Company: CTTRF
Filing Date: 2025-04-30
Form Type: 20-F
Source: 0001292814-25-001765
Chunk: 88

Company: Controladora Vuela Compania de Aviacion, S.A.B. de C.V.
Filing Date: 2025-04-30
Form: 20-F
Item: Item 4
Chunk 88
---
 can achieve profitability
within a reasonable timeframe, and we only continue operating on routes where we can achieve and maintain our target level of profitability.
When developing our route network, we focus on gaining market share on routes that have been underserved or are served primarily by higher
cost airlines where we have a competitive cost advantage. We thereby stimulate new demand with low base fares and attempt to shift market
share from other operators. Based on our 2024 results, we have developed a profitable route network and achieved a leading market share
in several of our markets. As of December 31, 2024, we held over 50% of passenger market share in 151 of our 250 routes, and faced no
competition from any other carrier on over 44% of our routes. In 2024, 36% of our passenger revenues derived from our U. S. routes and
37% of our ASMs were attributed to U. S. routes.

Market
Leading Efficiency and Performance. We believe we are one of the most efficient airline carriers in Latin America. In 2024,
we achieved an average passenger load factor of 86.8% and an average aircraft utilization rate of 13.03 block hours per day with a standard
turnaround time between flights of approximately 70 minutes. For our fleet type, our average aircraft utilization rate of 11.16 flight
hours per day in 2024 was among the highest worldwide and was 40% higher than the industry average of 7.98 flight hours per day for all
Airbus A319 aircraft, 24% higher than the 9.01 flight hours per day for all Airbus A320 aircraft and 11% higher than the 10.02 flight
hours per day for all Airbus A321 aircraft, according to Airbus. The high-density, single-class seating configurations on our aircraft allow us to increase ASMs and reduce fixed
costs per seat better than the lower-density configurations flown by certain of our competitors. In addition, we strive for market-leading
operational performance, with an 83.6% on-time performance rate, 99.2% schedule completion and a mishandled baggage rate of only 0.7 bags
per 1,000 passengers in 2024.

  58  

  Table of Contents  

Brand
Recognition and Fan Base. We believe that we have developed strong brand recognition due to our focus on delivering good
value and a positive traveling experience to our customers. As of December