0001193125-23-079096 | 20-F | XBRL Viewer

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Cover Page	12 Months Ended
Cover Page	Dec. 31, 2022 shares
Document Information [Line Items]
Document Type	20-F
Amendment Flag	false
Document Period End Date	Dec. 31, 2022
Document Fiscal Year Focus	2022
Document Fiscal Period Focus	FY
Trading Symbol	CPA
Entity Registrant Name	COPA HOLDINGS, S.A.
Entity Central Index Key	0001345105
Current Fiscal Year End Date	--12-31
Entity Well-known Seasoned Issuer	Yes
Entity Current Reporting Status	Yes
Entity Filer Category	Large Accelerated Filer
Entity Emerging Growth Company	false
Entity Shell Company	false
Title of 12(b) Security	Class A Common Stock, without par value
Document Annual Report	true
Document Transition Report	false
Document Shell Company Report	false
Entity Voluntary Filers	No
Entity Interactive Data Current	Yes
Entity Address, Country	PA
ICFR Auditor Attestation Flag	true
Document Registration Statement	false
Document Accounting Standard	International Financial Reporting Standards
Entity File Number	001-32696
Security Exchange Name	NYSE
Auditor Name	Ernst & Young Limited Corp.
Auditor Firm ID	1415
Auditor Location	Panama City, Republic of Panama
Entity Incorporation, State or Country Code	R1
Entity Address, Address Line One	Avenida Principal y Avenida de la Rotonda, Costa del Este
Entity Address, Address Line Two	Complejo Business Park, Torre Norte
Entity Address, Address Line Three	Parque Lefevre
Entity Address, City or Town	Panama City
Entity Address, Postal Zip Code	0816-06819
Business Contact [Member]
Document Information [Line Items]
Entity Address, Country	PA
Entity Address, Address Line One	Complejo Business Park
Entity Address, Address Line Two	Torre Norte
Entity Address, Address Line Three	Parque Lefevre
Entity Address, City or Town	Panama City
Contact Personnel Name	Daniel Tapia
City Area Code	304
Local Phone Number	2774
Class A common stock [member]
Document Information [Line Items]
Entity Common Stock, Shares Outstanding	28,477,704
Class B common stock [member]
Document Information [Line Items]
Entity Common Stock, Shares Outstanding	10,938,125

Consolidated statement of financial position - USD ($) $ in Thousands	Dec. 31, 2022	Dec. 31, 2021
Current assets
Cash and cash equivalents	$ 122,424	$ 211,081
Investments	812,323	806,340
Accounts receivable	137,583	92,450
Expendable parts and supplies	93,332	74,778
Prepaid expenses	52,322	31,148
Prepaid income tax	798	16,938
Other currents assets	17,043	6,054
Total current assets	1,235,825	1,238,789
Non-current assets
Investments	202,056	199,670
Prepaid expenses	7,770	6,727
Property and equipment	2,883,524	2,512,704
Right of use assets	234,380	166,328
Intangible assets	78,555	81,749
Net defined benefit assets	504	0
Deferred tax assets	30,743	28,196
Other non-current assets	17,005	14,098
Total non - current assets	3,454,537	3,009,472
Total assets	4,690,362	4,248,261
Current liabilities
Loans and borrowings	142,484	196,602
Current portion of lease liabilities	80,084	73,917
Trade, other payables and financial liabilities	168,839	121,330
Air traffic liability	651,805	557,331
Frequent flyer deferred revenue	55,292	34,719
Taxes payable	43,878	32,600
Accrued expenses payable	44,913	32,767
Income tax payable	6,276	3,835
Total current liabilities	1,193,571	1,053,101
Non-current liabilities
Loans and borrowings long-term	1,301,819	1,229,031
Lease liabilities	158,289	104,734
Frequent flyer deferred revenue	56,234	60,395
Net defined benefit liabilities	0	7,670
Derivative financial instruments	251,150	268,338
Deferred tax liabilities	16,571	18,782
Other long - term liabilities	220,618	206,813
Total non - current liabilities	2,004,681	1,895,763
Total liabilities	3,198,252	2,948,864
Equity
Additional paid in capital	103,465	98,348
Treasury stock	(344,541)	(176,902)
Retained earnings	1,715,838	1,367,866
Accumulated other comprehensive loss	(11,445)	(18,670)
Total equity	1,492,110	1,299,397
Commitments and contingencies	0	0
Total liabilities and equity	4,690,362	4,248,261
Class A common stock [member]
Equity
Common stock	21,327	21,289
Total equity	21,327	21,289
Class B common stock [member]
Equity
Common stock	7,466	7,466
Total equity	$ 7,466	$ 7,466

Consolidated statement of financial position (Parenthetical) - $ / shares	Dec. 31, 2022	Dec. 31, 2021
Class A common stock [member]
Statement [LineItems]
Common stock, shares issued	34,033,575	33,998,654
Common stock, shares outstanding	28,477,704	30,995,120
Class B common stock [member]
Statement [LineItems]
Common stock, shares issued	10,938,125	10,938,125
Common stock, shares outstanding	10,938,125	10,938,125
Common stock, no par value	$ 0	$ 0

Consolidated statement of profit or loss - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Operating revenue
Passenger revenue	$ 2,824,719	$ 1,412,390	$ 760,594
Cargo and mail revenue	101,765	71,577	21,002
Other operating revenue	38,549	25,964	19,407
Total operating revenue	2,965,033	1,509,931	801,003
Operating expenses
Fuel	1,052,637	383,179	166,723
Wages, salaries, benefits and other employees' expenses	380,385	258,128	256,327
Passenger servicing	70,080	35,869	27,566
Airport facilities and handling charges	192,584	131,335	59,536
Sales and distribution	224,465	129,877	70,395
Maintenance, materials and repairs	104,114	41,888	76,948
Depreciation and amortization	267,704	239,946	259,336
Impairment of non financial assets	0	(5,441)	243,097
Flight operations	97,256	55,766	30,028
Other operating and administrative expenses	125,424	87,426	71,977
Total operating expenses	2,514,649	1,357,973	1,261,933
Operating profit (loss)	450,384	151,958	(460,930)
Non-operating income (expense)
Finance cost	(87,631)	(76,234)	(73,045)
Finance income	18,030	10,849	19,963
Loss on foreign currency fluctuations	(9,812)	(6,174)	(8,459)
Net change in fair value of derivatives	17,189	(22,778)	(107,139)
Other net non-operating income (expense)	70	(3,291)	(1,169)
Total non-operating (expense) income	(62,154)	(97,628)	(169,849)
Profit (loss) before taxes	388,230	54,330	(630,779)
Income tax expense	(40,176)	(10,486)	23,717
Net profit (loss)	$ 348,054	$ 43,844	$ (607,062)
Earnings (loss) per share
Basic	$ 8.58	$ 1.03	$ (14.28)
Diluted	$ 7.88	$ 1.03	$ (14.28)

Consolidated statement of comprehensive income (loss) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Statement of comprehensive income [abstract]
Net profit (loss)	$ 348,054	$ 43,844	$ (607,062)
Other comprehensive income (loss) not to be reclassified to profit or loss in subsequent periods - Remeasurement of actuarial gain (loss), net of amortization
Remeasurement of actuarial gain (loss), net of amortization	7,225	5,412	(15,454)
Total comprehensive income (loss) for the year	$ 355,279	$ 49,256	$ (622,516)

- Definition

The amount of change in equity resulting from transactions and other events, other than those changes resulting from transactions with owners in their capacity as owners.

+ References + Details

- Definition

The total of income less expenses from continuing and discontinued operations, excluding the components of other comprehensive income. [Refer: Other comprehensive income]

+ References

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+ Details

Consolidated statement of changes in equity - USD ($) $ in Thousands	Total	Additional paid in capital [member]	Treasury stock [member]	Retained earnings [member]	Accumulated other comprehensive income (loss) [member]	Class A common stock [member]	Class B common stock [member]
Beginning balance at Dec. 31, 2019	$ 1,934,906	$ 86,135	$ (136,388)	$ 1,965,179	$ (8,628)	$ 21,142	$ 7,466
Beginning balance, shares at Dec. 31, 2019						31,337,856	10,938,125
Net profit (loss)	(607,062)			(607,062)
Other comprehensive income (loss)	(15,454)				(15,454)
Issuance of stock for employee awards		(57)				$ 57
Issuance of stock for employee awards, shares						83,409
Share-based compensation expense	5,263	5,263
Dividends paid	(33,990)			(33,990)
Other	(105)			(105)
Repurchase of treasury shares	0
Ending balance at Dec. 31, 2020	1,283,558	91,341	(136,388)	1,324,022	(24,082)	$ 21,199	$ 7,466
Ending balance, shares at Dec. 31, 2020						31,421,265	10,938,125
Net profit (loss)	43,844			43,844
Other comprehensive income (loss)	5,412				5,412
Issuance of stock for employee awards		(90)				$ 90
Issuance of stock for employee awards, shares						132,880
Share-based compensation expense	7,097	7,097
Repurchase of treasury shares	(40,514)		(40,514)
Repurchase of treasury stock, shares						(559,025)
Ending balance at Dec. 31, 2021	1,299,397	98,348	(176,902)	1,367,866	(18,670)	$ 21,289	$ 7,466
Ending balance, shares at Dec. 31, 2021						30,995,120	10,938,125
Net profit (loss)	348,054			348,054
Other comprehensive income (loss)	7,225				7,225
Issuance of stock for employee awards		(38)				$ 38
Issuance of stock for employee awards, shares						54,501
Share-based compensation expense	5,155	5,155
Other	(82)			(82)
Repurchase of treasury shares	(167,639)		(167,639)
Repurchase of treasury stock, shares						(2,571,917)
Ending balance at Dec. 31, 2022	$ 1,492,110	$ 103,465	$ (344,541)	$ 1,715,838	$ (11,445)	$ 21,327	$ 7,466
Ending balance, shares at Dec. 31, 2022						28,477,704	10,938,125

Consolidated statement of cash flows - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Operating activities
Net profit (loss)	$ 348,054	$ 43,844	$ (607,062)
Adjustments for:
Income tax expense	40,176	10,486	(23,717)
Finance cost	87,631	76,234	73,045
Finance income	(18,030)	(10,849)	(19,963)
(Reversal) impairment of non finacial assets	0	(5,441)	243,097
Depreciation and amortization	267,704	239,946	259,336
Disposal of non financial assets	(2,458)	4,260	4,635
Impairment of financial assets	2,408	1,516	1,570
Allowance for obsolescence of expendable parts and supplies	80	30	47
Share-based compensation expense	5,155	7,097	5,263
Net change in fair value of derivatives	(17,189)	22,778	107,139
Unrealized loss on investment	4,252	274	0
Net foreign exchange differences	25,330	44,853	44,328
Change in:
Accounts receivable	(51,318)	(35,645)	71,625
Accounts receivable from related parties	(336)	(403)	(1,282)
Other current assets	(47,436)	(4,599)	11,148
Other assets	(10,874)	(6,786)	8,895
Accounts payable	46,982	49,285	(55,718)
Accounts payable from related parties	(6,945)	4,978	(11,116)
Air traffic liability	94,474	86,636	(26,679)
Frequent flyer deferred revenue	16,413	3,901	10,887
Other liability	33,317	6,450	(36,975)
Cash from operating activities	817,390	538,845	58,503
Income tax paid	(26,353)	(3,904)	(37,631)
Interest paid	(44,761)	(40,170)	(41,938)
Interest received	12,267	12,514	26,343
Net cash from operating activities	758,543	507,285	5,277
Investing activities
Acquisition of investments	(763,842)	(1,117,214)	(904,570)
Proceeds from redemption and sale of investments	749,576	1,001,268	840,627
Advance payments on aircraft purchase contracts	(377,670)	(276,939)	0
Reimbursement of advance payments on aircraft purchase contracts	105,381	70,800	0
Acquisition of property and equipment	(254,561)	(206,795)	(44,065)
Proceeds from sale of property and equipment	7,426	81,336	30,666
Acquisition of intangible assets	(18,461)	(11,591)	(16,419)
Net cash used in investing activities	(552,151)	(459,135)	(93,761)
Financing activities
Proceeds from issue of convertible notes, net of costs	0	0	342,898
Proceeds from new borrowings	222,481	352,278	145,000
Payments on loans and borrowings	(249,519)	(142,233)	(267,086)
Payment of lease liability	(79,017)	(80,992)	(93,213)
Repurchase of treasury shares	(167,639)	(40,514)	0
Dividends paid	0	0	(33,990)
Net cash (used) from in financing activities	(273,694)	88,539	93,609
Net (decrease) increase in cash and cash equivalents	(67,302)	136,689	5,125
Cash and cash equivalent at Beginning value	211,081	119,065	158,732
Effect of exchange rate change on cash	(21,355)	(44,673)	(44,792)
Cash and cash equivalent at Ending balance	$ 122,424	$ 211,081	$ 119,065

Corporate information

12 Months Ended

Dec. 31, 2022

Text block [abstract]

Corporate information

1.	Corporate information

Copa Holdings, S. A. (“the Company”) was incorporated according to the laws of the Republic of Panama on May 6, 1988 with an indefinite duration. The Company is a public company listed in the New York Stock Exchange (NYSE) under the symbol CPA since December 14, 2005. The address of its registered office is Boulevard Costa del Este, Avenida Principal y Avenida de la Rotonda, Urbanización Costa del Este, Complejo Business Park, Torre Norte, Parque Lefevre, Panama City, Republic of Panama.

These consolidated financial statements comprise the Company and its subsidiaries: Compañía Panameña de Aviación, S. A. (“Copa Airlines”), Oval Financial Leasing, Ltd. (“OVAL”), AeroRepública, S. A. (“AeroRepública”) and, La Nueva Aerolínea, S.A (“LNA”).

•

Copa Airlines: the Company’s core operation is incorporated according to the laws of the Republic of Panama and provides international air transportation for passengers, cargo and mail, operating from its Panama City hub in the Republic of Panama.

•

AeroRepública: is a Colombian air carrier, incorporated according to the laws of the Republic of Colombia which provides domestic and international air transportation for passengers, cargo, and mail.

AeroRepública operates “Wingo” a brand under a

low-cost

business model. Wingo operates administratively and functionally under AeroRepública, with an independent structure for its commercialization, distribution systems and customer service.

•

OVAL: incorporated according to the laws of the British Virgin Islands, it controls the special-purpose entities that have a beneficial interest in the majority of the Company’s fleet, which is leased to either Copa Airlines or AeroRepública.

•

LNA. is a Panamanian air carrier, incorporated according to the laws of the Republic of Panama and will provide international air transportation for passengers, cargo and mail, operating from the Republic of Panama. LNA, will operate air transportation for passengers under “Wingo’s” brand,

low-cost

business model, and it is expected to start operations during 2023.

The Company currently offers approximately 327 daily scheduled flights to 78 destinations in 32 countries in North, Central and South America and the Caribbean, mainly from its Panama City Hub. Additionally, the Company provides passengers with access to flights to more than 180 international destinations through codeshare agreements. The Company is part of Star Alliance, the leading global airline network since June 2012.

The Company has a broad commercial alliance with United Airlines Holdings, Inc. (“United”), which was renewed during May 2021, for another five years. This Alliance includes an extensive and expanding code-sharing and technology cooperation.

Copa Airlines has the loyalty program “ConnectMiles”, designed to strengthen the relationship with its frequent flyers and provide exclusive attention. ConnectMiles members are eligible to earn and redeem miles to any of Star Alliance’s, 1,200 (unaudited) destinations in 184 countries (unaudited) within 26 airlines members (unaudited).

In March 2022, the newly converted freighter aircraft, the Boeing

737-800

BCF (Boeing Converted Freighter) with a capacity of

21.7 tons

per flight, began operations. The aircraft came from the Company’s fleet and was converted into a freighter by Boeing. This freighter aircraft will further increase cargo capacity. As of December 31, 2022, the Company operates a fleet of 97 aircraft with an average age of 9.5 years, and consists of 67 Boeing

737-800

Next Generation aircraft, 9 Boeing

737-700

Next Generation aircraft, 1 Boeing

737-800

BCF and 20

737-MAX

aircraft.

The consolidated financial statements for the year ended December 31, 2022 have been authorized for issuance by the Company’s Chief Executive Officer and Chief Financial Officer on March 2

, 2023.

Basis of preparation

12 Months Ended

Dec. 31, 2022

Text block [abstract]

Basis of preparation

2.	Basis of preparation

Statement of compliance

The Company’s consolidated financial statements have been prepared in accordance with International Financial Reporting Standards (“IFRS”) as issued by the International Accounting Standards Board (“IASB”).

As used in these notes to the consolidated financial statements, the terms “the Company”, “we”, “us”, “our”, and similar terms refer to Copa Holdings, S. A. and, unless the context indicates otherwise, its consolidated subsidiaries.

Basis of measurement

The consolidated financial statements have been prepared on a historical cost basis, except for the following:

•

certain financial assets, certain classes of property, plant and equipment, investment property and derivative financial instruments – measured at fair value

•

assets held for sale – measured at fair value less cost of disposal, and

•

defined benefit pension plans – plan assets measured at fair value.

Functional and presentation currency

These consolidated financial statements are presented in United States dollars (U.S. dollars “$”), which is the Company’s functional currency and the legal tender of the Republic of Panama. The Republic of Panama does not issue its own paper currency; instead, the U.S. dollar is used as legal currency.

All values are rounded to the nearest thousand in U.S. dollars ($000), except when otherwise indicated.

Going concern

Since the beginning of the pandemic in 2020, the Company has taken proactive actions, focusing on reducing fixed costs, further bolstering its liquidity position, to continue strengthening its long term competitive position and to implement initiatives to further strengthen its network and product in the post

COVID-19

world.

As of December 31, 2022, the Company ended the year with $1.3 billion of available liquidity, consisting of approximately $927.4

million in cash, short-term investments (see notes 8 and 9), and

$355.0 million of committed and undrawn credit facilities (see note 27).

Based on these factors, manage

ent has prepared the financial statements as of December 31, 2022 on the basis that it will continue to operate as a going concern.

Significant accounting policies

12 Months Ended

Dec. 31, 2022

Text block [abstract]

Significant accounting policies

3.	Significant accounting policies

(a)

Basis of consolidation

These consolidated financial statements comprise the financial statements of the Company and its subsidiaries. Control is achieved when the Company is exposed to, or has right to, variable returns from its involvement with the investee and has the ability to affect those returns through its power over the investee. Specifically, the Company controls the investee, when it has:

•

power over the investee,

•

exposure, or rights to, variable returns from its involvement with the investee, and

•

the ability to use its power over the investee to affect its returns.

The Company reassesses whether or not it controls an investee if facts and circumstances indicate that there are changes to one or more of the three elements of control. Consolidation of a subsidiary begins when the Company obtains control over the subsidiary and ceases when the Company loses control of the subsidiary.

