Volaris stock tops USD 1 billion revenue as fuel squeezes margins

Published on 11/02/2026 at 09:03 | Editorial responsibility: Rafael Müller, Editor-in-Chief AD HOC NEWS

Volaris stock faces a sharper fuel-cost burden after a stronger operating quarter. Management expects slower capacity growth and a lower margin in the fourth quarter.

Revenue growth meets fuel pressure

Third-quarter revenue rose 32 percent year over year, but Volaris recorded a net loss.
Higher fuel costs pushed operating expenses well above the prior-year level and reduced the EBITDAR margin.
Management expects slower capacity growth and an EBITDAR margin near 20 percent in the fourth quarter.

Volaris, MX01VO000009, Illustration mit AI erstellt.

Volaris crossed USD 1 billion in quarterly revenue for the first time in the third quarter ended September 30, 2026, but rising fuel costs kept the Mexican ultra-low-cost carrier in the red. The figures were released on Monday, October 26, and reported by Aviacionline.

Revenue gains face cost pressure

Operating revenue reached USD 1.038 billion, up 32 percent from the year-earlier quarter. Traffic and pricing supported a 19 percent increase in total revenue per available seat mile to 10.31 US cents, while available seat miles rose 11 percent to 10.1 billion.

The stronger top line did not translate into higher earnings. Operating expenses climbed to USD 1.004 billion from USD 716 million, as the average economic fuel cost increased 57 percent to USD 4.10 per gallon. Volaris reported operating income of about USD 34 million and a net loss of USD 26 million, compared with a USD 6 million profit a year earlier.

EBITDAR remained broadly stable at USD 263 million, but its margin fell 8.3 percentage points to 25.3 percent. Excluding fuel, cost per available seat mile increased 14 percent to 6.23 US cents, indicating that cost pressure extended beyond fuel.

Fourth-quarter outlook turns cautious

For the October-December period, management expects capacity to grow about 4 percent year over year. It targets revenue per available seat mile of approximately 10.90 US cents, fuel-excluded cost per available seat mile near 6.50 US cents and an EBITDAR margin around 20 percent, versus 37.2 percent a year earlier.

For full-year 2026, Volaris expects capacity growth of about 5 percent, an EBITDAR margin near 21 percent and net capital expenditure of roughly USD 350 million. The outlook assumes a US Gulf Coast jet fuel price of USD 4.40 per gallon, more than double the comparable prior-year assumption.