GOL Reviews Financial Outlook

01/11/2018 06:49

SAO PAULO, Nov. 1, 2018 /PRNewswire/ -- GOL Linhas Aéreas Inteligentes S.A. ("GOL" or "Company"), (NYSE: GOL and B3: GOLL4), Brazil's #1 airline, reviews its financial outlook for 2018 and 2019. Guidance is adjusted to reflect competitor capacity movements, recent variations in oil prices, the appreciation of the USD versus the BRL, initial results of the introduction of 737 Max aircraft into the fleet, yield management activities and lower tax credit utilization.

The Company's guidance highlights key metrics which impact financial results and drive long-term shareholder value. GOL provides forward-looking information that is focused on the main metrics the Company uses to measure business performance. These indicators are useful for investors and analysts who project GOL's results.

Financial Outlook	2018E			2019E
(Consolidated, IFRS)	Previous	Revised			Previous	Revised
Total fleet (average)	117		118		122 to 124	121 to 123
Total Operational fleet (average)	110		110		116	115
ASKs, System (% change)	1 to 2		1 to 2		5 to 10	5 to 10
- Domestic	0 to 2		0 to 2		1 to 3	1 to 3
- International	6 to 8		6 to 8		30 to 40	30 to 40
Seats, System (% change)	0 to 2		0 to 2		3 to 5	2 to 4
Departures, System (% change)	0 to 2		0 to 2		2 to 5	2 to 5
Average load factor (%)	79 to 80		79 to 80		79 to 81	79 to 81
Ancillary revenues¹ (R$ billion)	~ 1.0		~ 1.0		~ 1.3	~ 1.2
Total net revenues (R$ billion)	~ 11.5		~ 11.5		~ 12.5	~ 12.8
Non-fuel CASK (R$ cents)	~ 13.5		~ 13.5		~ 14	~ 14
Fuel liters consumed (mm)	~ 1,370		~ 1,370		~ 1,420	~ 1,420
Fuel price (R$/liter)	~ 2.9		~ 2.9		~ 2.9	~ 2.9
EBITDA margin (%)	~ 16		~ 16		~ 17	~ 17
Operating (EBIT) margin (%)	~ 11		~ 11		~ 12	~ 12
Net financial expense² (R$ mm)	~ 800		~ 800		~ 500	~ 500
Pre-tax margin² (%)	~ 4		~ 4		~ 8	~ 8
Effective income tax rate (%)	~ 23		~ 23		~ 10	~ 10
Minority interest³ (R$ mm)	~289		~ 280		*	*
Capital expenditures, net (R$ mm)	~ 750		~ 750		~ 600	~ 600
Net Debt⁴ / EBITDA (x)	~ 2.8x		~ 2.6x		~ 2.5x	~ 2.5x
Aircraft rent (R$ mm)	~ 1,100		~ 1,100		~ 1,000	~ 1,000
Fully-diluted shares out. (million)	348.7		348.7		348.7	348.7
Earnings per share, fully diluted²(R$)	0.10 to 0.30		0.05 to 0.25		1.50 to 1.90	1.50 to 1.90
Earnings per share, fully diluted (R$)	(1.20) to (1.00)		(2.00) to (1.80)		1.50 to 1.90	1.50 to 1.90
Fully-diluted ADS out. (million)	174.4		174.4		174.4	174.4
Earnings per ADS, fully diluted²(US$)	0.05 to 0.15		0.03 to 0.10		0.80 to 1.20	0.80 to 1.20
Earnings per ADS, fully diluted (US$)	(0.60) to (0.50)		(1.10) to (1.00)		0.80 to 1.20	0.80 to 1.20

⁽¹⁾ Cargo, loyalty, buy-on-board and other ancillary revenues; ⁽²⁾ Excluding currency gains and losses; ⁽³⁾ Average of analyst estimates (Source: Bloomberg); ⁽⁴⁾ Excluding perpetual bonds; (*) Not provided.

The current guidance may be adjusted in order to incorporate the evolution of GOL's operating and financial performance and any eventual changes to the Brazilian economy and GOL's broader economic environment, including variations in economic growth, interest rates, exchange rates, and international oil price trends.

Investor Relations
ri@voegol.com.br
www.voegol.com.br/ir
+55 (11) 2128-4700

About GOL Linhas Aéreas Inteligentes S.A.

GOL serves more than 30 million passengers annually. With Brazil's largest network, GOL offers customers more than 700 daily flights to 67 destinations in 10 countries in South America and the Caribbean. GOLLOG is a leading cargo transportation and logistics business serving more than 3,400 Brazilian municipalities and, through partners, more than 200 international destinations in 95 countries. SMILES is one of the largest coalition loyalty programs in Latin America, with over 14 million registered participants, allowing clients to accumulate miles and redeem tickets for more than 700 locations worldwide. Headquartered in São Paulo, GOL has a team of more than 15,000 highly skilled aviation professionals and operates a fleet of 120 Boeing 737 aircraft, with a further 133 Boeing 737 MAX on order, delivering Brazil's top on-time performance and an industry leading 17 year safety record. GOL has invested billions of Reais in facilities, products and services and technology to enhance the customer experience in the air and on the ground. GOL's shares are traded on the NYSE (GOL) and the B3 (GOLL4). For further information, visit www.voegol.com.br/ir.

View original content:http://www.prnewswire.com/news-releases/gol-reviews-financial-outlook-300742197.html