The financial statements of the subsidiaries are prepared for the same reporting period as the parent company, using consistent accounting policies. All intercompany balances, transactions, and dividends are eliminated in full.

The following are the significant subsidiaries included in these financial statements:


	Country of Incorporation	Ownership interest
Name	Country of Incorporation	2022			2021
Copa Airlines	Panama		99.9	%		99.9	%
AeroRepublica	Colombia		99.9	%		99.9	%
Oval	British Virgin Islands		100	%		100	%
LNA	Panama		100	%		100	%

(b)

Current versus

non-current

classification

The Company presents assets and liabilities in the statement of financial position based on

current/non-current

classification.

An asset is current when it is:

•

expected to be realized or intended to be sold or consumed in the normal operating cycle

•

expected to be realized within twelve months after the reporting period, or

•

cash or cash equivalent, unless restricted.

All other assets are classified as

non-current.

A liability is current when:

•

it is expected to be settled in the normal operating cycle

•

it is due to be settled within twelve months after the reporting period, or

•

there is no unconditional right to defer the settlement of the liability for at least twelve months after the reporting period.

The Company classifies all other liabilities as

non-current.

Deferred tax assets and liabilities are classified as

non-current

assets and liabilities.

(c)

Foreign currencies

The Company’s consolidated financial statements are presented in U.S. dollars, which is the Company’s functional currency. The Company determines the functional currency for each entity, and the items included in the financial statements of each entity are measured using that functional currency.

Transactions and balances

Transactions in foreign currencies are initially recorded by the Company at the respective functional currency spot rates on the date when the transaction first qualifies for recognition.

Monetary assets and liabilities denominated in foreign currencies are translated at the functional currency spot exchange rate at the reporting date.

Non-monetary

items that are measured in terms of historical cost in a foreign currency are translated using the exchange rates at the dates of the initial transactions.

Foreign exchange gains and losses are included in the exchange rate difference line in the consolidated statement of profit or loss for the year.

(d)

Revenue recognition

Revenue is recognized when control of the goods or services is transferred to the customer at an amount that reflects the consideration to which the Company expects to be entitled in exchange for those goods or services. The consideration received or receivable is measured taking into account contractually defined terms of payment and excluding taxes or duties. The following specific recognition criteria must also be met before revenue is recognized:

Passenger revenue

Passenger revenue is primarily composed of passenger ticket sales, frequent flyer miles redeemed and ancillaries revenues associated with a passenger’s flight.

•

Passenger tickets

Passenger revenue from tickets is recognized when transportation is provided or when the ticket expires unused, rather than when a ticket is sold. The amount of passenger ticket sales, not yet recognized as revenue, is reflected under “Air traffic liability” in the consolidated statement of financial position.

In addition, revenue is recognized for tickets that are expected not to be used, the Company performs a monthly liability evaluation using its historical experience with refundable and nonrefundable expired tickets and other facts. A year after the sale is made, actual ticket breakage is removed from “Air Traffic liability” and the provision is reversed.

The unused tickets expire after one year, and any revenue associated with tickets sold for future travel is recognized within 12 months.

Since 2020, in response to

Covid-19

and

for those

tickets which were scheduled to expire before June 2021, the Company established a new commercial policy that extended the tickets expiration to June 30, 2022.

The Company calculated a specific breakage for tickets that were not expected not to be used based on this new commercial policy. As of December 31, 2022, all revenue related to these tickets has been recognized in the consolidated statement of profit or loss.

The Company sells certain tickets with connecting flights with one or more segments operated by its other airline partners. For segments operated by other airline partners, the Company has determined that it is acting as an agent on behalf of the other airlines as they are responsible for their portion of the contract. The Company, as the agent, reduces its “Air traffic liability” when consideration is remitted to those airlines, and recognizes revenue for the net amount representing commission to be retained by the Company for any segments flown by other airlines.

Denied boarding compensation made to customers for voluntarily or involuntarily denied boarding reduces revenue when the voucher is issued to the passenger.

•

Frequent flyer program

The Company’s frequent flyer program objective, is to reward customer loyalty. Members in this program earn miles for travel on Copa Airlines, Star Alliance partners’ airlines and also by purchasing the goods and services of the Company network of

non-airline

partners and

co-branded

credit cards. The miles or points earned can be exchanged for flights on Copa or any of other Star Alliance partners’ airlines.

Passenger revenue includes flights redeemed under our frequent flyer program. When a passenger elects to receive Copa’s frequent flyer miles in connection with a flight, the Company recognizes a portion of the tickets sale as revenue when the air transportation is provided and recognizes a deferred liability (Frequent flyer deferred revenue) for the portion of the ticket sale representing the value of the related miles as a separate performance obligation. To determine the amount of revenue to be deferred, the Company estimates and allocates the fair value of the miles that were essentially sold along with the airfare, based on a weighted average ticket value, which incorporates the expected redemption of miles including factors such as redemption pattern, cabin class and geographic region.

A statistical model that estimates the percentages of points that will not be redeemed before expiration is used to estimate breakage. The breakage and the fair value of the miles are reviewed at least annually, and any adjustments are reflected on a prospective basis to passenger revenues.

The Company calculates the short and long-term portion of the frequent flyer deferred revenue, using a model that includes estimates based on the members’ redemption rates projected by management due to clients’ behavior.

Currently, when a member of another carrier frequent flyer program redeems miles on a Copa Airlines flight, those carriers pay to the Company a per mile rate. The rates paid by them depend on the class of service, the flight length, and the availability of the reward and is included in passenger revenues.

•

Ancillaries revenues

Primarily composed of services performed in conjunction with a passenger’s flight, including administrative fees (such as ticket change fees), baggage fees, and other ticket-related fees. These ancillary fees are part of the travel performance obligation and, as such, are recognized as passenger revenue when the travel occurs.

Cargo and mail revenue

Cargo and mail revenue is recognized when the Company provides and completes the shipping services as requested by the client and the risks on the merchandise and goods are transferred.

Other operating revenue

Other operating revenue includes revenue associated with the marketing component of the frequent flyer program. This revenue is comprised of the marketing component of mileage sales to

co-branded

card, other partners and other marketing related payments.

The Company sells miles to

non-airline

businesses with which it has marketing agreements. The main contracts to sell miles are related to

co-branded

credit card relationships with major banks in the region. The Company determined the selling prices of miles according to a method which allocates consideration based upon the relative selling price of the deliverables. The relative selling price of the deliverables is determined based upon the estimated standalone selling prices of each deliverable in the arrangement and is allocated between the miles sold to the passenger (as described above) and the marketing elements. Revenue allocated to the performance obligations related to, marketing components, is recorded in other operating revenue when miles are delivered.

The remaining amounts included within other revenue are related to lease income, advertising and vacation-related services.

(e)

Cash and cash equivalents

Cash and cash equivalents in the statement of financial position, comprise cash on hand and in banks, money market accounts, and time deposits with original maturities of three months or less from the date of purchase.

The Company evaluates the term and conditions relating to its restricted cash to determine where it should be presented, as current assets in cash and cash equivalents or as

non-current

assets in long-term investments.

For the purpose of the consolidated statement of cash flows, cash and cash equivalents consist of cash net of outstanding bank overdrafts, if any. The Company has elected to present the statement of cash flows using the indirect method.

As of December 31, 2022 and 2021, the Company cash position is comprise from cash on hand and in banks.

(f)

Financial instruments

A financial instrument is any contract that gives rise to a financial asset of one entity and a financial liability or equity instrument of another entity.

Financial assets

The Company’s financial assets include cash and cash equivalents, short and long-term investments and accounts receivable.

(i)

Initial recognition and measurement

Financial assets are classified, at initial recognition, as subsequently measured at amortized cost, fair value through other comprehensive income (OCI), and fair value through profit or loss.

The classification of financial assets at initial recognition depends on the financial assets contractual cash flow characteristics and the Company’s business model for managing them. With the exception of accounts receivables that do not contain a significant financing component or for which the Company has applied the practical expedient, the Company initially measures a financial asset at its fair value plus, in the case of a financial asset not at fair value through profit or loss, transaction costs. Accounts receivable that do not contain a significant financing component or for which the Company has applied the practical expedient are measured at the transaction price.

In order for a financial asset to be classified and measured at amortized cost or fair value through OCI, it needs to give rise to cash flows that are ‘solely payments of principal and interest’ (SPPI) on the principal amount outstanding. This assessment is referred to as the SPPI test and is performed at an instrument level.

The Company’s business model for managing financial assets refers to how it manages its financial assets in order to generate cash flows. The business model determines whether cash flows will result from collecting contractual cash flows, selling the financial assets, or both.

All financial assets are recognized on the trade date, which is the date on which the Company becomes a party to the contractual provisions of an instrument.

(ii)

Subsequent measurement

For purposes of subsequent measurement, financial assets are classified in four categories:

•

Financial assets at amortized cost (debt instruments)

•

Financial assets at fair value through OCI with recycling of cumulative gains and losses (debt instruments)

•

Financial assets designated at fair value through OCI with no recycling of cumulative gains and losses upon derecognition (equity instruments)

•

Financial assets at fair value through profit or loss

Financial assets at amortized cost

This category is the most relevant to the Company. The Company measures financial assets at amortized cost if both of the following conditions are met:

•

The financial asset is held within a business model with the objective to hold financial assets in order to collect contractual cash flows; and

•

The contractual terms of the financial asset give rise on specified dates to cash flows that are solely payments of principal and interest on the principal amount outstanding.

Financial assets at amortized cost are subsequently measured using the effective interest rate (EIR) method and are subject to impairment. Gains and losses are recognized in profit or loss when the asset is derecognized, modified or impaired.

The Company’s financial assets at amortized cost includes the Company’s investments and its receivables.

The Company invests in short-term deposits and bonds with original maturities of more than three months but less than one year, and invests in long-term deposits and bonds with maturities greater than one year. These investments are classified as short and long-term investments, respectively, in the accompanying consolidated statement of financial position.

Accounts receivable are

non-derivative

financial assets with fixed or determinable payments that are not quoted in an active market. These financial instruments are initially recognized and carried at the original invoice amount since recognition of interest under the amortized cost would be immaterial less a provision for impairment.

Financial assets at fair value through OCI (debt instruments)

The Company measures debt instruments at fair value through OCI if both of the following conditions are met:

•

The financial asset is held within a business model with the objective of both holding to collect contractual cash flows and selling; and

•

The contractual terms of the financial asset give rise on specified dates to cash flows that are solely payments of principal and interest on the principal amount outstanding

For debt instruments at fair value through OCI, interest income, foreign exchange revaluation and impairment losses or reversals are recognized in the statement of profit or loss and computed in the same manner as for financial assets measured at amortized cost. The remaining fair value changes are recognized in OCI. Upon derecognition, the cumulative fair value change recognized in OCI is recycled to profit or loss.

The Company currently does not have assets classified under this category.

Financial assets designated at fair value through OCI (equity instruments)

Upon initial recognition, the Company may elect to classify irrevocably its equity investments as equity instruments designated at fair value through OCI when they meet the definition of equity under IAS 32

Financial Instruments: Presentation

and are not held for trading. The classification is determined on an

instrument-by-instrument

basis.

Gains and losses on these financial assets are never recycled to profit or loss. Dividends are recognized as other income in the statement of profit or loss when the right of payment has been established, except when the Company benefits from such proceeds as a recovery of part of the cost of the financial asset, in which case, such gains are recorded in OCI. Equity instruments designated at fair value through OCI are not subject to impairment assessment.

The Company currently does not have assets classified under this category.

Financial assets at fair value through profit or loss

Financial assets at fair value through profit or loss include financial assets held for trading, financial assets designated upon initial recognition at fair value through profit or loss, or financial assets mandatorily required to be measured at fair value. Financial assets are classified as held for trading if they are acquired for the purpose of selling or repurchasing in the near term. Derivatives, including separated embedded derivatives, are also classified as held for trading unless they are designated as effective hedging instruments. Financial assets with cash flows that are not solely payments of principal and interest are classified and measured at fair value through profit or loss, irrespective of the business model. Notwithstanding the criteria for debt instruments to be classified at amortized cost or at fair value through OCI, as described above, debt instruments may be designated at fair value through profit or loss on initial recognition if doing so eliminates, or significantly reduces, an accounting mismatch.

Financial assets at fair value through profit or loss are carried in the statement of financial position at fair value with net changes in fair value recognized in the statement of profit or loss.

(iii)

Derecognition

A financial asset is derecognized when:

•

the rights to receive cash flows from the asset have expired, or

•

the Company has transferred its rights to receive cash flows from the asset or has assumed an obligation to pay the received cash flows in full without material delay to a third party under a “pass-through” arrangement, and either (a) the Company has transferred substantially all the risks and rewards of the asset, or (b) the Company has neither transferred nor retained substantially all the risks and rewards of the asset, but has transferred control of the asset.

When the Company has transferred its rights to receive cash flows from an asset or has entered into a pass-through arrangement, it evaluates, if and to what extent, it has retained the risks and rewards of ownership. When it has neither transferred nor retained substantially all the risks and rewards of the asset nor transferred control of the asset, the asset is recognized to the extent of the Company’s continuing involvement in the asset. In that case, the Company also recognizes an associated liability. The transferred asset and the associated liability are measured on a basis that reflects the rights and obligations that the Company has retained.

(iv)

Impairment of financial assets

The Company recognizes an allowance for expected credit losses (ECLs) on financial asset measured at amortized cost. Loss allowance for financial assets are deducted from the gross carrying amount on the assets.

ECLs are based on the difference between the contractual cash flows due in accordance with the contract and all the cash flows that the Company expects to receive, discounted at an approximation of the original effective interest rate.

ECLs are recognized in two stages. For credit exposures for which there has not been a significant increase in credit risk since initial recognition, ECLs are provided for credit losses that result from default events that are possible within the next

12-months

12-month

ECL). For those credit exposures for which there has been a significant increase in credit risk since initial recognition, a loss allowance is required for credit losses expected over the remaining life of the exposure, irrespective of the timing of the default (a lifetime ECL).

Both, lifetime ECLs and

12-month

ECLs, are calculated on either an individual basis or a collective basis, depending on the nature of the underlying portfolio of financial instruments.

The Company has established a policy to perform an assessment, at the end of each quarterly reporting period, of whether a financial instrument’s credit risk has increased significantly since initial recognition, by considering the change in the risk of default occurring over the remaining life of the financial instrument.

For accounts receivables the Company applies a simplified approach in calculating ECLs. Therefore, the Company does not track changes in credit risk, but instead recognizes a loss allowance based on lifetime ECLs at each quarterly reporting date.

The Company has established a provision matrix to measure ECLs. Loss rates are calculated using a ‘roll rate’ method based on the probability of a receivable progressing through successive stages of delinquency to

write-off.

To measure the ECLs, trade receivables have been grouped based on shared credit risk characteristics and the day past due.

Loss rates are based on actual credit loss experience over the last 12 months and adjusted for forward-looking factors specific to the debtors and the economic environment over the expected life of the receivables.

A financial asset is written off when there is no reasonable expectation of recovering the contractual cash flows. The Company considers that there are no realistic prospects of recovery of the asset if any of the following indicators are present:

•

the debtor is in a state of permanent disability

•

the Company has exhausted all legal and/or administrative recourse

•

where the account exceeds one year without decreases

•

when there are no documents establishing the debt

Losses arising from impairment are recognized under “Other operating and administrative expenses” in the consolidated statement of profit or loss.

Financial liabilities

(i)

Initial recognition and measurement

Financial liabilities are classified, at initial recognition, as financial liabilities at fair value through profit or loss, loans and borrowings, payables, or derivatives designated as hedging instruments in an effective hedge, as appropriate.

All financial liabilities are recognized initially at fair value and, in the case of loans and borrowings and payables, net of directly attributable transaction costs.

The Company’s financial liabilities include trade and other payables and loans and borrowings including bank overdrafts, and derivative financial instruments.

(ii)

Subsequent measurement

For purposes of subsequent measurement, financial liabilities are classified in two categories:

•

Financial liabilities at fair value through profit or loss

•

Financial liabilities at amortized cost (loans and borrowings)

Financial liabilities at fair value through profit or loss

Financial liabilities at fair value through profit or loss include financial liabilities held for trading and financial liabilities designated upon initial recognition as at fair value through profit or loss.

Financial liabilities are classified as held for trading if they are incurred for the purpose of repurchasing in the near term. This category also includes derivative financial instruments entered into by the Company that are not designated as hedging instruments in hedge relationships as defined by IFRS 9. Separated embedded derivatives are also classified as held for trading unless they are designated as effective hedging instruments.

Gains or losses on liabilities held for trading are recognized in the statement of profit or loss.

Financial liabilities at amortized cost (loans and borrowings)

Subsequent to initial recognition, all borrowings and loans are measured at amortized cost using the EIR method. Gains and losses are recognized in the consolidated statement of profit or loss when the liabilities are derecognized as well as through the EIR amortization process.

Amortized cost is calculated by taking into account any discount or premium on acquisition and fees or costs that are an integral part of the EIR. The EIR amortization is included under finance cost in the consolidated statement of profit or loss.

(iii)

Derecognition

Financial liabilities are derecognized when the obligation under the liability is discharged, cancelled, or expire. When an existing financial liability is replaced by another from the same lender on substantially different terms, or the terms of an existing liability are substantially modified, such an exchange or modification is treated as a derecognition of the original liability and the recognition of a new liability, and the difference in the respective carrying amounts is recognized in the consolidated statement of profit or loss.

Offsetting of financial instruments

Financial assets and financial liabilities are offset and the net amount presented in the consolidated statement of financial position when, and only when, the Company has a legally enforceable right to set off the recognized amounts and it intends either to settle them on a net basis or to realize the asset and settle the liability simultaneously. The legally enforceable right must not be contingent on future events and must be enforceable in the ordinary course of business and in the event of default, insolvency or bankruptcy of the Company or the counterparty.

Derivative financial instruments and hedging activities

Derivative instruments are initially recognized at fair value on the date on which a derivative contract is entered into and are subsequently remeasured at their fair value.

Derivatives are carried as financial assets when the fair value results in a right to the Company and as financial liabilities when the fair value results in an obligation. The accounting for changes in value depends on whether the derivative is designated as a hedging instrument, and if so, the classification of the hedge.

For hedge accounting purposes, hedges are classified into:

•

Fair value hedges when hedging the exposure to changes in the fair value of a recognized asset or liability or an unrecognized firm commitment

•

Cash flow hedges when hedging the exposure to variability in cash flows that is either attributable to a particular risk associated with a recognized asset or liability or a highly probable forecast transaction or the foreign currency risk in an unrecognized firm commitment

•

Hedges of a net investment in a foreign operation.

At the inception of a hedge relationship, the Company formally designates and documents the hedge relationship to which it wishes to apply hedge accounting and the risk management objective and strategy for undertaking the hedge.

