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Azul Azul generates adjusted EBITDA of R $ 129.7 million ; second consecutive quarter of positive EBITDA São Paulo , May 6th , 2021- Azul S.A. , " Azul " ( B3 : AZUL4 , NYSE : AZUL ) , the largest airline in Brazil by number of cities and departures , announces today its results for the first quarter of 2021 ( " 1Q21 " ) . The following financial information , unless stated otherwise , is presented in Brazilian reais and in accordance with International Financial Reporting Standards ( IFRS ) . Financial and Operating Highlights In the first quarter , adjusted EBITDA totaled R $ 129.7 million , with a margin of 7.1 % , the second consecutive quarter of positive EBITDA . Adjusted Operating revenues ( R $ million ) ¹ Operating expenses ( R $ million ) ² ASKS ( million ) RPKS ( million ) Load factor ( % ) CASK ( cents ) CASK ex fuel ( cents ) ■ ■ 1Q21 1,825.8 ( 2,039.9 ) 7,168.3 5,480.3 76.5 % 28.5 20.1 Adjusted EBITDA 129.7 EBITDA Margin 7.1 % -16.2 p.p. ¹ Operating revenue was adjusted for non - recurring items related to the COVID - 19 pandemic totaling R $ 49.1 million in 4Q20 . ² Operating expenses were adjusted for non - recurring items totaling R $ 31.8 million in 1Q21 , R $ 14.8 million in 1Q20 and R $ 94.1 million in 4Q20 . For more information , see page 10 . ■ 1Q 20 % Δ 2,802.7 ( 2,629.1 ) 9,308.8 7,544.5 81.0 % 28.2 20.0 654.2 23.3 % First Quarter Results 2021 -34.9 % -22.4 % -23.0 % -27.4 % 4Q 20 -4.6 p.p. 0.8 % 0.4 % -80.2 % 1 % A 1,783.7 ( 1,926.8 ) 6,451.0 5,210.5 80.8 % 29.9 22.9 192.9 10.8 % 2.4 % 5.9 % 11.1 % 5.2 % -4.3 p.p. -4.7 % -12.1 % -32.8 % -3.7 p.p. Domestic ASKs increased 8.9 % compared to 1019 and 15.7 % compared to 4Q20 . The connectivity of Azul's network , combined with our fleet flexibility and strong demand in our markets allowed us to recover more than 100 % of our domestic capacity compared to the same period in 2019 , one of the very few airlines in the world to do so . Operating revenues totaled R $ 1.8 billion for the first quarter of the year , up 2.4 % compared to 4Q20 . Azul Cargo recorded 62.8 % growth in net revenue compared to the same period last year , driven by our unique network and our vast array of logistics solutions . Operating expenses decreased 22.4 % or R $ 589.2 million year over year , mainly driven by lower capacity related expenses and by cost reduction initiatives implemented since last year to make Azul a more efficient airline post - crisis . CASK in 1021 reached 28.5 cents , 4.7 % lower quarter over quarter . Controlling for fuel and foreign exchange , CASK reduced 10.2 % , demonstrating the operational leverage available to Azul as we recover our capacity . Immediate liquidity , including cash and equivalents , short - term investments , and receivables , ended the quarter at R $ 3.3 billion , and at R $ 3.8 billion including our option to upsize our convertible debenture . During the quarter , Azul generated R $ 552 million in cash inflows minus operating expenses , offset by payments made to lessors and suppliers , deleveraging and capital expenses to prepare for the recovery . Total liquidity , including long - term investments and receivables , maintenance reserves , and deposits , remained solid at R $ 6.3 billion , an increase of 10.9 % compared to 1Q20 . Brazil has been clearly impacted by the second wave of the COVID - 19 pandemic , but it continues to make progress on the vaccine rollout with more than 50 million doses applied . Several cities and states are exiting lockdowns , which has already positively affected recent booking trends . In the last four weeks alone , bookings are up more than 40 % , and we expect this trend to accelerate with further vaccine progress .