In the first half of 2024, Grupo SATA carried 1.174 million passengers, 166,000 more passengers (+16%) than in the same period last year. The available capacity increased by 13% compared to the first half of 2023, resulting in an overall increase in the Group’s average load factor of 2.6 percentage points to 78.6%. The growth in revenues will continue in 2024, reaching around 180 million euros, representing an increase of around 32 million euros (+22%) compared to the same period in 2023.
However, cost pressure has pushed EBITDA back to a negative 6.5 million euros, compared to a positive 3.6 million euros in the first half of 2023. The increased operating costs and financial expenses affected the SATA Group’s net profit, resulting in a total loss of 45 million euros.


SATA Air Açores with a loss of 9 million euros (The planes that do transportation between the islands)
SATA Air Açores carried 427,000 passengers, up 6% in the 1st Half of 2023, with a load factor of 74.5%, higher than the load factor in the same period last year (70.6%).
Revenue in the 1st Half of 2024 amounted to 51.4 million euros (6.1 million euros more than in the 1st Half of 2023, +13.4%).
Operating income before interest, taxes, depreciation, and amortization (EBITDA) was negative by 1.2 million euros, compared to the negative 0.1 million recorded in the 1st Half of 2023.
Net income in the first half of 2024 was negative by 9 million euros, compared to a net loss of 11.4 million euros in the same period last year. SATA Air Açores had a total revenue of 51.4 million euros in the first half of 2024, representing an increase of 13.4% compared to the first half of 2023. This revenue increase reflects the number of passengers carried, +23 thousand passengers (+6%) compared to the first half of 2023.
The average load factor increased compared to the same period last year to 74.5% in the first half of 2024, +3.9 percentage points compared to the first half of 2023.
Operating costs in the first Half of 2024 amounted to 52.7 million euros, up 16% on the same period in the previous year. This was mainly due to the increase in personnel costs resulting from the increase in the number of employees and salary increases, partly associated with the company’s new agreements.



Azores Airlines (the part of SATA that flies outside the Azores, including to the US and Canada) with a loss of 37.8 million euros in the 1st Half of 2024
In the first half of 2024, 747,000 passengers were carried, +24% compared to the first half of 2023, with a load factor of 81.1% (+1 percentage point compared to the first half of 2023).
Revenue totaled 135.5 million euros (+24.4 million euros compared to the 1st Half of 2023). For the first half of 2024, 747,000 passengers were carried, +24% compared to the first half of 2023, with a load factor of 81.1% (+1 percentage point compared to the first
Operating income before interest, taxes, depreciation, and amortization (EBITDA) was negative 4.9 million euros.
Net Profit in the 1st Half of 2024 was negative 37.8 million euros.
In the first half of 2024, Azores Airlines’ revenue was 135.5 million euros, up 22% from the first half of 2023. This growth was due to a concerted set of operational and commercial initiatives and bets on new routes.
Not only were the North American routes consolidated, but also new routes, such as Ponta Delgada—Milan and Ponta Delgada—Faro, were successful, even though the operation only started in June (with a greater impact expected in the remaining summer months).
As a result of this operational and commercial effort, Azores Airlines had 747,000 passengers in the First half of 2024, up 24% from the first half of 2023.
The increase in traffic, according to the business group, “was driven by increased connectivity within the network, the greater number of routes operated, the inclusion of larger aircraft in the operation of some of these routes and benefiting from Azores Airlines’ greater notoriety in foreign markets and strong passenger demand in North America. Despite the strong boost in revenues, the 1st Half also saw an increase in operating costs, in line with several other market players. ”
After a first Quarter marked by irregularities caused mainly by weather issues and delays in the delivery of aircraft under maintenance, Azores Airlines saw an equally challenging start to the second Quarter, especially due to irregularities caused by unscheduled maintenance events. This led to an increase in costs with compensation and irregularities of +868 thousand euros, +44.1%, compared to the same period last year.
Excluding these costs, external supplies and services increased due to fuel costs, which resulted from the combined effect of the price increase and the increase in consumption; ACMI costs (aircraft rental, crew, maintenance, and insurance), which resulted from the start of the scheduled summer operation and the contracting of this type of service to fill fleet gaps and guarantee passenger service; and maintenance costs.
Personnel costs also increased due to the increase in operational activity combined with the impact of the new company agreements, which came into force on April 1, 2024.
Thus, like SATA Air Açores, the increase in Azores Airlines’ operating costs was the result, on the one hand, of factors related to the company’s operational activity (increased activity, ACMIs, irregularities, and maintenance), and, on the other hand, of factors related to the increase in costs resulting from the international macroeconomic environment in which Azores Airlines operates, making it vulnerable to the evolution of the costs of some external supplies and services that it is difficult to mitigate, namely fuel costs.
In the specific case of Azores Airlines, there is a fact that could justify “the reduction in profitability seen in the 1st half, namely the fact that the company has very significantly increased its offer on some new routes which, without prejudice to the increase seen in terms of passengers, still lacks a degree of maturity that will allow it to maintain or increase the level of profitability, which is expected to happen in the next half year.”


SATA airfield management has a profit of 228 thousand euros
SATA Gestão de Aeroportos revenues totaled 2.6 million euros (+719 thousand euros compared to the 1st Half of 2023), and Operating Income before Interest, Taxes, Depreciation, and Amortization (EBITDA) totaled a negative 55 thousand euros.
Net Profit in the 1st Half of 2024 was positive by 228 thousand euros.
SATA Gestão de Aeródromos recorded an increase in revenue in line with the increase in traffic at the region’s airports. Sales and services rendered totaled 2 million euros in the first half of 2024, compared to 1.9 million euros in the first half of 2023, an increase of 6%.
In addition to sales and services rendered, an estimate of Financial Rebalancing of 598,000 euros was recorded for the fourth year of operation of the concession contract.
Operating costs, in turn, increased by around 115 thousand euros, +4%, in which we highlight the increase in personnel costs due to the impact of the company’s new agreements. EBITDA was negative by 55 thousand euros, 604 thousand euros less than in the same period last year. The company’s net profit evolved positively, from a loss of 506 thousand euros to a positive net profit of 228 thousand euros.

In Correio dos Açores-Natalino Viveiros, director

Translated to English as a community outreach program from the Portuguese Beyond Borders Institute (PBBI) and the Modern and Classical Languages and Literatures Department (MCLL) as part of Bruma Publication and ADMA (Azores-Diaspora Media Alliance) at California State University, Fresno, PBBI thanks Luso Financial for sponsoring NOVIDADES.