The documentation includes identification of the hedging instrument, the hedged item, the nature of the risk being hedged and how the Company will assess whether the hedging relationship meets the hedge effectiveness requirements. A hedging relationship qualifies for hedge accounting if it meets all of the following effectiveness requirements:

•

There is ‘an economic relationship’ between the hedged item and the hedging instrument.

•

The effect of credit risk does not ‘dominate the value changes’ that result from that economic relationship.

•

The hedge ratio of the hedging relationship is the same as that resulting from the quantity of the hedged item that the Company actually hedges and the quantity of the hedging instrument that the Company actually uses to hedge that quantity of hedged item.

As of December 31, 2022 and 2021, the Company does not have financial instruments designated under hedge accounting.

(g)

Impairment of non - financial assets

The Company assesses at each reporting date whether there is an indication that an asset or its cash-generating unit (CGU) may be impaired. If any such indication exists, or when annual impairment testing for an asset is required, the Company estimates the asset’s or CGU’s recoverable amount. The recoverable amount is the higher of an asset’s or its CGU’s fair value less costs to sell and its value in use. The recoverable amount is determined for an individual asset, unless the asset does not generate cash inflows that are largely independent of those from other assets or group of assets. When the carrying amount of an asset or CGU exceeds its recoverable amount, the asset is considered impaired and is written down to its recoverable amount.

In assessing value in use, the estimated future cash flows are discounted to their present value using a

pre-tax

discount rate that reflects current market assessments of the time value of money and the risks specific to the asset for which the estimates of future cash flows have not been adjusted.

Impairment losses of continuing operations, including impairment on inventories, are recognized under “Impairment of

non-financial

assets” in the consolidated statement of profit or loss.

For assets, excluding goodwill, an assessment is made at each reporting date to determine whether there is any indication that previously recognized impairment losses no longer exist or may have decreased. If such indication exists, the Company estimates the asset’s or CGU’s recoverable amount.

A previously recognized impairment loss is reversed only if there has been a change in the assumptions used to determine the asset’s recoverable amount since the last impairment loss was recognized. The reversal is limited so that the carrying amount of the asset does not exceed its recoverable amount, nor exceed the carrying amount that would have been determined, net of depreciation, had no impairment loss been recognized for the asset in prior years. Such reversal is recognized in the statement of profit or loss.

(h)

Senior convertible notes

Senior convertible notes are classified as hybrid instruments that comprise a debt host contract for the interest and principal payments plus a derivative instrument for the conversion option.

The initial carrying amount of the

non-derivative

host contract is the difference between the fair value minus transaction costs of the hybrid instrument and the fair value of the embedded derivative. Under this approach, all of the transaction costs are always allocated to and deducted from the carrying amount of the

non-derivative

host contract on initial recognition.

After initial recognition, the debt host contract would be measured at amortized cost, and the derivative liability, not being closely related to the debt host contract, would be measured at fair value through profit or loss.

(i)

Expendable parts and supplies

Expendable parts and supplies for flight equipment are carried at the lower of the average acquisition cost or replacement cost, and are expensed when used in operations. The replacement cost is the estimated purchase price in the ordinary course of business.

(j)

Passenger traffic commissions

Passenger traffic commissions are recognized as expense when transportation is provided and the related revenue is recognized. Passenger traffic commissions paid but not yet recognized as expense are included under “Prepaid expenses” in the accompanying consolidated statement of financial position.

(k)

Property and equipment

Property and equipment comprise mainly airframe, engines, and other related flight equipment. All property and equipment are stated at cost, net of accumulated depreciation and accumulated impairment losses, if any.

When a major maintenance inspection or overhaul cost is embedded in the initial purchase cost of an aircraft, the Company estimates the carrying amount of the component. These initial

built-in

maintenance assets are depreciated over the estimated time period until the first maintenance event is performed. The cost of major maintenance events completed after the aircraft acquisition are capitalized and depreciated over the estimated time period until the next major maintenance event. The remaining value of the previously capitalized component if any, is charged to expense upon completion of the subsequent maintenance event.

The Company recognizes the depreciation on a straight-line basis which for some aircraft components is akin to depreciation based on use, over the estimated useful life of the assets. Depreciation is recognized in the consolidated statement of profit or loss from the date the property, and equipment is installed and ready for use.


Property and equipment	Estimate useful life (years)		Residual Value
Flight equipment (*)
Airframe and core engines		27		15	%
Major maintenance events		3-16		—
Convertion to freighter		Lesser of 10 years and remaining useful life of the aircraft
Cabin refurbishment		Lesser of remaining useful life of the aircraft and estimated useful life of the refurbishment
Ramp and miscellaneous
Ground equipment		10		—
Furniture, fixture, equipment and other		5-10		—
Leasehold improvements		Lesser of remaining lease term and estimated useful life of the leasehold improvement		—
(*) Estimates for Boeing 737-700 fleet may differ , see note 13.

An item of property and equipment and any significant part initially recognized is derecognized upon disposal or when no future economic benefits are expected from its use or disposal. Any gain or loss arising on derecognition of the asset (calculated as the difference between the net disposal proceeds and the carrying amount of the asset) is included in the statement of profit or loss when the asset is derecognized.

The costs of major maintenance events for leased aircraft are capitalized and depreciated over the shorter of the scheduled usage period to the next major inspection event or the remaining life of lease term (as appropriate), the remaining value of the previously capitalized maintenance or the

right-of-use

asset (“ROU”) component if any, is charged to expense upon completion of the subsequent maintenance event.

The residual values, useful lives, and methods of depreciation of property and equipment are reviewed at each financial

year-end

and adjusted prospectively, if appropriate.

The land owned by the Company is recognized at cost less any accumulated impairment.

(l)

Leases

At inception of a contract, the Company assesses whether the contract is, or contains, a lease. A contract is, or contains, a lease if the contract conveys the right to control the use of an identified asset for a period of time in exchange for consideration. To assess whether a contract, conveys the right to control the use of an identified asset, the Company assesses whether:

•

The Company has the right to obtain substantially all of the economic benefits from use of the identified asset; and

•

The Company has the right to direct the use of the identified asset.

The Company as a lessee

At the commencement date, the Company recognizes a ROU and a lease liability.

The ROU is measured at cost and comprises:

•

the amount of the initial measurement of the lease liability,

•

any lease payments made at or before the commencement date, less any lease incentives received;

•

any initial direct costs incurred by the lessee; and

•

an estimate of costs to be incurred by the lessee in dismantling and removing the underlying asset, restoring the site on which it is located or restoring the underlying asset to the condition required by the terms and conditions of the lease, unless those costs are incurred to produce inventories. The Company incurs the obligation for those costs either at the commencement date or as a consequence of having used the underlying asset during a particular period.

The ROU is subsequently depreciated using the straight line method from the commencement date to the earlier of the end of the useful life of the ROU or component, or lease term. The estimated useful life of ROU is determined of the same basis of owned property and equipment.

At inception or on reassessment of a contract that contains a lease component, the Company allocates the consideration in the contract to each lease component on the basis of their relative stand-alone prices.

The ROU assets are also subject to impairment. Refer to the accounting policies in section (g) impairment of

non-financial

assets.

In this regard, the Company applies the following, by class of underlying asset:

•

for the leases of real estate, the Company has elected to separate

non-lease

components.

•

for aircraft leases, the value of major maintenance inspection or overhaul embedded in the aircraft is recognized as a separated component and is depreciated over the estimated time period until the first maintenance event is performed or the remaining life of lease term (as appropriate) which ever is shorter.

The lease liability, is initially measured at the present value of the lease payments that are not paid at that date, discounted using the interest rate implicit in the lease, if that rate can be readily determined or the lessee’s incremental borrowing rate.

The lease payments included in the measurement of the lease liability comprise:

•

fixed payments (including

in-substance

fixed payments), less any lease incentives receivable;

•

variable lease payments that depend on an index or a rate, initially measured using the index or rate as at the commencement date;

•

amounts expected to be payable by the lessee under residual value guarantees;

•

the exercise price of a purchase option if the lessee is reasonably certain to exercise that option; and

•

payments of penalties for terminating the lease, if the lease term reflects the lessee exercising an option to terminate the lease.

Variable lease payments that do not depend on an index or a rate are recognized as lease expenses in the period in which the event or condition that triggers the payment occurs, under “Other operating and administrative expenses” in the consolidated statement of profit or loss.

The lease liability is measured at amortized cost using the effective interest method. It is remeasured when there is a change in future lease payments arising from a change in an index or a rate, if there is a change in the Company’s estimated amount expected to be payable under a residual value guarantee or if the Company changes its assessment of whether it will exercise a purchase, extension or termination option.

When the lease liability is remeasured in this way, a corresponding adjustment is made to the carrying amount of the ROU, or is recorded in profit or loss if the carrying amount of ROU has been reduced to zero.

Financing arrangements where is certain that the asset will be purchased at the end of the lease term, are “in substance purchases” and not leases, in those cases, the related liability is considered a financial liability under IFRS 9 and the asset, as property and equipment, according to IAS 16.

The Company has elected not to recognize ROU and lease liabilities for short-term leases that have a lease term of 12 months or less and leases of low value assets. The Company recognizes the lease payments associated with these leases as an expense on a straight-line basis over the lease term as “Other operating and administrative expenses” in the consolidated statement of profit or loss.

The Company as lessor

When assets are leased under operating leases, the asset is included in the consolidated statement of financial position according to its nature. Revenue from operating leases is recognized over the lease term on a straight-line basis as part of other operating revenue.

Initial direct costs incurred by the Company in negotiating and arranging an operating lease are added to the carrying amount of the leased asset and recognized as an expense over the lease term on the same basis as the related lease income.

Sale and leaseback transactions

The Company enters into transactions whereby an asset is sold and subsequently lease back.

The Company applies the IFRS 15 requirements for determining whether the transfer of an asset is accounted for as a sale.

If the transfer of an asset by the seller-lessee satisfies the requirements of IFRS 15 to be accounted for as a sale of the asset:

•

The seller-lessee measures the ROU at the proportion of the previous carrying amount that relates to the ROU retained by the seller-lessee; and

•

The buyer-lessor shall account for the purchase applying the appropriate standards and for the lease applying IFRS 16.

Where either the sale is below fair value or the leasing arrangement below market rates, adjustments are required to measure the proceeds at fair value.

Below market terms are to be accounted for as a prepayment of lease payments and above market terms shall be accounted for as additional financing provided by the buyer to the seller.

The adjustment must be measured with reference to the more determinable of the the difference between the consideration for the sale and the fair value of the asset or the difference between the present value of the contractual lease payments and the the present value of payments for the lease at market rates.

If the transaction does not meet the sale recognition requirements of IFRS 15:

•

the seller-lessee shall continue to recognize the transferred asset and shall recognize a financial liability equal to the transfer proceeds. It shall account for the financial liability applying IFRS 9.

•

the buyer-lessor shall not recognize the transferred asset and shall recognize a financial asset equal to the transfer proceeds. It shall account for the financial asset applying IFRS 9.

(m)

Intangible assets

Goodwill

Goodwill is initially measured at cost, being the excess of the aggregate of the consideration transferred over the net identifiable assets acquired and liabilities assumed of the acquired subsidiary at the date of acquisition.

After initial recognition, goodwill is measured at cost less any accumulated impairment losses. For the purpose of impairment testing, goodwill acquired in a business combination is, from the acquisition date, allocated to each of the Company’s CGU or group of CGU’s that are expected to benefit from the combination, irrespective of whether other assets or liabilities of the acquiree are assigned to those units. When the recoverable amount of the CGU is less than its carrying amount, an impairment loss is recognized. Impairment losses relating to goodwill cannot be reversed in future periods.

Other intangible assets

Intangible assets acquired separately are measured on initial recognition at cost. The cost of intangible assets acquired in a business combination is their fair value at the date of acquisition. Following initial recognition, intangible assets are carried at cost less any accumulated amortization and accumulated impairment losses. Internally generated intangible assets, excluding capitalized development costs, are not capitalized and the expenditure is reflected in the consolidated statement of profit or loss in the year in which the expenditure is incurred.

The useful lives of intangible assets are assessed as either finite or indefinite.

Intangible assets with finite lives are amortized over their useful economic life and assessed for impairment whenever there is an indication that the intangible asset may be impaired. The amortization period and amortization method for an intangible asset with a finite useful life are reviewed at least at the end of each reporting period. Changes in the expected useful life or the expected pattern of consumption of future economic benefits embodied in the asset are considered to modify the amortization period or method, as appropriate, and are treated as changes in accounting estimates. The amortization expense on intangible assets with finite life is recognized in the consolidated statement of profit or loss as the expense category that is consistent with the function of the intangible assets.

Intangible assets with indefinite useful life are not amortized but are tested for impairment at least annually, either individually or at the CGU level. The assessment of indefinite life is reviewed annually to determine whether the indefinite life continues to be supportable. If not, the change in useful life from indefinite to finite is made on a prospective basis.

Gains and losses arising from the derecognition of an intangible asset are measured as the difference between the net disposal proceeds and the carrying amount of the asset and are recognized in the consolidated statement of profit or loss when the asset is derecognized.

The Company’s intangible assets and the policies applied are summarized as follows:

•

Licenses and software rights

Acquired computer software licenses are capitalized on the basis of the costs incurred to acquire and bring to use the specific software. These costs are amortized using the straight-line method over their estimated useful life (from three to eight years) and the amortization is recognized in the consolidated statement of profit or loss. Costs associated with maintaining computer software programs are recognized as an expense as incurred.

Costs that are directly associated with the production of identifiable and unique software products controlled by the Company and that are estimated to generate economic benefits exceeding costs beyond one year, are recognized as intangible assets. Direct costs include the software development employee costs and an appropriate portion of relevant overheads. These costs are amortized using the straight-line method over their estimated useful life (from five to fifteen years).

(n)

Taxes

Income tax expense

Income tax expense comprises current and deferred tax. It is recognized in profit or loss except when related to the items recognized directly in equity or in other comprehensive income (“OCI”).

•

Current income tax

The Company pays taxes in the Republic of Panama and in other countries in which it operates, based on regulations in effect in each respective country.

Revenue arises principally from foreign operations, and according to the Panamanian Tax Code, these foreign operations are not subject to income tax in Panama.

The Panamanian tax code for the airline industry states that tax is based on net income earned for passenger traffic with origin or final destination in the Republic of Panama. The applicable tax rate is currently 25%. Additionally, entities with annual taxable income over one million five hundred thousand dollars, must pay income tax on the greater of:

•

Net taxable income calculated by the traditional method, or

•

Net taxable income resulting from applying four-point sixty-seven percent (4.67%) to the total taxable income (alternative method “CAIR”).

In the event that, due to income tax, the taxpayer incurs in losses or that the effective rate is higher than 25%, the taxpayer may submit a request to the authorities for the

non-application

of the alternative method and in its effective that the payment of income tax is accepted on the traditional basis.

Dividends from the Panamanian subsidiaries are separately subject to a 10% withholding tax on the portion attributable to Panamanian sourced income and a 5% withholding tax on the portion attributable to foreign sourced income.

The Company is also subject to local tax regulations in each of the other jurisdictions where it operates, the great majority of which are related to income taxes.

Current income tax assets and liabilities are measured at the amount expected to be recovered from or paid to the taxation authorities. The tax rates and tax laws used to compute the amount are those that are enacted or substantively enacted, at the reporting date in the countries where the Company operates and generates taxable income.

Management periodically evaluates positions taken in the tax returns with respect to situations in which applicable tax regulations are subject to interpretation and establishes provisions when appropriate.

•

Deferred tax

Deferred tax is calculated using the liability method on temporary differences between the tax bases of assets and liabilities and their carrying amounts for financial reporting purposes at the reporting date.

Deferred tax assets are recognized for all deductible temporary differences, the carry forward of unused tax credits and unused tax losses. Deferred tax assets are recognized to the extent that it is probable that taxable profit will be available against which the deductible temporary differences and the carry forward of unused tax credits and unused tax losses can be utilized, except:

•

when the deferred tax asset relating to the deductible temporary difference arises from initial recognition of an asset or liability in a transaction that is not a business combination and, at the time of the transaction, affects neither accounting profit nor taxable profit or loss.

•

in respect of deductible temporary differences associated with investments in subsidiaries, associates, and interests in joint ventures, deferred tax assets are recognized only to the extent that it is probable that the temporary differences will reverse in the foreseeable future and taxable profit will be available against which the temporary differences can be utilized.

The carrying amount of deferred tax assets is reviewed at each reporting date and reduced to the extent that it is no longer probable that sufficient taxable profit will be available to allow all or part of the deferred tax asset to be utilized. Unrecognized deferred tax assets are reassessed at each reporting date and are recognized to the extent that it has become probable that future taxable profits will allow the deferred tax asset to be recovered.

Deferred tax liabilities are recognized for all taxable temporary differences, except:

•

when the deferred tax liability arises from the initial recognition of goodwill or an asset or liability in a transaction that is not a business combination and, at the time of the transaction, affects neither accounting profit nor taxable profit or loss.

•

in respect of taxable temporary differences associated with investments in subsidiaries, associates, and interests in joint ventures, when the timing of the reversal of the temporary differences can be controlled and it is probable that the temporary differences will not reverse in the foreseeable future.

Deferred tax assets and liabilities are measured at the tax rates that are expected to apply in the year when the asset is realized or the liability settled, based on tax rates (and tax laws) that have been enacted or substantively enacted at the reporting date.

Deferred tax relating to items recognized outside profit or loss is recognized outside profit or loss. Deferred tax items are recognized in correlation to the underlying transaction either in other comprehensive income or directly in equity.

Deferred tax assets and deferred tax liabilities are offset, if a legally enforceable right exists to set off current tax assets against current income tax liabilities and the deferred taxes relate to the same taxable entity and the same taxation authority.

•

Ticket taxes

The Company is required to charge certain taxes and fees on its passenger tickets. These taxes and fees include transportation taxes, airport passenger facility charges, and certain governmentally imposed airport arrival and departure taxes. These taxes and fees are legal assessments on the customer. Since the Company has a legal obligation to act as a collection agent with respect to these taxes and fees, such amounts are not included in passenger revenue. The Company records a liability when these amounts are collected and derecognizes the liability when payments are made to the applicable government agency or operating carrier.

•

Global minimum tax

On 8 October 2021, 136 countries, including Panama, reached an agreement for a

two-pillar

approach to international tax reform. Amongst other things, Pillar One proposes a reallocation of a proportion of tax to market jurisdictions, while the Pillar Two Global anti-Base Erosion rules (“GloBE Rules”) propose four new taxing mechanisms under which multinational enterprises (“MNEs”) would pay a minimum level of tax (“Minimum Tax”): the Subject to Tax Rule is a tax treaty-based rule that generally proposes a Minimum Tax on certain cross-border intercompany transactions that otherwise are not subject to a minimum level of tax; the Income Inclusion Rule (“IIR”); the Under Taxed Payments Rule (“UTPR”); and the Qualified Domestic Minimum

Top-up

Tax (“QDMT”) generally propose a Minimum Tax

of 15

% on the income arising in each jurisdiction in which an MNE operates. The Company expects implement these new rules by 2024.

