The SATA Group showed improvements in the third quarter of this year, supported by positive EBITDA growth in all three companies and a net profit of €7.8 million at Azores Airlines. However, despite signs of recovery and reduced operating costs, the group remains under pressure from an accumulated loss of €36.3 million: €33.3 million at Azores Airlines and €3 million at SATA Air Açores.

The SATA Group has released its results for the third quarter of this year, revealing operational and financial improvements compared to the same periods last year.

In the third quarter, Azores Airlines recorded a net profit of €7.8 million, while SATA Air Açores posted a positive result of close to €400,000. Even so, in the year to September, Azores Airlines recorded a loss of €33 million and SATA Air Açores posted a net profit slightly below the €756,000 recorded in 2024.

According to the press release, the group’s companies recorded a positive evolution in EBITDA (earnings before interest, taxes, depreciation, and amortization) in the first nine months of the year, consolidating the trend observed since the beginning of 2025. According to the Azorean airline, these indicators “show the positive effects of the Financial Sustainability Plan that has been in place since mid-2024.”

At Azores Airlines, quarterly EBITDA increased from €20.5 million to almost €25 million (+21%). At SATA Air Açores, it grew from €3.8 million to €4.7 million (+23%). At SATA Gestão de Aeródromos, EBITDA went from negative to positive, both in the quarter and in the accumulated results for 2025. In the first nine months of the year, Azores Airlines’ EBITDA rose from €15.6 million to €25.2 million, while at SATA Air Açores it grew from €2.6 million to €6 million.

SATA emphasizes that the figures “reinforce the trend that has been evident since the beginning of 2025 in both companies.”

The CEO of the SATA Group, Rui Coutinho, states that “the results for the third quarter, as well as the accumulated results, show that we are on the right track to financially balance the company, with a clear focus on cost control, reversing the trend of cost increases exceeding revenue.”

Significant change in route mix

The third quarter was marked by a significant change in the route mix, with a greater focus on domestic operations using smaller, company-owned aircraft. This change resulted in an 11% drop in passengers and a 19% reduction in revenue. “The year 2025 continues to be marked by high competitiveness in the airline sector, with the North American market more subdued than in recent years, influenced by geopolitical factors,” the note said.

Despite the drop in revenue, direct costs decreased by 37%, mainly due to lower fuel costs and less dependence on leased aircraft, as ACMI costs fell by 65%. Operating costs fell by 27%. However, personnel costs increased by 4%, “as a result of agreements signed in 2024 with prospective impacts.”

Quarterly net income rose to €7.8 million (compared to €2.8 million in the same period last year). In the year to September, it remains negative at €33.3 million, but is up 5% on the previous year.

SATA Air Açores with 14% growth in ticket revenue

SATA Air Açores recorded a 5% growth in passenger numbers, translating into a 14% increase in ticket revenue. Handling revenues grew by 12%. Costs increased but kept pace with revenue growth.

There were also significant increases in ACMI costs (+1.4 million), due to the delay in the return of an aircraft, and in personnel costs (+1.2 million), associated with wage agreements. Despite this, the increase in revenue led to EBITDA 23% higher than the previous year. The quarter ended with a net profit of €396,000, slightly below the €756,000 recorded in 2024, while the accumulated loss decreased to €3 million (compared to €8.2 million in the same period last year).

Airport Management with a net profit of €240,000

The company recorded revenue growth thanks to increased operational activity and the update of the financial rebalancing estimate provided for in the public service obligations contract. Costs remained stable, resulting in positive EBITDA.

In the third quarter, SATA Aerodrome Management posted a net profit of €240,000 (compared to a loss of €239,000 in the previous year), EBITDA of €145,000 (compared to -€129,000 in the same period last year) and a 23% increase in revenues, totaling €1.66 million. The accumulated result up to September reached a positive €885,000.

José Henrique Andrade is a journalist for Correio dos Açores-Natalino Viveiros, the director.