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Azul Azul Reports Third Quarter Net Revenue of R $ 2.7 billion and EBITDA margin of 17.9 % Revenue up 59.6 % quarter over quarter and operating income reached R $ 136 million ¹ São Paulo , November 11 , 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 third quarter of 2021 ( " 3Q21 " ) . 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 ▪ During the third quarter , Azul continued its industry - leading revenue recovery . Operating revenue totaled R $ 2.7 billion , up from R $ 1.7 billion in 2Q21 , an increase of 59.6 % quarter over quarter . In 3Q21 , RASK recovered to 2019 levels for the first time since the onset of the pandemic , reaching 31.4 cents . RASK and PRASK increased 12.5 % and 19.4 % respectively quarter over quarter , driven by the strong domestic demand recovery which led to an increase in fares . CASK in 3Q21 reached 29.8 cents , 13.5 % lower quarter over quarter . CASK ex - fuel reduced 19.6 % in the quarter , demonstrating the operational leverage available to Azul as we recover our capacity . Also for the first time since the onset of the pandemic , Azul generated positive operating income , reaching R $ 136.3 million in the quarter and representing a margin of 5.0 % .¹ EBITDA in the quarter was also a record since the onset of the pandemic , at R $ 485.6 million and representing a margin of 17.9 % .¹ Operating revenues Operating expenses ¹ Operating income ( loss ) Operating margin¹ EBITDA¹ EBITDA margin¹ Average fare PRASK ( cents ) RASK ( cents ) CASK ( cents ) CASK ex - fuel ( cents ) Yield ( cents ) 3Q21 2,717.8 ( 2,581.5 ) 136.3 5.0 % 485.6 17.9 % 374.0 27.7 31.4 29.8 19.7 34.7 2Q21 1,702.4 ( 2,102.5 ) ( 400.2 ) -23.5 % ( 50.9 ) -3.0 % 316.0 23.2 27.9 34.4 24.5 30.3 1 % A 59.6 % 22.8 % n.a. Third Quarter Results 2021 n.a. n.a. n.a. 18.3 % 19.4 % 12.5 % -13.5 % -19.6 % 14.6 % 3Q 19 3,030.7 ( 2,479.4 ) 551.4 18.2 % 935.8 30.9 % 391.5 29.7 31.2 25.5 17.2 35.3 % A -10.3 % 4.1 % -75.3 % -13.2 p.p. -48.1 % -13.0 p.p. -4.5 % -6.8 % 0.6 % 16.8 % 14.4 % -1.6 % Azul Cargo continued to set revenue records , with an increase of 135 % year over two years , driven by strong demand for our logistics solutions and our exclusive network . TudoAzul ended the quarter with more than 13.4 million members and recorded a 31 % increase in gross billings ex - Azul compared to 3Q19 . Azul's operational cash inflows surpassed operating cash outflows by R $ 1.1 billion . Immediate liquidity position was R $ 5.3 billion , representing 65.8 % of last twelve months ' revenue and essentially flat compared to 2021 even after paying over R $ 1.5 billion in leases , loans and deferral repayments , and capital expenses . Total liquidity , including long - term investments and receivables , maintenance reserves and deposits , reached R $ 8.3 billion , also flat compared to the previous quarter . Azul's fleet totaled 160 operating aircraft , including 60 next - generation aircraft . We have the youngest fleet in the country and also lead the industry in capacity share from next - generation aircraft , which are more fuel efficient and environmentally friendly . ¹ Operating expenses were adjusted for non - recurring items recorded under other expenses netting R $ 63.1 million in 3Q21 from COVID - 19 related aircraft redelivery expenses and revised non - cash provisions . Operating expenses in 2Q21 and 3Q19 were adjusted for non - recurring items totaling R $ 1.7 million and R $ 24.6 million respectively .