Under IAS 12

Income Tax

, a new tax law is effective when it is enacted or substantively enacted in a particular jurisdiction. The Company as MNE is monitoring the regulatory developments in respect of (substantive) enactment of the GloBE Rules in all of the jurisdictions where its operates either through wholly- or partially owned subsidiaries and, permanent establishments. At the date when the financial statements were authorized for issue, none of the jurisdictions in which the Company operates had enacted or substantively enacted the tax legislation related to the

top-up

tax.

At December 31, 2022, the Company did not have sufficient information to determine the potential quantitative impact. The impact of changes in corporate tax rates on the measurement of tax assets and liabilities depends on the nature and timing of the legislative changes in each country.

(o)

Borrowing costs

Borrowing costs directly attributable to the acquisition, construction, or production of any qualifying asset, that necessarily takes a substantial period of time to get ready for its intended use or sale, are capitalized as part of the cost of the asset during that period of time.

Other borrowing costs are expensed in the period in which they occur. Borrowing costs consist of interest and other costs that an entity incurs in connection with the borrowing of funds.

(p)

Provisions

Provisions for costs, including restitution, restructuring and legal claims and assessments are recognized when:

•

the Company has a present legal or constructive obligation as a result of past events;

•

it is probable that an outflow of resources embodying economic benefits will be required to settle the obligation; and the amount of obligation can be reliably estimated.

When the Company expects some or all of a provision to be reimbursed, for example, under an insurance contract, the reimbursement is recognised as a separate asset, but only when the reimbursement is virtually certain. The expense relating to a provision is presented in the statement of profit or loss net of any reimbursement.

For aircraft leases, the Company is contractually obliged to return the aircraft in a defined condition. The Company accrues a provision for return conditions which are based on the usage of leased aircraft throughout the duration of the lease.

Return conditions are based on the net present value of the estimated costs of returning the aircraft and are recognized in the consolidated statement of profit or loss under “Maintenance, materials and repairs”. These costs are reviewed annually and adjustments, if any, are recognized prospectively over the remaining lease term.

(q)

Employee benefits

Defined benefit plan

The Company has a defined benefit plan in accordance with Panamanian law, which requires contributions to be made to a separately administered fund.

The calculation of the defined benefit obligation is performed annually by a qualified actuary using the projected unit credit actuarial cost method (PUC).

Remeasurements of the net defined benefit liability, which comprises actuarial gains and losses, the return on plan assets and the effect of the asset ceiling (if any), are recognized immediately in other comprehensive income. The Company determines the net interest by applying the discount rate to the net defined benefit liability or asset. The Company recognizes the following changes in the net defined benefit obligation in the consolidated statement of profit or loss.

Share-based payments

Employees (including senior executives) of the Company receive compensation in the form of share-based payment transactions, whereby employees render services as consideration for equity instruments (equity-settled transactions).

The cost of equity-settled transactions is recognized, together with a corresponding increase in additional paid in capital in equity, over the period in which the performance and/or service conditions are fulfilled. The cumulative expense recognized for equity-settled transactions at each reporting date until the vesting date reflects the extent to which the vesting period has expired and the Company’s best estimate of the number of equity instruments that will ultimately vest. Expense or credit for a period represents the movement in cumulative expense recognized as of the beginning and end of that period and is recognized under “Wages, salaries, benefits and other employees’ expenses” expense in the consolidated statement of profit or loss (note 25).

Termination benefits

Termination benefits are payable when employment is terminated by the Company before the normal retirement date, or whenever an employee accepts voluntary redundancy in exchange for these benefits.

The Company recognizes termination benefits when it is demonstrably committed to either terminating the employment of current employees according to a detailed formal plan without realistic possibility of withdrawal, or providing termination benefits as a result of an offer made to encourage voluntary redundancy.

(r)

Non-current

assets held for sale and discontinued operations

The Company classifies

non-current

assets and disposal groups as held for sale if their carrying amounts will be recovered principally through a sale transaction rather than through continuing use.

Non-current

assets and disposal groups classified as held for sale are measured at the lower of their carrying amount and fair value less costs to sell. Costs to sell are the incremental costs directly attributable to the disposal of an asset (disposal group), excluding finance costs and income tax expense.

The criteria for held for sale classification is regarded as met only when the sale is highly probable and the asset or disposal group is available for immediate sale in its present condition. Actions required to complete the sale should indicate that it is unlikely that significant changes to the sale will be made or that the decision to sell will be withdrawn. Management must be committed to the plan to sell the asset and the sale expected to be completed within one year from the date of the classification.

Property and equipment and intangible assets are not depreciated or amortized once classified as held for sale.

If the Company has classified an asset as held for sale, but the criteria for held for sale classification is no longer met, the Company shall cease to classify the asset as held for sale.

The Company shall measure a non-current asset that ceases to be classified as held for sale at the lower of:

its carrying amount before the asset was classified as held for sale, adjusted for any depreciation, amortization or revaluations that would have been recognized had the asset not been classified as held for sale, and

ii)

its recoverable amount at the date of the subsequent decision not to sell or distribute. The recoverable amount of the asset is the higher between its fair value less costs to sell and its value in use.

All the financial statements include amounts for continuing operations. Additional disclosures about assets held for sale are provided in note 13.

Significant accounting judgments, estimates and assumptions

12 Months Ended

Dec. 31, 2022

Text block [abstract]

Significant accounting judgments, estimates and assumptions

4.	Significant accounting judgments, estimates and assumptions

The preparation of the Company’s consolidated financial statements requires management to make judgments, estimates, and assumptions that affect the reported amounts of revenues, expenses, assets, and liabilities and the accompanying disclosures and the disclosure of contingent liabilities.

Uncertainty about these assumptions and estimates could result in outcomes that require a material adjustment to the carrying amount of assets or liabilities in future periods.

Judgments

In the process of applying the Company’s accounting policies, management has made judgments, which have the most significant effect on the amounts recognized in the consolidated financial statements in the following area:

•

Leases

The Company enters into contracts for the use of the aircraft and real estate which include, airport and terminal facilities, sales offices, maintenance facilities, and general offices. The Company assesses, based on the terms and conditions of the arrangements, whether the contract is, or contains, a lease. A contract is, or contains, a lease if the contract conveys the right to control the use of an identified asset for a period of time in exchange for consideration.

•

Lease term

The Company determines the lease term as the

non-cancellable

term of the lease, together with any periods covered by an option to extend the lease if it is reasonably certain to be exercised, or any periods covered by an option to terminate the lease, if it is reasonably certain not to be exercised.

The Company applies judgement in evaluating whether it is reasonably certain or not to exercise the option to renew or terminate the lease. That is, it considers all relevant factors that create an economic incentive for it to exercise either the renewal or termination. After the commencement date, the Company reassesses the lease term if there is a significant event or change in circumstances that is within its control and affects its ability to exercise or not to exercise the option to renew or to terminate (e.g., construction of significant leasehold improvements or significant customization to the leased asset).

•

Assets held for sale

In 2020, the Company decided to sell 14 Boeing

737-700

fleet over the next year. As of December 31, 2020 the Boeing

737-700

fleet was classified as “Asset held for sale” in the consolidated statement of financial position.

The Company considered the fleet to meet the criteria to be classified as held for sale for the following reasons:

•

The fleet was available for immediate sale and could be sold to the buyer in its current condition.

•

The actions to complete the sale were initiated and expected to be completed within one year from the date of initial classification.

•

The Board of Directors approved the plan to sell its Boeing

737-700

fleet.

During 2021, the Company signed an agreement for the sale of three Boeing

737-700

and the Board of Directors approved to keep the remaining eleven Boeing

737-700

for a period of three years. The Company has reclassified these aircraft to “Property and equipment” in the consolidated statement of financial position. Additional estimates were made by the Company to proceed with this reclassification.

For more details refer to note 13.

Estimates and assumptions

The key assumptions concerning the future and other key sources of estimation uncertainty at the reporting date, that have a significant risk of causing a material adjustment to the carrying amounts of assets and liabilities within the next financial year, are described below.

The Company based its assumptions and estimates on parameters available when the consolidated financial statements were prepared. Existing circumstances and assumptions about future developments, however, may change due to market changes or circumstances arising beyond the Company’s control. Such changes are reflected in the assumptions when they occur.

•

Impairment of financial assets

The loss allowances for financial assets are based on assumptions about risk of default and expected loss rates. The Company uses judgement in making these assumptions and selecting the inputs to the impairment calculation, based on the Company’s past history, existing market conditions as well as forward looking estimates at the end of each quarterly reporting period.

•

Impairment of

non-financial

assets

Impairment exists when the carrying amount of an asset or CGU exceeds its recoverable amount, which is the higher of its fair value less costs to sell and its value in use. The fair value less costs to sell calculation is based on available data from binding sales transactions, conducted at arm’s length, for similar assets or observable market prices less incremental costs for disposing of the asset. The value in use calculation is based on a discounted cash flow model. The cash flows are derived from the budget for the next five years and do not include restructuring activities that the Company is not yet committed to or significant future investments that will enhance the asset’s performance of the CGU being tested. The recoverable amount is most sensitive to the discount rate used for the discounted cash flow model as well as the expected future cash-inflows and the growth rate used for extrapolation purposes (see note 16).

•

Property and equipment

The Company’s management has determined that the residual value of the airframe, engines, and components (rotable parts) owned is 15% of the cost of the asset, therefore the depreciation of flight equipment is made accordingly. Annually, management reviews the useful life and residual value of each of these assets (see note 13).

•

Provision for return condition

The Company records a provision to accrue for the cost that will be incurred in order to return the lease aircraft to their lessor in the agreed-upon condition, excluded estimated dismantling costs not based on utilization of the aircraft which are included in the ROU asset and lease liability. The methodology applied to calculate the provision requires management to make assumptions, including the future maintenance costs, discount rate, and related inflation rates and aircraft utilization. The cash flows are discounted at a current

pre-tax

rate that reflects the risks specific to the decommissioning.

Any difference in the actual maintenance cost incurred and the amount of the provision is recorded under “Maintenance, materials and repairs” in the consolidated statement of profit or loss. The effect of any changes in estimates, including those mentioned above, is also recognized under “Maintenance, materials and repairs” for the period (see note 21).

•

Revenue recognition – expired tickets

The Company recognizes estimated fare revenue for tickets that are expected to expire based on departure date (unused tickets), based on historical data and experience. Estimating the expected expiration rate requires management’s judgment, among other things, the historical data and experience is an indication of the future customer behavior.

The unused tickets expire after one year, and any revenue associated with tickets sold for future travel is recognized within 12 months.

Since 2020, in response to

Covid-19

and

for those

tickets which were scheduled to expire before June 2021, the Company established a new commercial policy that extended the tickets expiration to June 30, 2022. The Company calculated a specific breakage for tickets that were not expected to be used based on this new commercial policy. As of December 31, 2022, all revenue related to these tickets has been recognized in the consolidated statement of profit or loss.

•

Multiple deliverable revenue arrangements - Frequent flyer program

The frequent flyer program includes two major transactions that are considered revenue arrangements with multiple performance obligations: (i) mileage credits earned with travel and (ii) mileage credits sold to

co-branded

credit card partner and other partners. The Company estimates the fair value of the miles in those transactions using a blended calculation of rates charged when miles are sold to other partners and the average value of a mile flown by a customer earned with travel, less an estimate of the miles that will expire unused (breakage). The Company engages a specialist to assist in the performance of the breakage calculation.

•

Taxes

The Company believes that taken tax positions, including transfer pricing between entities, are reasonable. However, in the event of an audit by the tax authorities, they may challenge the positions taken by the Company, resulting in additional taxes and interest liabilities.

Management judgement is required to determine the amount of deferred tax assets that can be recognised, based upon the likely timing and the level of future taxable profits, together with future tax planning strategies (see note 22).

•

Incremental borrowing rate for leases

The Company cannot readily determine the interest rate implicit in the lease, therefore, it uses its incremental borrowing rate (IBR) to measure lease liabilities. The IBR is the rate of interest that the Company would have to pay to borrow over a similar term, and with a similar security, the funds necessary to obtain an asset of a similar value to the

right-of-use

asset in a similar economic environment. The Company estimates the IBR using observable inputs (such as market interest rates) when available and is required to make certain entity-specific estimates.

•

Fair value measurement

The Company measures financial instruments such as derivatives at fair value at the date of each statement of financial position. Fair values of financial instruments measured at amortized cost are disclosed in note 28.6.

Fair value is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date.

The fair value measurement is based on the presumption that the transaction to sell the asset or transfer the liability takes place either:

•

in the principal market for the asset or liability, or

•

in the absence of a principal market, in the most advantageous market for the asset or liability.

The principal or the most advantageous market must be accessible to the Company.

The fair value of an asset or a liability is measured using the assumptions that market participants would use when pricing the asset or liability, assuming that market participants act in their economic best interest.

A fair value measurement of a

non-financial

asset takes into account a market participant’s ability to generate economic benefits by using the asset in its highest and best use or by selling it to another market participant that would use the asset in its highest and best use.

The Company uses valuation techniques that are appropriate in the circumstances and for which sufficient data are available to measure fair value, maximizing the use of relevant observable inputs and minimizing the use of unobservable inputs. All assets and liabilities for which fair value is measured or disclosed in the financial statements are categorized within the fair value hierarchy, described as follows, based on the lowest level input that is significant to the fair value measurement as a whole (see note 28.6 for further disclosures):

i)	Level 1 - Quoted (unadjusted) market prices in active markets for identical assets or liabilities.

ii)	Level 2 - Valuation techniques for which the lowest level input that is significant to the fair value measurement is directly or indirectly observable.

iii)

Level 3 - Valuation techniques for which the lowest level input that is significant to the fair value measurement is unobservable. The inputs to these models are taken from observable markets where possible, but where this is not feasible, a degree of judgment is required in establishing fair values. Judgments include considerations of inputs such as liquidity risk, credit risk and volatility. Changes in assumptions about these factors could affect the reported fair value of financial instruments.

For assets and liabilities that are recognized in the financial statements on a recurring basis, the Company determines whether transfers have occurred between levels in the hierarchy by

re-assessing

categorization (based on the lowest level input that is significant to the fair value measurement as a whole) at the end of each reporting period.

•

Reclassification from assets held for sale to property and equipment

During 2021, the Board of Directors of the Company approved not to sale for a period of three years, eleven Boeing

737-700

that were reclassified to available for sale assets on 2020. During 2021, the Company reclassified these aircraft to property and equipment.

According to IFRS 5

“Non-current

Assets Held for Sale and Discontinued Operations”

, the Company shall measure a non-current asset that ceases to be classified as held for sale at the lower of:

ii)

The Company concluded that the recoverable amount was the fair value less cost to disposal. The Company plans to exit of its

737-700

fleet in 2025 (see note 13).

Adoption of new and amended standards and interpretations

12 Months Ended

Dec. 31, 2022

Text block [abstract]

Adoption of new and amended standards and interpretations

5.	Adoption of new and amended standards and interpretations

The Company applied for the first-time certain standards and amendments, which are effective for annual periods beginning on or after 1 January 2022 (unless otherwise stated). The Company has not early adopted any other standard, interpretation or amendment that has been issued but is not yet effective.

Amendments to IAS 37

– Onerous Contracts – Costs of Fulfilling a Contract

An onerous contract is a contract under which the unavoidable of meeting the obligations under the contract costs (i.e., the costs that the Company cannot avoid because it has the contract) exceed the economic benefits expected to be received under it.

The amendments specify that when assessing whether a contract is onerous or loss-making, an entity needs to include costs that relate directly to a contract to provide goods or services including both incremental costs (e.g., the costs of direct labour and materials) and an allocation of costs directly related to contract activities (e.g., depreciation of equipment used to fulfil the contract and costs of contract management and supervision). General and administrative costs do not relate directly to a contract and are excluded unless they are explicitly chargeable to the counterparty under the contract.

As of December 31, 2022, the Company has not identified any contracts as being onerous. The Company will apply these amendments when an onerous contract is identified.

Amendments to IFRS 3

– Reference to the Conceptual Framework

The amendments replace a reference to a previous version of the IASB’s Conceptual Framework with a reference to the current version issued in March 2018 without significantly changing its requirements.

The amendments add an exception to the recognition principle of IFRS 3 Business Combinations to avoid the issue of potential ‘day 2’ gains or losses arising for liabilities and contingent liabilities that would be within the scope of IAS 37 Provisions, Contingent Liabilities and Contingent Assets or IFRIC 21 Levies, if incurred separately. The exception requires entities to apply the criteria in IAS 37 or IFRIC 21, respectively, instead of the Conceptual Framework, to determine whether a present obligation exists at the acquisition date.

The amendments also add a new paragraph to IFRS 3 to clarify that contingent assets do not qualify for recognition at the acquisition date.

These amendments had no impact on the consolidated financial statements of the Company as there were no business combinations within the scope of these amendments that arose during the period.

Amendment to IAS 16

– Property, Plant and Equipment: Proceeds before Intended Use

The amendment prohibits entities from deducting from the cost of an item of property, plant and equipment, any proceeds of the sale of items produced while bringing that asset to the location and condition necessary for it to be capable of operating in the manner intended by management. Instead, an entity recognises the proceeds from selling such items, and the costs of producing those items, in profit or loss.

These amendments had no impact on the consolidated financial statements of the Company.

Amendment to IFRS 9 –

Fees in the ’10 per cent’ test for derecognition of financial liabilities

The amendment clarifies the fees that an entity includes when assessing whether the terms of a new or modified financial liability are substantially different from the terms of the original financial liability. These fees include only those paid or received between the borrower and the lender, including fees paid or received by either the borrower or lender on the other’s behalf.

These amendments had no impact on the consolidated financial statements of the Company as there were no modifications of the Company’s financial instruments during the period.

Interest Rate Benchmark Reform –

Phase 2: Amendments to IFRS 9, IAS 39, IFRS 7, IFRS 4 and IFRS 16

The amendments provide temporary reliefs which address the financial reporting effects when an interbank offered rate (IBOR) is replaced with an alternative nearly risk-free interest rate (RFR). The amendments include the following practical expedients:

•

A practical expedient to require contractual changes, or changes to cash flows that are directly required by the reform, to be treated as changes to a floating interest rate, equivalent to a movement in a market rate of interest

•

Permit changes required by IBOR reform to be made to hedge designations and hedge documentation without the hedging relationship being discontinued

•

Provide temporary relief to entities from having to meet the separately identifiable requirement when an RFR instrument is designated as a hedge of a risk component

The Company has exposures to LIBORs on its variable rate aircraft loans. Amendments to the financial debt instruments with contractual terms indexed to LIBOR such that they incorporate new benchmark rates, is expected to be completed during 2023, using as the alternative reference rate, the Secured Overnight Financing Rate (SOFR).

