975,018 7,299, % 2,059,934 1,938, % 1,391,949 1,649, % 1,552,410 1,510, % 1,236,354 1,289, % 948, , % Galeão Guarulhos Santos Dumont Viracopos Guarulhos Santos Dumont Congonhas Galeão Galeão - Viracopos 14.5M SEATS 264 AVERAGE DAILY ROUND TRIPS 28% SEAT CAPACITY BY AIRCRAFT TYPE B737NG A320 Family Embraer 190/ M 5.5M 2.1M Carrier Market Share 10% 15% 47%

13 INTERNATIONAL SEAT CAPACITY Carrier Domicile % Growth Brazil 7.9M 9M 14.7% Latin America and Caribbean 5.8M 5.6M -3.4% Non-Latin America 13.6M 13.3M 2.2% BRAZILIAN CARRIERS 32% Total Seats: 27.9 M 48% FOREING CARRIERS INTERNATIONAL MARKET FACTS 20% 27.9M Seats 163 city pairs LATIN AMERICAN CARRIERS 52 scheduled carriers Average stage length: 5,183KM

14 INTERNATIONAL SEAT CAPACITY BY DESTINATION REGION EUROPE NORTH AMERICA 7.1 M LATIN AMERICA & CARIBBEAN 11.5 M 0.8 M 0.6 M 7.6 M MIDDLE EAST AFRICA

15 TOP 10 INTERNATIONAL COUNTRY PAIRS BY SEAT CAPACITY Country Pair Seats % Growth Brazilian Carriers Capacity Share Foreign Carriers Capacity Share Brazil - USA 6,935, % 37% 63% Brazil - Argentina 4,455, % 51% 49% Brazil - Portugal 1,965, % - 100% Brazil - Chile 1,873, % 50% 50% Brazil - Panama 1,261, % - 100% FRANCE GERMANY Brazil - Spain 1,218, % 18% 82% Brazil - France 1,167, % 23% 77% USA PORTUGAL SPAIN Brazil - Germany 1,065, % 26% 74% Brazil - Peru 865, % 16% 74% PANAMA Brazil - Uruguay 843, % 99% 1% PERU BRAZIL Brazil - USA is the largest country pair in terms of seat capacity followed closely by Argentina - Brazil. CHILE URUGUAY ARGENTINA

16 TOP 10 INTERNATIONAL CITY PAIRS BY SEAT CAPACITY City Pair Seats % Growth Sao Paulo - Buenos Aires 2,237, % Sao Paulo - Santiago (CL) 1,464, % Sao Paulo - Miami 1,393, % Sao Paulo - New York 970, % Rio de Janeiro - Buenos Aires 917, % LONDON PARIS Sao Paulo - Madrid 831, % Sao Paulo - Paris 683, % Sao Paulo - Montevideo 640, % NEW YORK MIAMI MADRID Sao Paulo - Lima 588, % Sao Paulo - London 546, % Buenos Aires - Sao Paulo is the largest international city pair in Brazil, with more than 2M seats offered during the year. LIMA SANTIAGO SAO PAULO RIO DE JANEIRO MONTEVIDEO BUENOS AIRES

17 BRAZIL-US MARKET TOP CITY PAIRS Country Pair Seats % Growth Miami - Sao Paulo 1,393, % New York - Sao Paulo 970, % Orlando - Sao Paulo 541, % Miami - Rio de Janeiro 429, % New York - Rio de Janeiro 327, % LOS ANGELES DALLAS ATLANTA NEW YORK ORLANDO FORT LAUDERDALE MIAMI Atlanta - Sao Paulo 284, % Los Angeles - Sao Paulo 259, % Fort Lauderdale - Sao Paulo 254, % Brasilia - Miami 230, % BRASILIA RIO DE JANEIRO SAO PAULO Dallas/Fort Worth - Sao Paulo 226, %

18 TOP 10 INTERNATIONAL AIRPORTS BY SEAT CAPACITY Airport International Seats (departing) % Growth Sao Paulo (GRU) 8,616, % Rio de Janeiro (GIG) 2,671, % Brasilia (BSB) 476, % FOR 3.5% Sao Paulo (VCP) 432, % Porto Alegre (POA) 394, % Belo Horizonte (CNF) 264, % Salvador (SSA) 252, % Recife (REC) 191, % Fortaleza (FOR) 150, % Curitiba (CWB) 64, % VCP 501.4% CWB -13.2% REC 7.4% SSA 17.1% BSB 16.7% CNF -3.7% GIG 0.4% GRU -0.7% POA -16.3%

19 BRAZIL INTERNATIONAL MARKET SEATS SEAT CAPACITY BY AIRCRAFT TYPE Average Stage Length: 5,183KM The average stage length in the Brazilian International Market is 5,183km which is an average flight of around 6 hours. The B777 and the B737NG Faimly are the aicraft that are used the most in this market. B777 B737NG A330 B767 A320 Family A340 B747 B787 EMJ B757 F70 CRJ IL9 ATR M80

20 BRAZIL MARKET ANALYSIS BRAZILIAN FLEET ANALYSIS MANUFACTURER AIRCRAFT TYPE A320 Family A330 Total Airbus 737 (NG) Total Boeing EMB-120 Brasilia Total Embraer 13 Average Age 7.2 Years 184 BRAZILIAN FLEET A/C UTILIZATION Average Daily Hours Average Daily Cycles ATR ATR 42 8 Total ATR Source: Ascend ERJ 190/195 EMB-110 Bandeirante Total Fokker Total general Total The Brazilian carriers fleet is composed of 517 aircraft (as of July ). The average age of the Brazilian fleet is 7,2 years and in terms of aircraft utilization, each plane is used on average 8.1 hours per day and completes 5.7 cycles.