Abra Group widens losses in second quarter as fuel costs surge

Abra Group, the holding company behind Avianca, Gol and Wamos Air, reported a sharp widening of losses for the April-to-June period, the company said. Operating loss grew to $365 million from $47 million a year earlier, while net loss expanded to $766 million from $178 million.

Revenue rose 17.7% year-on-year to $2.6 billion. Operating costs climbed by nearly a third, though, driven largely by an 80% jump in fuel expenses. Abra said roughly half of that fuel cost increase had been offset through higher fares and other measures, and that it remains on track for an average fare pass-through rate of 60% over the ten months from March to December.

Speaking on an earnings call, chief executive Adrian Neuhauser attributed the weak quarter to rising fuel costs, unfavorable currency movements and seasonally soft demand. He said the group would keep pushing fares higher to recapture fuel costs while continuing to invest in premium offerings, where demand has been strong. Premium revenue rose 69% year-on-year and now accounts for 28% of passenger revenue, the company said.

Elsewhere in the group, revenue at wet-lease unit Wamos Air fell 5.8% to $91 million. Abra attributed the decline to a normalization of the wet-lease market following what it described as an exceptional 2025, when a shortage of widebody aircraft had boosted demand for such arrangements. The company said the market is now settling into a new pattern, with carriers showing less appetite for making ACMI leasing a core part of their operations.