Although US dollar LIBOR was planned to be discontinued by the end of 2021, in November 2020 the ICE Benchmark Administration (IBA), the

FCA-regulated

and authorized administrator of LIBOR, announced that it had started to consult on its intention to cease the publication of certain USD LIBORs after June 2023. Nevertheless, the Company is in the process of implementing appropriate fallback provisions for all US dollar LIBOR indexed exposures and expects to finish by the end of 2023.

As of December 31, 2022 the amendment had no impact on the consolidated financial statements of the Company. The Company intends to use the practical expedients in 2023, when the change on interest rate in our financing contracts become applicable.

Standards issued but not yet effective

12 Months Ended

Dec. 31, 2022

Text block [abstract]

Standards issued but not yet effective

6.	Standards issued but not yet effective

The new and amended standards and interpretations that are issued, but not yet effective, up to the date of issuance of the Company’s financial statements are disclosed below. The Company intends to adopt these standards, if applicable, when they become effective

Amendments to IAS 1

- Classification of Liabilities as Current or

Non-current

In January 2020, the IASB issued amendments to paragraphs 69 to 76 of IAS 1

Presentation of Financial Statements

to specify the requirements for classifying liabilities as current or

non-current

and apply for annual reporting periods beginning on or after January 2023. The amendments clarify:

•

What is meant by a right to defer settlement.

•

That a right to defer must exist at the end of the reporting period.

•

That classification is unaffected by the likelihood that an entity will exercise its deferral right.

•

That only if an embedded derivative in a convertible liability is itself an equity instrument would the terms of a liability not impact its classification

However, the IASB has subsequently proposed further amendments to IAS 1 and the deferral on the effective date to no earlier than January 2024. Due to these ongoing developments, the Company is unable to determine the impacts of these amendments on the consolidated financial statements in the period of initial application.

Amendments to IAS 8 -

Definition of Accounting Estimates

In February 2021, the IASB issued amendments to IAS 8, in which it introduces a definition of ‘accounting estimates’. The amendments clarify the distinction between changes in accounting estimates and changes in accounting policies and the correction of errors. Also, they clarify how entities use measurement techniques and inputs to develop accounting estimates.

The amendments are effective for annual reporting periods beginning on or after 1 January 2023 and apply to changes in accounting policies and changes in accounting estimates that occur on or after the start of that period. Earlier application is permitted as long as this fact is disclosed.

The amendments are not expected to have a material impact on the Company.

Amendments to IAS 1 and IFRS Practice Statement 2 -

Disclosure of Accounting Policies

In February 2021, the IASB issued amendments to IAS 1 and IFRS Practice Statement 2 Making Materiality Judgements, in which it provides guidance and examples to help entities apply materiality judgements to accounting policy disclosures. The amendments aim to help entities provide accounting policy disclosures that are more useful by replacing the requirement for entities to disclose their ‘significant’ accounting policies with a requirement to disclose their ‘material’ accounting policies and adding guidance on how entities apply the concept of materiality in making decisions about accounting policy disclosures.

The amendments to IAS 1 are applicable for annual periods beginning on or after 1 January 2023 with earlier application permitted. Since the amendments to the Practice Statement 2 provide

non-mandatory

guidance on the application of the definition of material to accounting policy information, an effective date for these amendments is not necessary.

The Company will be assessing the impact of the amendments to determine the impact they will have on the Company’s accounting policy disclosures.

Amendments to IAS 12

Deferred Tax related to Assets and Liabilities arising from a Single Transaction

In May 2021 the IASB issued the amendments to IAS 12 Income Taxes require companies to recognize deferred tax on transactions that, on initial recognition, give rise to equal amounts of taxable and deductible temporary differences. They will typically apply to transactions such as leases of lessees and decommissioning obligations and will require the recognition of additional deferred tax assets and liabilities.

The amendments apply for annual reporting periods beginning on or after 1 January 2023, and1 January 2023 and should be applied to transactions that occur on or after the beginning of the earliest comparative period presented. In addition, entities should recognize deferred tax assets (to the extent that it is probable that they can be utilized) and deferred tax liabilities at the beginning of the earliest comparative period for all deductible and taxable temporary differences associated with:

•

Right-of-use

assets and lease liabilities, and

•

Decommissioning, restoration and similar liabilities, and the corresponding amounts recognized as part of the cost of the related assets.

The cumulative effect of recognizing these adjustments is recognized in retained earnings, or another component of equity, as appropriate.

The Company is currently assessing the impact of the amendment, there will be an impact on retained earnings, for the initial recognition of the deferred tax liability related to the taxable temporary difference in relation to the ROU and a deferred tax asset for the deductible temporary difference in relation to the lease liability, but will not be material in the consolidated financial statements.

Amendment to IFRS 16 -

Lease Liability in a Sale and Leaseback

In September 2022, the IASB issued Lease Liability in a Sale and Leaseback. The amendment to IFRS 16 Leases specifies the requirements that a seller-lessee uses in measuring the lease liability arising in a sale and leaseback transaction, to ensure the seller-lessee does not recognise any amount of the gain or loss that relates to the right of use it retains. These amendments explain how an entity accounts for a sale and leaseback after the date of the transaction. Sale and leaseback transactions where some or all the lease payments are variable lease payments that do not depend on an index or rate are most likely to be impacted.

The amendment applies retrospectively to annual reporting periods beginning on or after 1 January 2024. Earlier application is permitted.

During 2022, the Company entered into sale and lease back transactions, howewer we do not expect impacts for the adoption of this amendment since the lease payments on these transactions are fixed.

Amendment to IAS 1 -

Non current liabilities with covenants

In November 2022, the IASB issued Non current liabilities with covenants, in the amendments, the Board clarifies that only covenants with which an entity must comply on or before the reporting date will affect a liability’s classification as current or

non-current.

The amendments will be effective for annual reporting periods beginning on or after 1 January 2024 and will need to be applied retrospectively in accordance with IAS 8 Accounting Policies, Changes in Accounting Estimates and Errors. Early adoption is permitted, but will need to be disclosed.

The amendment is not expected to have a material impact on the consolidated financial statements.

Revenue from contract with customers

12 Months Ended

Dec. 31, 2022

Text block [abstract]

Revenue from contract with customers

7.	Revenue from contract with customers

7.1	Revenue disaggregation

Operating revenues are comprised of passenger revenues, cargo and mail, and other operating revenues. The following table shows disaggregated operating revenues for the years ended as December 31, 2022, 2021 and 2020.


	2022		2021		2020
Passenger revenue
Passenger revenue	$	2,793,420	$	1,388,089	$	752,050
Miles redeemed		31,299		24,301		8,544

		2,824,719		1,412,390		760,594

Cargo and mail revenue		101,765		71,577		21,002

Other operating revenue
Frequent flyer program - marketing services		28,396		18,897		15,452
Other operating revenue		10,153		7,067		3,955

		38,549		25,964		19,407

	$	2,965,033	$	1,509,931	$	801,003

7.2	Contract balances

The significant contract liabilities are comprised of ticket sales for transportation that has not yet been provided, recorded as “Air traffic liability” and outstanding loyalty program miles that may be redeemed for future travel, recorded as “Frequent flyer deferred revenue”.

The table below presents the changes in air traffic liability:


	2022			2021
Balance at beginning of year	$	557,331		$	470,695
Sales		3,320,260			1,801,347
Revenue recognition		(2,623,256	)		(1,326,627	)
Tax recognition		(450,541	)		(218,624	)
Reimbursements		(105,508	)		(129,296	)
Interline tickets		(52,496	)		(26,436	)
Other		6,015			(13,728	)

Balance at end of year	$	651,805		$	557,331

The contract duration of passenger tickets is one year. Accordingly, any revenue associated with tickets sold for future travel dates will be recognized within twelve months. Since 2020, in response to

Covid-19

and

for those

tickets which were scheduled to expire before June 2021, the Company established a new commercial policy that extended the tickets expiration to June 30, 2022 The Company calculated a specific breakage for tickets that were not expected be used based on this new commercial policy. As of December 31, 2022, the revenue related to these tickets, has been recognized in the consolidated statement of profit or loss.

The table below presents the activity of the current and

non-current

frequent flyer liability:


	2022			2021
Balance at beginning of year	$	95,114		$	91,213
Deferred of revenue		47,711			28,202
Recognition of revenue		(31,299	)		(24,301	)

Balance at end of year	$	111,526		$	95,114

Current		55,292			34,719
Non-current		56,234			60,395

	$	111,526		$	95,114

Contract assets are reflected as account receivable. See note 10.

7.3 Segment reporting

The Company’s business activities are conducted as one operating segment – Air transportation (that includes cargo and mail revenue), the reporting results of which are regularly reviewed by management for purposes of analyzing its performance and making decisions about resource allocations. Information concerning operating revenue by geographic area for the period ended December 31 is as follows:


	2022		2021		2020
North America	$	957,730	$	428,457	$	233,039
South America		1,094,450		557,827		281,008
Central America		819,534		475,590		246,727
Caribbean		54,770		22,093		20,822

	$	2,926,484	$	1,483,967	$	781,596

The Company attributes revenue to the geographic areas based on point of sales. Our tangible assets and capital expenditures consist primarily of flight and related ground support equipment, which is mobile across geographic markets and, therefore, has not been allocated.

Cash and cash equivalents

12 Months Ended

Dec. 31, 2022

Text block [abstract]

Cash and cash equivalents

8. Cash and cash equivalents


	2022		2021
Checking and saving accounts	$	122,184	$	210,818
Cash on hand		240		263

	$	122,424	$	211,081

Cash at checking and saving accounts, earned interest based on rates determined by the banks in which the instruments are held.

As of December 31, 2022, the cash and cash equivalents disclosed above and in the consolidated statement of cash flows include $7.3 million (2021: $12.9 million) that the Company has pledged from its checking and saving accounts to fulfill the collateral requirement.

As of December 31, 2022 and 2021, except for the cash pledged to fulfill collateral requirement, the Company’s cash and cash equivalents are free of restriction or charges that could limit its availability.

Investments

12 Months Ended

Dec. 31, 2022

Text block [abstract]

Investments

9.	Investments


	2022									2021
	Current			Non Current			Total			Current			Non Current			Total
Investment at amortised cost
Time deposits	$	432,750		$	65,000		$	497,750		$	382,000		$	103,000		$	485,000
Bonds		286,203			137,907			424,110			300,630			96,966			397,596

		718,953			202,907			921,860			682,630			199,966			882,596
Allowance for expected credit losses		(2,104	)		(851	)		(2,955	)		(1,016	)		(296	)		(1,312	)

		716,849			202,056			918,905			681,614			199,670			881,284
Investment at fair value through profit or loss
Investment funds		95,474			—			95,474			124,726			—			124,726

	$	812,323		$	202,056		$	1,014,379		$	806,340		$	199,670		$	1,006,010

Investments at amortised cost include time deposits, and bonds which include, zero coupon bonds and listed corporate bonds. All of the investments are denominated in U.S. dollar, as a result, there is no exposure to foreign currency risk. There is also no exposure to price risk as the investments will be held to maturity.

Time deposits earned interest based on rates determined by the banks in which the instruments are held. The use of these instruments before its maturity date depends on the cash requirements of the Company.

Listed corporate bonds, have interest rates ranging between 0.40% and 5.25% (2021: between 0.15% and 5.75%).

The information about the expected credit loss over these financial assets is disclosed in note 28.3.

Investments at fair value through profit or loss (“FVPL”) include investments in listed equity shares of an investment fund. Fair values of these equity shares are determined by reference to published price quotations in an active market. During 2022, the Company recognize a net unrealized loss on instruments at FVPL of $4.2 million (2021: $0.3 million) recorded under “Other net

non-operating

income (expense)” in the accompanying consolidated statement of profit or loss.

For information about the methods and assumptions used in determining fair value see 28.6.

Accounts receivable

12 Months Ended

Dec. 31, 2022

Text block [abstract]

Accounts receivable

10.	Accounts receivable


	2022			2021
Credit cards	$	75,274		$	48,361
Clearing house		32,278			16,566
Airlines		2,180			3,123
Cargo and courier		9,023			10,784
Agencies		4,090			2,214
Government		6,446			6,060
Trade receivables from related parties		2,168			1,832
Other		13,814			11,075

		145,273			100,015
Allowance for expected credit losses		(7,690	)		(7,565	)

	$	137,583		$	92,450

Trade receivables are

non-interest

bearing and have maturities between 30 to 90 days.

See detail of trade receivables from related parties in note 23.

The category “Other” mainly includes receivables from miles’ partners and employees accounts.

The change in the allowance for expected credit losses in respect of accounts receivable during the year was as follows.


	2022			2021			2020
Balance at beginning of years	$	(7,565	)	$	(6,483	)	$	(5,579	)
Additions		(765	)		(1,421	)		(1,310	)
Write-off		640			339			406

Balance at end of year	$	(7,690	)	$	(7,565	)	$	(6,483	)

The information about the credit exposures is disclosed in note 28.3.

Expendable parts and supplies

12 Months Ended

Dec. 31, 2022

Text block [abstract]

Expendable parts and supplies

11.	Expendable parts and supplies


	2022			2021
Material for repair and maintenance	$	88,276		$	70,929
Other inventories		5,158			4,217

		93,434			75,146
Allowance for obsolescence		(102	)		(368	)

	$	93,332		$	74,778

Expendable parts and supplies recognized when used as an expense in the accompanying consolidated statement of profit or loss under “Maintenance, materials and repairs” amount to $25.4 million, (2021: $22.0 million and, 2020: $12.7 million).

Prepaid expenses

12 Months Ended

Dec. 31, 2022

Text block [abstract]

Prepaid expenses

12.	Prepaid expenses


	2022		2021
Prepaid taxes	$	25,385	$	13,095
Prepaid commissions		3,936		4,822
Prepaid insurance		446		522
Prepaid to supplier		30,325		19,436

	$	60,092	$	37,875

Current		52,322		31,148
Non-current		7,770		6,727

	$	60,092	$	37,875

The current portion of prepaid taxes amounts to $9.2 million and mainly includes tax advance of VAT, and withholdings taxes (2021: $6.4 million). The

non-current

portion of prepaid expenses mainly include tax credits for $7.7 million (2021: $5.2 million).

Prepaid to supplier mainly includes operating expenses related to aircraft rent, fuel and maintenance services.

Property and equipment

12 Months Ended

Dec. 31, 2022

Text block [abstract]

Property and equipment

13. Property and equipment


	Land		Flight equipment			Purchase deposits for flight equipment			Ramp and miscellaneous			Furniture, fixtures, equipment a and other			Leasehold improvements			Construction in progress			Total
Cost -
Balance at January 1, 2020	$	6,301	$	3,038,594		$	463,274		$	56,337		$	32,798		$	65,291		$	5,587		$	3,668,182
Transfer of pre-delivery payments		—		49,860			(49,860	)		—			—			—			—			—
Additions		—		39,492			—			582			221			566			3,204			44,065
Disposals		—		(34,626	)		—			(306	)		(223	)		(780	)		—			(35,935	)
Assets held for sale		—		(554,790	)		—			—			—			—			—			(554,790	)
Reclassifications		—		244			(5,600	)		—			—			2,382			(2,626	)		(5,600	)

Balance at December 31, 2020	$	6,301	$	2,538,774		$	407,814		$	56,613		$	32,796		$	67,459		$	6,165		$	3,115,922
Transfer of pre-delivery payments		—		284,170			(284,170	)		—			—			—			—			—
Additions		—		75,080			347,010			525			1,114			290			11,296			435,315
Disposals		—		(36,351	)		—			(3,576	)		(140	)		(3,139	)		—			(43,206	)
Reclassifications		—		1,028			5,600			—			135			657			(1,877	)		5,543
Reclassifications from assets held for sale		—		62,875			—			—			—			—			—			62,875

Balance at December 31, 2021	$	6,301	$	2,925,576		$	476,254		$	53,562		$	33,905		$	65,267		$	15,584		$	3,576,449
Transfer of pre-delivery payments		—		50,977			(50,977	)		—			—			—			—			—
Additions		—		228,908			383,176			2,903			3,318			3,291			882			622,478
Disposals		—		(46,121	)		—			(1,395	)		(4,265	)		(164	)		(29	)		(51,974	)
Reclassifications		—		8,179			(76,200	)		—			—			5,873			(14,052	)		(76,200	)

Balance at December 31, 2022	$	6,301	$	3,167,519		$	732,253		$	55,070		$	32,958		$	74,267		$	2,385		$	4,070,753
Accumulated depreciation and impairment -
Balance at January 1, 2020	$	—	$	(1,028,085	)	$	—		$	(43,871	)	$	(27,506	)	$	(36,318	)	$	—		$	(1,135,780	)
Depreciation for the year		—		(126,988	)		—			(3,121	)		(3,134	)		(5,759	)		—			(139,002	)
Disposals		—		32,335			—			290			179			295			—			33,099
Impairment		—		—			—			—			—			—			(4	)		(4	)
Assets held for sale		—		273,251			—			—			—			—			—			273,251

Balance at December 31, 2020	$	—	$	(849,487	)	$	—		$	(46,702	)	$	(30,461	)	$	(41,782	)	$	(4	)	$	(968,436	)
Depreciation for the year		—		(127,432	)		—			(2,576	)		(1,639	)		(4,696	)		—			(136,343	)
Disposals		—		34,893			—			3,501			137			2,503			—			41,034

Balance at December 31, 2021	$	—	$	(942,026	)	$	—		$	(45,777	)	$	(31,963	)	$	(43,975	)	$	(4	)	$	(1,063,745	)
Depreciation for the year		—		(163,674	)		—			(2,392	)		(1,354	)		(4,490	)		—			(171,910	)
Disposals		—		42,631			—			1,366			4,265			164			—			48,426

Balance at December 31, 2022	$	—	$	(1,063,069	)	$	—		$	(46,803	)	$	(29,052	)	$	(48,301	)	$	(4	)	$	(1,187,229	)
Carrying amounts -
At December 31, 2020	$	6,301	$	1,689,287		$	407,814		$	9,911		$	2,335		$	25,677		$	6,161		$	2,147,486

At December 31, 2021	$	6,301	$	1,983,550		$	476,254		$	7,785		$	1,942		$	21,292		$	15,580		$	2,512,704

At December 31, 2022	$	6,301	$	2,104,450		$	732,253		$	8,267		$	3,906		$	25,966		$	2,381		$	2,883,524

Flight equipment

Flight equipment includes aircraft, engines, aircraft components, and major maintenance of own and leased aircraft.

During 2022, the Company capitalized 3 Boeing 737 MAX aircraft (2021: 6 Boeing 737 MAX aircraft). The Company acquired these aircraft through financing from the Export-Import Bank of the United States (the “EXIM Bank”). These arrangements establish quarterly payments of obligations, and have a term of 12 years.

In March 2022, the newly converted freighter aircraft, the Boeing

737-800

BCF (Boeing Converted Freighter) with a capacity of 21.7 tons per flight, began operations. The convertion is depreciated over the lesser of ten years or remaining useful life of the aircraft.

Aircraft with a carrying value of $1.5 billion (includes new acquired aircraft) are pledged as collateral for the obligation of the special purpose entities as of December 31, 2022 (2021: $1.5 billion).

During 2021, the Company identified indicators of impairment in its CGU due the capacity reductions, the temporary grounding of part of its fleet, following by the reduction in air traffic as a result of the

Covid-19

pandemic. To determine whether impairment exists, the recoverable amount at the level of the CGU, was determined using cash flow projections from financial forecasts approved by senior management covering a five-year period. The

pre-tax

discount rate applied to cash flow projections was 13.6%. As a result of this analysis, the Company determined the recoverable amount of the CGU was in excess of its book value and, therefore, no impairment was recorded

(See note 16). No impairment indicators were identified in 2022.

Purchase deposits for flight equipment

Purchase deposits for flight equipment corresponds to the future purchase of MAX aircraft and engines (see note 27).

As of December 31, 2022, the additions for $383.2 million include $377.7 million of advance payments paid on aircraft purchase contracts made during 2022 (2021: the additions for $347.0 million include $276.9 million of advance payments paid on aircraft purchase contracts).

During the first quarter of 2021, the Company reached an agreement with Boeing regarding compensation related to the Boeing 737 MAX grounding. The terms of the agreement are confidential, but the Company has received compensation in the form of certain credits concurrent with the aircraft deliveries and other considerations, including a revised delivery stream. In accordance with applicable accounting principles, the Company accounted for substantially all the compensation received from Boeing as a reduction in cost basis of the aircraft. No material financial impacts of the agreement were recorded in the Company’s earnings during the year ended December 31, 2021.

Other property and equipment

As of December 31, 2022 construction in progress mainly includes remodeling projects for airport facilities and offices. As of December 31, 2021, construction in progress mainly includes the construction of the new VIP lounge in the Terminal 2 of Tocumen International Airport and other remodeling projects for airport facilities and offices.

During 2022, the Company capitalized under “Leasehold improvements” $5.2 million for improvements to the the new VIP lounge in Terminal 2 of Tocumen International Airport and other remodeling projects for Terminal facilities and offices.

During 2021, the Company capitalized under “Leasehold improvements” $0.7 million for improvements to the Training Center located at the Ciudad del Saber in Panama City, and $0.8 million in other remodeling projects for airport facilities and offices.

Reclassification from assets held for sale

Boeing

737-700

fleet

In August 2020, motivated by the decrease in demand as a consequence of

Covid-19,

the Board of Directors of the Company approved the plan to sell fourteen aircraft Boeing

737-700.

As of December 31, 2020, this decision resulted in impairment losses of $191.2 million.

In 2021, the Company signed an agreement for the sale of three Boeing

737-700

and four spare engines. As of December 31, 2021, the Company has completed the sale of the assets according to the sales plan, no significant additional gain or loss was recognized on the sale.

Due to an increase in demand in the region, the Board of Directors approved to keep the remaining eleven Boeing

737-700

for a period of three years. The Company reclassified these aircraft to property and equipment since the classification as assets held for sale is no longer met, and proceeded to measure the aircraft at its fair value less cost of disposal determined considering sales contracts.

This reclassification resulted in reversal of impairment losses of $5.4 million, which have been included under “Impairment of

non-financial

assets” in the accompanying consolidated statement of profit or loss.

During 2022, the Company sold 2 Boeing

737-700

airframes, no significant additional gain or loss was recognized on the sale.

Leases

12 Months Ended

Dec. 31, 2022

Text block [abstract]

Leases

14. Leases

The Company as a lessee

The Company leases some aircraft under long-term lease agreements with an average duration of 12 years. Aircraft under operating leases may be renewed in accordance with management’s business plan.

Other leased assets include real estate, airport and terminal facilities, sales offices, maintenance facilities, and general offices. Most lease agreements include renewal options; a few have escalation clauses, but no purchase options.

Information about leases for which the Company is a lessee is presented below:

Right of use assets


	Aircraft			Real estate			Total
Balance at January 1, 2020	$	260,647		$	30,196		$	290,843
Additions		21,706			(1,888	)		19,818
Impairment		(1,541	)		—			(1,541	)
Depreciation expense		(88,451	)		(6,390	)		(94,841	)

Balance at December 31, 2020	$	192,361		$	21,918		$	214,279
Additions/(Terminations)		29,157			1,085			30,242
Depreciation expense		(73,687	)		(4,506	)		(78,193	)

Balance at December 31, 2021	$	147,831		$	18,497		$	166,328
Additions/(Terminations)		132,122			10,069			142,191
Depreciation expense		(69,167	)		(4,972	)		(74,139	)

Balance at December 31, 2022	$	210,786		$	23,594		$	234,380

Additions to the

right-of-use

assets include new leases, contract extensions, changes in discount rate and changes in rental payments.

During 2022, the Company entered into lease transactions with third parties, for 3 new Boeing 737 MAX 9 aircraft for approximately 8 years.

Lease liabilities


	2022		2021
Current portion of lease liability
Aircraft	$	74,906	$	70,061
Real estate		5,178		3,856

	$	80,084	$	73,917

Long-term lease liability
Aircraft	$	135,609	$	86,167
Real estate		22,680		18,567

	$	158,289	$	104,734

	$	238,373	$	178,651

For leases under IFRS 16 the Company recognizes a provision to estimate the costs for work required to be performed just before the redelivery of the aircraft to the lessors and which does not depend on the aircraft utilization. This provision is booked as a dismantling provision cost under “long term liabilities” in the consolidated statement of financial position. As of December 31, 2022 the total liability related to leases including the provision of dismantling amounts to $266.4 million (2021: $203.1 million).

Total cash outflow for leases for the years ended as December 31, 2022 and 2021:


	2022		2021
Aircraft	$	79,812	$	81,936
Real estate		5,832		5,862

	$	85,644	$	87,798

As of December 31, 2022 the average incremental borrowing rate of leased aircraft is 3.63% (2021: 2.95%).

The maturity analysis of lease liabilities is disclosed in note 28.5.

Amounts recognized in the consolidated statement of profit or loss related to leases:


	2022		2021			2020
Depreciation and amortization
Aircraft	$	69,167	$	73,687		$	88,451
Real estate		4,972		4,506			6,390

	$	74,139	$	78,193		$	94,841
Impairment of non financial assets
Aircraft	$	—	$	—		$	1,541
Other operating and administrative expenses
Short-term leases	$	9,530	$	440		$	90
Leases of low-value assets		377		279			330
Variable lease payments not include in the measurement of lease liabilities		3,222		1,352			827
Variable lease payments by rental concessions received		—		(1,295	)		(489	)

	$	12,259	$	776		$	758
Finance cost
Aircraft	$	5,153	$	5,480		$	8,185
Real estate		1,473		1,326			1,717
Unwinding of discount and changes in the discount rate		819		762			832

	$	7,445	$	7,568		$	10,734

	$	93,843	$	86,537		$	107,874

Some property leases contain variable payment terms that are linked to the number of passengers or employees using the areas. Additional, some aircraft leases contain variable payment terms that depend on the aircraft’s flight hours.

The unwinding of discount and changes in the discount rate over leased aircraft correspond to the interest expenses of the discounted dismantling provision.

As of December 31, 2022, the Company did not receive concessions as a direct consequence of the

Covid-19

pandemic. As of December 31, 2021, the Company received rent concessions occurred as a direct consequence of the

Covid-19

pandemic only for its real estate leases, and applied the practical expedient, accounting the

concession in the form of forgiveness or deferral of lease payments, as a negative variable lease payment to the concessions.

At December 31, 2020, the impairment loss relates to leased aircraft grounded until its redelivery due the capacity reductions a result of the

Covid-19

pandemic.

The Company as a lessor

From June 2015 to August 2022, the Company leased two aircraft Boeing

737-700,

as part of the strategy of fleet management, in order to optimize the use of aircraft in relation to the routes scheduled for those years. Both leases expired during 2022 and both aircraft airframes were sold to third parties.

Total lease income amounts to $1.7 million for the period ended December 31, 2022 (2021: $3.0 million and 2020: $3.2 million), and is included under “Other operating revenue” in the accompanying consolidated statement of profit or loss.

As of December 31, 2021, the carrying amount of the two aircraft under operating leases was $12.9 million.

Net defined benefit assets (liability)

12 Months Ended

Dec. 31, 2022

Text block [abstract]

Net defined benefit assets (liability)

15. Net defined benefit assets (liability)


	2022			2021
Fair value of plan assets	$	31,197		$	27,413

Defined benefit obligation		(30,332	)		(34,593	)
Other employee benefits		(361	)		(490	)

	$	(30,693)		$	(35,083)

Net defined benefit asset (liability)	$	504		$	(7,670)

In accordance with Panamanian law, the Company contributes to the following defined benefit plans:

Seniority premium plan:

is a contingent liability that companies must pay to their employees according to article 224 of Panama’s Labor Code according to the following:


Eligibility:		All employees
Benefit:		One week of salary per years of service
Salary:		Average of the 5 prior years of the monthly base salary
Payment:		Lump sum

The actuarial liability is recognized for the legal obligation under the formal terms of the plan, and for the implied projections as required under IAS 19R. These actuarial projections do not constitute a legal obligation for the Company.

Indemnity plan:

According to paragraph 225 of Panama’s Labor Code, in the case of unjustified dismissal the employee is entitled to an Indemnity Plan depending on their weekly salary and seniority. However, this benefit does not constitute a constructive obligation for the Company as described in paragraphs 61 and 62 of IAS19, therefore there is no obligation calculated for this benefit.

The following table summarizes the components of net benefit expense included under “Wages, salaries, benefits and other employees’ expenses” in the accompanying consolidated statement of profit or loss:


Year ended December 31,2022	Defined benefit obligation		Fair value of assets			Defined benefit assets (liability)
Current service cost	$	2,860	$	—		$	2,860
Interest cost on net benefit obligation		972		(722	)		250
Past service cost		16		—			16

Net periodic benefit cost (income)	$	3,848	$	(722	)	$	3,126


Year ended December 31,2021	Defined benefit obligation		Fair value of assets			Defined benefit assets (liability)
Current service cost		3,272	$	—		$	3,272
Interest cost on net benefit obligation		721		(472	)		249
Past service cost		191		—			191

Net periodic benefit cost (income)	$	4,184	$	(472	)	$	3,712


Year ended December 31,2020	Defined benefit obligation			Fair value of assets			Defined benefit assets (liability)
Current service cost		2,393			—			2,393
Interest cost on net benefit obligation		706			(731	)		(25	)
Past service cost		457			—			457
Curtailment / Settlement		(2,026	)		—			(2,026	)

Net periodic benefit cost (income)	$	1,530		$	(731)		$	799

The following table shows reconciliation from the opening balance to the closing balances for net employee defined benefit liabilities and its components:


	Defined benefit obligation			Fair value of assets			Other employee benefits liability			Net defined benefit assets (liability)
At January 1, 2020	$	(28,195	)	$	29,086		$	(642	)	$	249
Current service cost		(2,393	)		—			—			(2,393	)
Interest (cost) income		(706	)		731			—			25
Past service cost		(457	)		—			—			(457	)
Curtailment / Settlement		2,026			—			—			2,026
Return on plan assets		—			374			—			374
Experience gain (loss)		(4,001	)		—			—			(4,001	)
Actuarial changes arising from changes in demographic assumptions		(11,285	)		—			—			(11,285	)
Actuarial changes arising from changes in financial assumptions		(1,028	)		—			—			(1,028	)
Employer contributions		—			1,709			—			1,709
Benefits paid		6,573			(6,117	)		—			456
Others		—			—			(7	)		(7	)

As of December 31, 2020	$	(39,466	)	$	25,783		$	(649	)	$	(14,332	)
Current service cost		(3,272	)		—			—			(3,272	)
Interest (cost) income		(721	)		472			—			(249	)
Past service cost		(191	)		—			—			(191	)
Return on plan assets		—			416			—			416
Experience gain (loss)		602			—			—			602
Actuarial changes arising from changes in financial assumptions		4,411			—			—			4,411
Employer contributions		—			2,565			—			2,565
Benefits paid		1,622			(1,102	)		—			520
Adjustments		2,422			—			—			2,422
Others		—			(721	)		159			(562	)

As of December 31, 2021	$	(34,593	)	$	27,413		$	(490	)	$	(7,670	)
Current service cost		(2,860	)		—			—			(2,860	)
Interest (cost) income		(972	)		722			—			(250	)
Past service cost		(16	)		—			—			(16	)
Return on plan assets		—			172						172
Experience gain (loss)		(3,959	)		—			—			(3,959	)
Actuarial changes arising from changes in financial assumptions		10,874			—			—			10,874
Employer contributions		—			3,911			—			3,911
Benefits paid		1,194			(869	)		—			325
Others		—			(152	)		129			(23	)

As of December 31, 2022	$	(30,332	)	$	31,197		$	(361	)	$	504

As of December 31, 2022, and 2021, plan assets are comprised totally by fixed term deposits.

For the year ended December 31, 2022, actuarial gain of $7.2 million, (2021: actuarial gain of $5.4 million and 2020: actuarial loss of $15.5 million) were recognized in other comprehensive income.

During 2022 and 2021, the Company did not retire interest earned of the fund. As of December 31, 2020 employer contributions is a net amount of regular contributions by $2.8 million and retirement of interest earned by $1.1

million.

The following were the principal actuarial assumptions

at t

he reporting date:


	2022	2021	2020
Economic assumptions -
Discount rate	5.9%	2.9%	2.0%
Compensation - salary increase	4.0%	4.0%	4.0%

Demographic assumptions -
Mortality	Panama expirence		RP - 2000 no collar
Termination	2003 SoA pension plan		13% all ages
Retirement
Males		62 years
Females		57 years

Reasonably possible changes at the reporting date to one of the relevant actuarial assumptions, holding other assumptions constant, would have affected the defined benefit obligation by the amount shown below:


	December, 31 2022					December, 31 2021					December, 31 2020
	Increase		Decrease			Increase		Decrease			Increase		Decrease
Discount rate (0.5% movement)	$	1,338	$	(1,451	)	$	1,876	$	(2,056	)	$	2,318	$	(2,554	)

The sensitivity analyses above have been determined based on a method that extrapolates the impact on the defined benefit obligation as a result of reasonable changes in key assumptions occurring at the end of the reporting period. The sensitivity analyses are based on a change in a significant assumption, keeping all other assumptions constant. The sensitivity analyses may not be representative of an actual change in the defined benefit obligation as it is unlikely that changes in assumptions would occur in isolation from one another.

The following payments are expected contributions to the defined benefit plan in future years:


	2022		2021
Up to one year	$	2,532	$	2,202
One to five years		10,989		8,853
Over five years		16,847		13,271

Total expected payments	$	30,368	$	24,326

The average duration of the defined benefit plan obligation at the end of the reporting period is 9.8 years.

Intangible assets

12 Months Ended

Dec. 31, 2022

Text block [abstract]

Intangible assets

16.	Intangible assets


			Other intangibles assets
	Goodwill		License and software rights			Intangible in process			Total
Cost -
Balance at January 1, 2020	$	20,380	$	143,201		$	17,934		$	181,515
Additions		—		4,378			12,041			16,419
Disposals		—		(5,546	)		—			(5,546	)
Reclassifications		—		13,975			(13,975	)		—

Balance at December 31, 2020	$	20,380	$	156,008		$	16,000		$	192,388
Additions		—		1,694			9,897			11,591
Reclassifications		—		14,495			(14,495	)		—

Balance at December 31, 2021	$	20,380	$	172,197		$	11,402		$	203,979
Additions		—		2,899			15,562			18,461
Disposals		—		(29,214	)		—			(29,214	)
Reclassifications		—		9,594			(9,594	)		—

Balance at December 31, 2022	$	20,380	$	155,476		$	17,370		$	193,226
Accumulated amortization and impairment—
Balance at January 1, 2020	$	—	$	(73,399	)	$	—		$	(73,399	)
Amortization for the year		—		(25,493	)		—			(25,493	)
Impairment		—		—			(1,020	)		(1,020	)
Disposals		—		3,092			—			3,092

Balance at December 31, 2020	$	—	$	(95,800	)	$	(1,020	)	$	(96,820	)
Amortization for the year		—		(25,410	)		—			(25,410	)

Balance at December 31, 2021	$	—	$	(121,210	)	$	(1,020	)	$	(122,230	)
Amortization for the year		—		(21,655	)		—			(21,655	)
Disposals		—		29,214			—			29,214

Balance at December 31, 2022	$	—	$	(113,651	)	$	(1,020	)	$	(114,671	)
Carrying amounts -
At December 31, 2020	$	20,380	$	60,208		$	14,980		$	95,568

At December 31, 2021	$	20,380	$	50,987		$	10,382		$	81,749

At December 31, 2022	$	20,380	$	41,825		$	16,350		$	78,555

Goodwill

For impairment testing, goodwill acquired through business combinations is allocated to the air transportation CGU which is also the operating and reportable segment of the Company. Goodwill is tested for impairment annually at August, 31 and when circumstances indicate that the carrying value may be impaired.

The recoverable amount of the CGU of $5.1 billion (2021: $2.8 billion) has been determined based on a value in use calculation using cash flow projections from financial budgets approved by senior management covering a five-year period. The

pre-tax

discount rate applied to cash flow projections is 13.8% (2021: 13.6%) and the cash flows beyond the five-year period are extrapolated using a 3.0% (2021: 4.9%) growth rate. It was concluded that no impairment charge is necessary since the estimated recoverable amount of the CGU exceed its carrying value.

The calculations of value in use of the CGU are sensitive to the following main assumptions:

•

Revenue – the Company calculated the projected passenger revenue based on the current beliefs, expectations, and projections about future events and financial trends affecting its business.

•

Cash flows – determination of the terminal value is based on the present value of the Company’s cash flows in perpetuity. When estimating the cash flows for use in the residual value calculation, it is essential to clearly define the normalized cash flows level, the appropriate discount rate for the degree of risk inherent in that return stream, and a constant future growth rate for the related cash flows. To estimate the value, the Gordon Growth Model was used.

•

Discount rates – The selected

pre-tax

rate of 13.8% represents the current market assessment of the risks specific to the CGU, taking into consideration the time value of money and individual risks of the underlying assets that have not been incorporated in the cash flow estimates. The discount rate calculation is based on the specific circumstances of the Company and its operating segment and is derived from its

pre-tax

weighted average cost of capital (WACC). The WACC takes into account both debt and equity. The cost of equity is derived from the expected return on investment by the Company’s investors. The cost of debt is based on the interest-bearing borrowings the Company is obliged to service. Segment-specific risk is incorporated by applying individual beta factors. The beta factors are evaluated annually based on publicly available market data.

A rise in the discount rate to 20.7% (i.e., +6.9%) would result in an impairment.

Other intangible assets

Intangible assets in process

Intangible assets in process as of December 31, 2022 and 2021 mainly comprise the development of sales, revenues and operational systems and improvements.

During 2022, the Company capitalized $9.6 million on sales and revenue programs. During 2021, the Company capitalized $11.2 million on marketing, sales and human resources programs.

Other assets

12 Months Ended

Dec. 31, 2022

Text block [abstract]

Other assets

17.	Other assets


	2022		2021
Current -
Interest receivable	$	10,554	$	4,791
Other		6,489		1,263

		17,043		6,054

Non-current -
Guarantee deposits		5,493		3,296
Deposits for litigation		8,300		7,590
Other		3,212		3,212

		17,005		14,098

	$	34,048	$	20,152

Guarantee deposits are mainly amounts paid to fuel suppliers, as required at the inception of the agreements (see note 23).

Deposit for litigation is cash deposited into the escrow account until the related dispute is settled (see note 21).

Loans and borrowings

12 Months Ended

Dec. 31, 2022

Text block [abstract]

Loans and borrowings

18.	Loans and borrowings


	2022
	Due through		Effective rates ranged		Carrying Amount
Long term fixed rate debt		2034		1.73% to 3.95%		983,138
Long term variable rate debt		2029		4.97% to 6.35%		191,132
Senior convertible notes		2025		14.68%		270,033

						1,444,303
Current maturities						(142,484	)

Loans and borrowings long-term					$	1,301,819


	2021
	Due through		Effective rates ranged	Carrying Amount
Long-term fixed rate debt		2033	0.97% to 3.70%		896,607
Long-term variable rate debt		2029	0.31% to 1.47%		235,632
Loan payable		2022			50,014
Senior convertible notes		2025	14.68%		243,380

					1,425,633
Current maturities					(196,602	)

Loans and borrowings long-term				$	1,229,031

Maturities of the loans and borrowings for the next five years are as follows:


2023		142,484
2024		201,979
2025		202,978
2026		361,455
2027		101,387
Thereafter		434,020

	$	1,444,303

Senior convertible notes

In April 2020, the Company issued Senior Convertible Notes (“notes”) in the total principal amount of $350.0 million maturing on April 15, 2025, in a private offering to qualified institutional buyers pursuant to Rule 144A under the Securities Act of 1933, as amended (the “Securities Act”).

The notes are senior, unsecured obligations of the Company and will accrue interest at a rate of 4.50% per annum, payable semi-annually in arrears on April 15 and October 15 of each year.

Noteholders have the right to convert their notes only upon the occurrence of certain events. From and after October 15, 2024, noteholders may convert their notes at any time at their election until the close of business on the second scheduled trading day immediately before the maturity date. The Company will settle conversions by paying or delivering, as applicable, cash, shares of their Class A common stock or a combination of cash and shares of their Class A common stock, at the Company’s election. The initial conversion rate is 19.3564 shares per $1,000 principal amount of notes, which represents an initial conversion price of approximately $51.66 per share of Class A common stock and will be subject to adjustment upon the occurrence of certain events.

The net proceeds from the offering, after deducting the initial purchasers’ discounts, commissions and other transaction costs is as follows:


	Nominal issue		Cost assigned to the debt host liability			Net funding
Date
April 30, 2020	$	350,000	$	(7,102	)	$	342,898

The Company used the net proceeds from the offering for general corporate purposes.

The notes are redeemable, in whole or in part, for cash at the Company’s option at any time, and from time to time, on or after April 17, 2023 and on or before the 40th scheduled trading day immediately before the maturity date, but only if the last reported sale price per share of the Company’s Class A common stock exceeds 130% of the conversion price for a specified period of time. In addition, the notes are redeemable, in whole and not in part, at the Company’s option in connection with certain changes in tax law at any time. The redemption price will be equal to the principal amount of the notes to be redeemed, plus accrued and unpaid interest, if any, to, but excluding, the redemption date, plus a make-whole premium.

The component corresponding to the conversion feature of the notes is recorded an embedded derivative under “Derivative financial instruments” in the consolidated statement of financial position. The fair value of the embedded derivative at initial recognition on April 30, 2020 was $138.4 million.

The Company recorded an unrealized net profit or loss, for the change in the fair value of the embedded derivative as “Net change in fair value of derivatives” in the consolidated statement of profit or loss (see note 28.6):

The impact of the embedded derivative on the consolidated statement of financial position and consolidated statement of profit or loss is, as follows:


	Statement of financial position				Statement of profit or loss
	2022		2021		2022		2021			2020
Derivative financial instrument	$	251,150	$	268,338	$	17,189	$	(22,778	)	$	(107,139	)

Long term debt and loan payable

As of December 31, 2022, long-term fixed rate debt included $516.5 million (2021: $548.7 million) and long-term variable debt included $157.8 million corresponding to aircraft acquisitions using JOLCO arrangements (2021: $180.3 million).

As of December 31, 2022 the Company had $466.6 million (2021: $403.2 million) on long-term fixed rate debt and $33.3 million on long-term variable debt of outstanding indebtedness that is owed to financial institutions under financing arrangements guaranteed by the Export-Import Bank of the United States. The Export-Import Bank guarantees support 80%—85% of the net purchase price of the aircraft and are secured with a first priority mortgage on the aircraft in favor of a security trustee on behalf of Export-Import Bank.

The Company’s Export-Import Bank supported financings are amortized on a quarterly basis, are denominated in U.S. dollars.

The detail of finance cost and income is as follows:


	2022			2021			2020
Finance income -
Interest income on short-term bank deposits	$	954		$	211		$	543
Interest income on investment		17,076			10,638			19,420

	$	18,030		$	10,849		$	19,963

Finance cost -
Interests expense on bank loans	$	(30,502	)	$	(26,817	)	$	(29,711	)
Interests expense on senior convertible notes		(42,403	)		(38,301	)		(23,571	)
Interest on factoring		(5,393	)		(1,365	)		(256	)
Interest on lease liabilities (see note 14)		(7,445	)		(7,568	)		(10,734	)
Unwinding of discount and changes in the discount rate		(1,888	)		(2,183	)		(8,773	)

	$	(87,631	)	$	(76,234	)	$	(73,045	)

Changes in liabilities arising from financing activities:


						Non-cash movements
	2021		Cash flows			Foreign exchange movement			Leases		Concession Covid-19		Other		2022
Loans and borrowings	$	1,425,633	$	(27,038	)	$	—		$	—	$	—	$	45,708	$	1,444,303
Lease liability		178,651		(79,017	)		(275	)		139,014		—		—		238,373

Total liabilities from financing activities	$	1,604,284	$	(106,055	)	$	(275	)	$	139,014	$	—	$	45,708	$	1,682,676


						Non-cash movements
	2020		Cash flows			Foreign exchange movement			Leases		Concession Covid-19			Other		2021
Loans and borrowings	$	1,163,900	$	210,045		$	—		$	—	$	—		$	51,688	$	1,425,633
Lease liability		230,510		(80,992	)		(348	)		30,776		(1,295	)		—		178,651

Total liabilities from financing activities	$	1,394,410	$	129,053		$	(348	)	$	30,776	$	(1,295	)	$	51,688	$	1,604,284

The column “Leases” includes the

non-cash

additions to ROU and lease liabilities.

For the year ended December 31, 2022 and 2021 the column “Other” includes

non-cash

investing and financing transactions related to the acquisition of new aircraft, and also includes the effect of accrued but not yet paid interest on loans and borrowings.

The Company classifies interest paid as cash flows from operating activities.

For the year ended December 31, 2021, the “Concession

Covid-19”

column discloses the reduction or absence of cash outflows that arise from rent concessions to which the Company has applied the practical expedient.

Trade, other payables and financial liabilities

12 Months Ended

Dec. 31, 2022

Text block [abstract]

Trade, other payables and financial liabilities

19.	Trade, other payables and financial liabilities


	2022		2021
Account payables	$	166,660	$	112,596
Account payables to related parties		1,004		7,948

		167,664		120,544
Others		1,175		786

	$	168,839	$	121,330

See details of the account due to related parties in note 23.

Accrued expenses payable

12 Months Ended

Dec. 31, 2022

Text block [abstract]

Accrued expenses payable

20.	Accrued expenses payable


	2022		2021
Accruals and estimations	$	4,167	$	4,290
Labor related provisions		34,423		23,163
Liability for social security contributions		6,323		5,043
Other		—		271

	$	44,913	$	32,767

As of December 31, 2022 and 2021, accruals and estimations include the estimated balance of the current portion of the long-term provisions (see note 21).

Labor related provisions include a profit-sharing program for both management and

non-management

staff. For members of management, profit-sharing is based on a combination of the Company’s performance as a whole and the achievement of individual goals. Profit-sharing for

non-management

employees is based solely on the Company’s performance. The accrual at

year-end

represents the amount expensed for the current year, which is expected to be settled within 12 months.

Other long-term liabilities

12 Months Ended

Dec. 31, 2022

Text block [abstract]

Other long-term liabilities

21.	Other long-term liabilities


	Provision for litigations			Provision for return condition			Dismantling provision		Other long-term liabilities			Total
Balance at January 1, 2022	$	9,052		$	159,539		$	24,424	$	18,088		$	211,103
Increases		703			20,223			2,133		869			23,928
Used		(61	)		—			—		(4,066	)		(4,127	)
Adjustment		—			(7,381	)		680		(2,338	)		(9,039	)
Effect of movements in exchange rates		531			—			—		—			531
Unused amounts reversed		(318	)		—			—		—			(318	)
Unwinding of discount and changes in the discount rate		—			1,888			819		—			2,707

Balance at December 31, 2022	$	9,907		$	174,269		$	28,056	$	12,553		$	224,785

Current		—			—			—		4,167			4,167
Non-current		9,907			174,269			28,056		8,386			220,618

	$	9,907		$	174,269		$	28,056	$	12,553		$	224,785

Provision for litigation

Provisions for litigation in process and expected payments related to labor legal cases.

The Company is the plaintiff in an action in October 2003 against Empresa Brasileira de Infraestrutura Aeroportuária (“INFRAERO”), Brazil’s airport operator, the legality of the Additional Airport Tariffs (

Adicional das Tarifas Aeroportuárias

, or ATAERO), which is a 50% surcharge imposed on all airlines which fly to Brazil. Similar suits have been filed against INFRAERO by other major airline carriers. In this case, the court of first a second instance ruled in favor of INFRAERO. The Company has paid the amounts due into an escrow account and as of December 31, 2022, the aggregate amount in such account tota

led $

8.2

million

(2021

: $

7.5

million).

During 2023, the Company could be required to release the escrowed fund to INFRAERO once the company receives the formal final notification from de judge and confirmation of the amount. The Company does not, however, expect the release of such amounts could have a material impact on its financial results since these amounts already had been expensed.

Provision for return condition

For operating leases, the Company is contractually obliged to return aircraft in an agreed-upon condition. The Company accrues for return conditions related to aircraft held under operating leases throughout the duration of the lease. The Company does not plan to return aircraft in 2023.

During 2022, the Company adjusted $7.3 million of its provision for return condition due to a renewals of aircraft contracts during 2022.

Dismantling provision

For leases under IFRS 16 the Company recognizes a dismantling provision to estimate the costs for work required to be performed just before the redelivery of the aircraft to the lessors and which does not depend of the aircraft utilization.

Other long-term liabilities

Other long-term liabilities include principally the provision for maintenance which mainly include the accrual of formal agreements with third parties for operational maintenance events. The cost of these agreements is billed by power by the hour and charged to the consolidated statement of profit or loss. As of December 31, 2022, the provision for maintenance amounts to $9.2 million (2021: $14.9 million) and the Company has presented the estimated balance of the current portion of this provision as “Accrued expenses payable” in the consolidated statement of financial position (see note 20).

Other long-term liabilities also include the provision for the

non-compete

agreement created for payment to senior management related to covenants not to compete with the Company in the future (relative to the $3.0 million trust fund). This provision is accounted for as “Other long-term employee benefits” under IAS 19R

Employee benefits

. The accrued amount is revalued annually using the projected benefit method as required by IAS 19R (see note 23 - Compensation of key management personnel).

Income taxes

12 Months Ended

Dec. 31, 2022

Text block [abstract]

Income taxes

22.	Income taxes


	2022			2021			2020
Current taxes expense -
Current period	$	(45,561	)	$	(8,892	)	$	(14,032	)
Adjustment for prior period		626			2,397			162

	$	(44,935	)	$	(6,495	)	$	(13,870	)
Deferred taxes expenses -
Origination and reversal of temporary differences		4,759			(3,991	)		37,587

Total income tax	$	(40,176	)	$	(10,486	)	$	23,717

As of December 31, 2022, the Panamanian subsidiaries calculated income tax in accordance with the traditional method.

In accordance with current tax regulations in Panama, income tax returns are subject to review by the tax authorities for up to the last three (3) years, including the ending period on December 31, 2022.

During the year 2022 and 2021, deferred tax expected to reverse in the next year, has been measured using the effective rate applying for Copa Airlines (25%) and AeroRepública (35%).

The balances of deferred taxes are as follows:


	Statement						Statement of
	of financial position						profit or loss
	2022			2021			2022			2021			2020
Deferred tax liabilities
Maintenance deposits	$	(11,945	)	$	(17,918	)	$	(5,973	)	$	(5,973	)	$	(5,972	)
Prepaid dividend tax		(5,801	)		(2,003	)		3,798			2,003			(7,403	)
Property and equipment		944			1,502			558			606			(5,004	)
Other		(1,738	)		(1,879	)		(141	)		379			(3,190	)
Set off tax		1,969			1,516			(453	)		(423	)		362

	$	(16,571	)	$	(18,782	)	$	(2,211	)	$	(3,408	)	$	(21,207	)
Deferred tax assets
Provision for return conditions	$	9,807		$	8,564		$	(1,243	)	$	4,101		$	(2,570	)
Air traffic liability		2,686			2,462			(224	)		24			(447	)
Other provisions		1,946			2,109			161			(1,485	)		6,202
Tax loss		18,273			16,577			(1,695	)		4,336			(19,203	)
Set off tax		(1,969	)		(1,516	)		453			423			(362	)

	$	30,743		$	28,196		$	(2,548	)	$	7,399		$	(16,380	)

	$	14,172		$	9,414		$	(4,759	)	$	3,991		$	(37,587	)

At December 31, 2022, the deferred tax assets include tax losses carried forward of $11.4 million in Copa Airlines and $6.9 million in AeroRepública (December 2021: $10.5 million and $6.0 million respectively). The Company has concluded that the deferred assets will be recoverable using the estimated future taxable income based on the approved business plans for the subsidiary. Tax losses in Panama can be used for 5 years from the year the loss is incurred. The Company started utilizing these losses in 2021 and plans to continue using them until 2025. The Company plans to use the tax losses of AeroRepública within the next two years.

Reconciliation of the effective tax rate is as follows:


	Tax rate			2022			Tax rate			2021			Tax rate			2020
Net profit (loss)				$	348,054					$	43,844					$	(607,062	)
Total income tax expense					40,176						10,486						(23,717	)

Profit (loss) excluding income tax					388,230						54,330						(630,779	)

Income taxes at Panamanian statutory rates		25.0	%		97,057			25.0	%		13,583			25.0	%		(157,695	)

Stations - Taxable / Panama		(16.8	%)		(65,384	)		15.4	%		8,379			(13.2	%)		83,071
Stations - Taxable / Non Panama		0.2	%		945			10.3	%		5,605			(1.5	%)		9,850
Stations - Non Taxable / Non Panama		(2.3	%)		(8,961	)		(27.0	%)		(14,684	)		(5.3	%)		33,728
Dividend tax		4.4	%		17,145			0.0	%		—			(1.2	%)		7,491
Over provided in prior periods		(0.1	%)		(626	)		(4.4	%)		(2,397	)		0.0	%		(162	)

Provision for income taxes		10.4	%	$	40,176			19.3	%	$	10,486			3.8	%	$	(23,717	)

Accounts and transactions with related parties

12 Months Ended

Dec. 31, 2022

Text block [abstract]

Accounts and transactions with related parties

23.	Accounts and transactions with related parties


	2022		2021
Account receivable -
Banco General, S.A.	$	1,960	$	1,589
Panama Air Cargo Terminal		208		217
Petróleos Delta, S.A.		—		26

	$	2,168	$	1,832

Account payable -
Petróleos Delta, S.A.	$	—	$	7,677
Assa Compañía de Seguros, S.A.		765		196
Desarrollos Inmobiliarios del Este, S.A.		51		37
Panama Air Cargo Terminal		141		11
Galindo, Arias & López		28		17
Motta Internacional, S.A.		14		7
Millicom Tigo Panamá, S.A.		—		3
GBM International, Inc.		5		—

	$	1,004	$	7,948

Transactions with related parties for the year ended December 31 are as follows:


		Amount of transaction			Amount of transaction			Amount of transaction
Related party	Transaction	2022			2021			2020
Petróleos Delta, S.A.	Purchase of jet fuel	$	—		$	190,628		$	102,702
ASSA Compañía de Seguros, S.A.	Insurance		10,157			9,713			7,147
Desarrollo Inmobiliario del Este, S.A.	Property leasing		2,989			3,384			3,301
Profuturo Administradora de Fondos de Pensión y Cesantía	Payments		3,911			2,565			2,839
Panama Air Cargo Terminal	Handling		4,116			3,193			2,037
Motta International	Purchase		812			108			550
Galindo, Arias & López	Legal services		530			170			236
GBM International, Inc.	Technological support		50			102			146
Global Brands, S.A.	Purchase		60			31			31
Televisora Nacional, S.A.	Communications		—			—			13
Banco General, S.A.	Interest income	$	(829	)	$	(1,546	)	$	(2,657	)

Banco General, S.A.:

The Company’s controlling shareholders have a vote and a decision within the board of directors of BG Financial Group, which is the controlling company of Banco General. Likewise, Banco General, S. A. owns ProFuturo Administradora de Fondos de Pensión y Cesantía S.A., which manages the Company’s reserves for pension purposes. As of December 31, 2022 Company has interest receivable

by $

0.1

million (2021: $

0.9

million) due to short and long term time deposits in this

financial institution.

Also Banco General it is a non air partner of the Copa’s loyalty program “ConnectMiles”. During, 2022 the Company sales miles to Banco General for $18.9 million (2021: $13.8 million, 2020: $10.7 million).

Petróleos Delta, S.A.:

Since 2005, the fuel company entered into a contract with the Company to meet its jet fuel needs. Until 2021, various member of the Company’s Board of Directors were shareholder of Petróleos Delta, S.A. As of December 2022 those individuals are no longer members of the Company’s Board. Therefore, Petroleos Delta is not longer a related party.

ASSA Compañía de Seguros, S. A.:

An insurance company that provides substantially all of the Company’s insurance policies. While the Company’s controlling shareholders do not hold a controlling equity interest in ASSA

Compañía de Seguros, S. A

, various members of the Company’s Board of Directors are also board members of ASSA Compañía de Seguros, S. A.

Desarrollo Inmobiliario del Este, S. A.:

The Company leases four floors consisting of approximately 105,981

square feet of the building from Desarrollo Inmobiliario, an entity controlled by the same group of investors that controls Corporación de Inversiones Aéreas, S. A. (“CIASA”). CIASA owns 100% of the class B shares of the Company. This contract is a lease contract under IFRS 16.

Panama Air Cargo Terminal:

Provides cargo and courier services in Panama, an entity controlled by the same group of investors that controls CIASA.

Motta Internacional, S.A. & Global Brands, S. A.:

The Company purchases most of the alcohol and other beverages served on its aircraft from Motta Internacional, S. A. and Global Brands, S. A., both of which are controlled by the Company’s controlling shareholders.

Millicom Tigo Panamá, S.A.:

The Company is responsible for providing television and internet broadcasting services in Panama. Until 2021, a member of the Company’s Board of Directors was shareholder of Millicom Tigo Panamá, S.A. As of December 2022, this company is not longer a related party.

Galindo, Arias

& López:

Certain partners of Galindo, Arias & López (a law firm) are indirect shareholders of CIASA and serve on the Company’s Board of Directors.

GBM International, Inc.:

Provides systems integration and computer services, as well as technical services and enterprise management. A member of the Company’s Board of Directors is shareholder of GBM International, Inc.

Televisora Nacional, S.A.:

This Panamanian television channel provides broadcasting services. A member of the Company’s Board of Directors is a shareholder of Televisora Nacional, S. A

Compensation of key management personnel

Key management personnel compensation is as follows:


	2022		2021		2020
Short-term employee benefits	$	2,901	$	2,748	$	3,177
Post-employment pension		56		53		61
Share-based payments		318		1,083		2,362

	$	3,275	$	3,884	$	5,600

The Company has not set aside any additional funds for future payments to executive officers, other than one pursuant to a

non-compete

agreement for $3.0 million established in 2006 (see note 21).

Equity

12 Months Ended

Dec. 31, 2022

Text block [abstract]

Equity

24.

Equity

Common stock

The authorized capital stock consists of 80 million shares of common stock without par value, divided into Class A shares, Class B shares, and Class C shares. As of December 31, 2022, the Company had 34,033,575 Class A shares issued (2021: 33,998,654) and 28,477,704 shares outstanding (2021:

30,995,120)

, 10,938,125 Class B shares issued and outstanding (2021: 10,938,125) and no Class C shares outstanding. Class A and Class B shares have the same economic rights and privileges, including the right to receive dividends.

•

Class A shares

The holders of the Class A shares are not entitled to vote at our shareholders’ meetings, except in connection with the following specific matters: (i) a transformation of the Company into another corporate type; (ii) a merger, consolidation, or

spin-off

of the Company, (iii) a change of corporate purpose; (iv) voluntarily delisting Class A shares from the NYSE; (v) and any amendment to the foregoing special voting provisions adversely affecting the rights and privileges of the Class A shares.

•

Class B shares

Every holder of Class B shares is entitled to one vote per share on all matters for which shareholders are entitled to vote. The Class B shares may only be held by Panamanians, and upon registration of any transfer of a Class B share to a holder that does not certify that it is Panamanian, such Class B share shall automatically convert into a Class A share.

Transferees of Class B shares will be required to deliver to the Company a written certification of their status as Panamanian as a condition to registering the transfer to them of Class B shares.

•

Class C shares

The Independent Directors Committee of the Board of Directors, or the Board of Directors as a whole if applicable, is authorized to issue Class C shares to the Class B holders pro rata in proportion to such Class B

holders’ ownership of Copa Holdings. The Class C shares will have no economic value and will not be transferable except to Class B holders, but will possess such voting rights as the Independent Directors Committee shall deem necessary to ensure the effective control of the Company by Panamanians.

The Class C shares will be redeemable by the Company at such time as the Independent Directors Committee determines that such a triggering event shall no longer be in effect. The Class C shares will not be entitled to any dividends or any other economic rights.

Class A shares are listed on the NYSE under the symbol “CPA” The Class B shares and Class C shares will not be listed on any stock exchange unless the Board of Directors determines that it is in the best interest of the Company to list the Class B shares on the Panama Stock Exchange.

Dividends

The payment of dividends on shares is subject to the discretion of the Board of Directors. Under Panamanian law, the Company may pay dividends only out of retained earnings and capital surplus. The Articles of Incorporation provides that all dividends declared by the Board of Directors will be paid equally with respect to all of the Class A and Class B shares.

In February 2016, the Board of Directors of the Company approved to change the dividend policy to base the calculation of the payment of yearly dividends to shareholders in an amount of up to 40% of the prior year’s annual consolidated underlying net income, distributed in equal quarterly installments upon board ratifications.

On April 26, 2020 the Board of Directors postponed dividend payments given the uncertainty related to the

Covid-19

pandemic. As of December 31, 2021 and 2022, the decision remains.

Treasury stock

When shares recognized as equity are repurchased, the amount of the consideration paid, which includes directly attributable cost net of any tax effects, is recognized as a deduction from equity and presented separately in the balance sheet. When treasury shares are sold or reissued subsequently, the amount received is recognized as an increase in equity, and the resulting surplus or deficit on the transaction is presented within share premium.

Since treasury stock is not considered outstanding for share count purposes, it is excluded from average common shares outstanding for basic and diluted earnings per share.

In November, 2014, the Board of Directors of the Company approved a $250 million share repurchase program. Subsequently, during the second quarter of 2022, the Board approved the expansion of the current shares repurchase program by $200.0 million. Purchases will be made from time to time, subject to market and economic conditions, applicable legal requirements, and other relevant factors.

A summary of the repurchased shares for the Company as of December 31, 2022 is as follows:


	Shares		Cash paid (in thousands)
2014		182,592	$	(18,506	)
2015		2,127,900		(117,882	)
2021		559,025		(40,514	)
2022		2,571,917		(167,639	)

		5,441,434	$	(344,541	)

Share-based payments

12 Months Ended

Dec. 31, 2022

Text block [abstract]

Share-based payments

25.	Share-based payments

The Company has established equity compensation plans under which it administers restricted stock, stock options, and certain other equity-based awards to attract, retain, and motivate executive officers, certain key employees, and

non-employee

directors to compensate them for their contributions to the growth and profitability of the Company. Shares delivered under this award program may be sourced from treasury stock, or authorized unissued shares.

The Company’s equity compensation plans are accounted for under IFRS 2

Share-Based Payment

(“IFRS 2”). IFRS 2 requires companies to measure the cost of employee services received in exchange for an award of equity instruments based on the grant-date fair value of the award or at fair value of the award at each reporting date, depending on the type of award granted. The resulting cost is recognized over the period during which an employee is required to provide service in exchange for the award, which is usually the vesting period.

The total compensation cost recognized for

non-vested

stock and options awards amounts to $5.2 million, $7.1 million, and $5.3 million in 2022, 2021, and 2020, respectively, and was recorded as a component of “Wages, salaries, benefits and other employees’ expenses” within operating expenses.

Non-vested

Stock

The Company approved a

non-vested

stock bonus award for certain executive officers of the Company.

A summary of the terms and conditions, properly approved by the Compensation Committee of our Board of Directors, relating to the grants of the

non-vested

stock award under the equity compensation plan is as fol

low


Grant date	Number of instruments	Vesting conditions	Contractual life
February, 2016	147,000	15% first three anniversaries 25% fourth 30% fifth anniversary	5 years
February, 2016	63,000	Fifth anniversary	5 years
February, 2018	21,556	7% first month 31% first three anniversaries	3 years
February, 2018	14,379	33% first three anniversaries	3 years
February, 2018	1,316	15% first three anniversaries 25% fourth 30% fifth anniversary	5 years
July, 2018	6,104	Third anniversary	3 years
February, 2019	15,951	1% first month 33% first three anniversaries	3 years
June, 2019	9,256	33% first three anniversaries	3 years
June, 2019	977	33% first three anniversaries	3 years
August, 2019	1,039	33% first three anniversaries	3 years
December, 2019	1,724	100% first anniversary	1 year
February, 2020	24,650	1% first month 33% first three anniversaries	3 years
December, 2020	3,551	100% first anniversary	1 year
February, 2021	32,852	20% first five anniversaries	5 years
February, 2021	103,802	33% first three anniversaries	3 years
April, 2021	1,145	33% first three anniversaries	3 years
February, 2022	13,943	33% first three anniversaries	3 years
June, 2022	20,368	33% first three anniversaries	3 years
June, 2022	994	33% first three anniversaries	3 years

Non-vested

stock awards were measured at their fair value on the grant date. For the 2022 grants, the fair value of these

non-vested

stock awards amounts to $71.59 per share (2021: $85.31).

A summary of the

non-vested

stock award activity under the plan as of December 31, 2022, 2021 and 2020 with changes during these years is as follows (in number of shares):


	2022			2021			2020
Non-vested as of January 1		157,823			153,921			211,205
Granted		35,305			137,799			28,201
Vested		(54,501	)		(132,880	)		(83,409	)
Forfeited		(384	)		(1,017	)		(2,076	)

Non-vested as of December 31		138,243			157,823			153,921

The Company uses the accelerated attribution method to recognize the compensation cost for awards with graded vesting periods. The Company estimates that the remaining compensation cost, not yet recognized for the

non-vested

stock awards, amounts to $3.7 million (2021: $6.3 million), with a weighted average remaining contractual life of 2.2 years (2021: 2.6 years). Additionally, the Company estimates that the 2023 compensation cost related to these plans amounts to $2.7 million.

The Company plans to make additional equity-based awards under the plan from time to time, including additional

non-vested

stock and stock option awards. The Company anticipates that future employee

non-vested

stock and stock option awards granted pursuant to the plan will generally vest over a three to five-year period and the stock options will carry a

ten-year

term.

Earnings per share

12 Months Ended

Dec. 31, 2022

Text block [abstract]

Earnings per share

26.	Earnings per share

Basic earnings per share amounts are calculated by dividing the net profit for the year attributable to ordinary equity holders of the parent by the weighted average number of shares outstanding during the year, increased by the number of

non-vested

dividend participating share-based payment awards outstanding during the period.

Diluted earnings per share amounts are calculated by dividing the net profit (loss) attributable to ordinary equity holders of the parent by the weighted average number of ordinary shares outstanding during the year plus the weighted average number of ordinary shares that would be issued on conversion of all the dilutive potential ordinary shares into ordinary shares, when the effect of their inclusion is dilutive (decreases earnings per share or increases loss per share).

The computation of the income (losses) and share data used in the basic and diluited earnings per share is as follows:


	2022			2021		2020
Basic earnings per share—
Net profit (loss)	$	348,054		$	43,844	$	(607,062	)
Weighted-average shares outstanding		40,445			42,439		42,338
Non-vested dividend participating awards		136			162		170

		40,581			42,601		42,508

		8.58			1.03		(14.28	)

Diluted earnings per share—
Net profit (loss)	$	348,054		$	43,844	$	(607,062	)
Interest on convertible senior notes		42,403			—		—
Net change in fair value of derivatives		(17,189	)		—		—

Net profit (loss) income adjusted for the effect of dilution		373,268			43,844		(607,062	)
Weighted-average shares outstanding		40,581			42,601		42,508
Convertible shares		6,775			—		—

		47,356			42,601		42,508

		7.88			1.03		(14.28	)

At December 31, 2021 and 2020, 6.7 million of shares of potential ordinary shares related to the convertible notes issued on 2020 and its related expenses, were excluded from the calculation of diluted earnings per share, because their effect was antidilutive. Details relating to the notes are set out in note 18.

Commitments and contingencies

12 Months Ended

Dec. 31, 2022

Text block [abstract]

Commitments and contingencies

27.	Commitments and contingencies

Purchase contracts

As of December 31, 2022, the Company had one purchase contract with Boeing entailing sixty six (66)

firm orders of Boeing 737 MAX aircraft, agreed to be delivered between 2023 and 2028. Also, the Company has agrees to purchase and take delivery between 2023 and 2028, 6 LEAP-1B spare Engines from CFM International.

The aircraft and engines contractual obligations net of discounts and

pre-delivery

payments, including estimated amounts for contractual price escalation, are as follows:


Year ending December 31,
2023		423,579
2024		634,353
2025		494,232
2026		526,425
2027		533,922
2028		415,075

	$	3,027,586

As of December 31, 2022, the Company has paid $720.5 million (2021: $469.4 million) in predelivery deposits related to the purchase contract with Boeing for the 737 MAX aircraft.

From March 2019 to November 18, 2020, the Federal Aviation Administration (FAA) grounded all U.S. registered Boeing 737 MAX aircraft an action that was followed by most of the world’s aviation regulators, including Panamanian aviation regulators. As a consequence, during February 2021, the Company reached an

agreement with Boeing regarding compensation related to the Boeing 737 MAX grounding. As part of the agreement, the Company received compensation in the form of certain credits concurrent with future aircraft deliveries and other considerations, including a revised delivery stream.

Labor unions

Approximately 65.4% of the Company’s 7,265 employees are unionized. There are currently nine (

) union organizations, five (

) covering employees in Panama, and four (

) covering employees in Colombia. The Company traditionally had good relations with its employees and with all the unions and expects to continue to enjoy good relations with its employees and the unions in the future.

The five (5) unions covering employees in Panama include the pilots’ union (UNPAC); the flight attendants’ union (SIPANAB); the mechanics’ union (SITECMAP), the industry union (SIELAS), which represents ground personnel, messengers, drivers, passenger service agents, counter agents, and other

non-executive

administrative staff, and other industry union named UGETRACA which represents ground personnel and flight attendants.

Copa Airlines entered into collective bargaining agreements with the industry union in April 2022, the mechanics’ union in May 2022. As of December 31, 2022, Copa Airlines is in negotiations for new collective agreements for the flight attendants’ union and de pilot union. Copa Airlines does not have a collective bargain agreement negotiated with UGETRACAS because they do not have the eligible amount of employees.

Collective bargaining agreements in Panama typically have terms of four years.

The four (4) unions covering employees in Colombia are: the pilots’ union (ACDAC), the flight attendants’ union (ACAV), the industry union (SINTRATAC), the mechanics’unionmechanics ‘union (ACMA), approximately 31.8% of the Company’s 645 employees are unionized.

AeroRepública entered

into collective bargaining with ACDAC and ACAV in January 2018. ACDAC has not yet resolved and ACAV ended with a new arbitration collective document for two years that expired in September 2020. This new arbitration was automatically extended until March 2023. Additionally, SINTRATAC and Copa entered into collective bargaining agreement in September 2022 for terms of four years until August 2026. Negotiations with ACMA were resolved by arbitration on December 31, 2015, extending the validation every 6 months from this date, until December, 2022. ACMA has not presented a new bill of petition.

Typically, collective bargaining agreements in Colombia have terms of

two

three years

. Although AeroRepública usually settles many of its collective bargaining agreement negotiations through arbitration proceedings, it has traditionally experienced good relations with its unions.

In addition to unions in Panama and Colombia, the Company’s employees in Brazil are covered by industry union agreements that cover all airline industry employees in the country and airport employees in Argentina are affiliated to an industry union (UPADEP).

Lines of credit for working capital and letters of credit

The Company maintained letters of credit with several banks with a value of $32.3 million as of December 31, 2022 (2021: $20.2 million). These letters of credit are pledged mainly for operating lessors, maintenance providers and airport operators.

The Company has aggregate credit facilities of $355.0 million (2021: 345.0 million), of which $295.0 million are unsecured

and secured

credit facilities and $60.0 million are structured a secured revolving credit facility. These credit facilities are in place for contingency and working capital purposes. As of December 31, 2022, the Company does not have any outstanding borrowings under these credit facilities.

Tax audit

The Company received notifications from the tax authorities in Panama on February 2020 and in Colombia on November 2020 and March 2016. The Company, along with its tax advisors, has concluded that it is not probable that an outflow of resources embodying economic benefits will be required to settle them, especially considering that the Company has enough arguments to support its position and also taking into consideration that both cases are in the preliminary stages.

In February 2020, the Company received two notifications from the tax authority in Panama related to a tax audit process that began in 2019. The notification includes potentially significant adjustments to the reported dividend tax for the years 2012 to 2016 and income tax 2016. The Company has filed an administrative appeal which is the first legal stage under Panamanian laws. The Company, along with its tax advisors, has concluded that is probable that the Company’s tax position will be upheld. As a result, is not probable that the Company will incur any significant additional tax as result. According to Panamanian laws, the statute of limitations is 3 and 15 years for income tax and dividend tax, respectively.

Aircraft incident

On 26 September 2022, one of the Company’s Boeing

737-800

aircraft came off the runway while landing at Tocumen International Airport in Panama. Surveyors are in the process of assessing the extended of the damages of the two engines

CFM56-7B.

The event is covered by the Company’s insurance policy. Reimbursement will be requested from the insurers once the damage has been assessed. As of December 31, 2022, the Company is unable to estimate the incremental cost relating to reparation of the engines.

As December 31, 2022, the Company has recognized and asset for reimbursement within other current assets, corresponding to the repair of the aircraft’s airframe (see note 17).

Financial instruments-Risk management and fair value

12 Months Ended

Dec. 31, 2022

Text block [abstract]

Financial instruments—Risk management and fair value

28.	Financial instruments—Risk management and fair value

In the normal course of its operations, the Company is exposed to a variety of financial risks: market risk (especially cash flow, currency, commodity prices and interest rate risk), credit risks and liquidity risk.

In terms of equity, the Company’s objectives when managing equity are to safeguard the Company’s ability to continue as a going concern in order to provide returns for shareholders and benefits for other stakeholders and to maintain an optimal equity structure to reduce the cost of capital.

The Company has established risk management policies to minimize potential adverse effects on the Company’s financial performance:

28.1	Fuel price risk

The Company has risks that are common in its industry, related to the price level of aircraft fuel, which can significantly affect its operations, financial position and liquidity.

In the past the Company has entered into financial derivative contracts in an effort to mitigate this risk, but with inconsistent results. The Company has not entered into new fuel hedge contracts, and has adopted a new strategy of remaining unhedged, while regularly reviewing its policies based on market conditions and others factors. As of December 31, 2022 and 2021, the Company did not have any outstanding fuel hedge contracts.

Fuel price risk is estimated as a hypothetical 10% increase in the December 31, 2022 cost per gallon of fuel. Based on projected 2023 fuel consumption, such an increase would result in an increase to aircraft fuel expense of approximately $101 million in 2023 (unaudited).

28.2	Market risk

Equity price risk

The Company’s listed and

non-listed

equity investments are susceptible to market price risk arising from uncertainties about future values of the investment securities. The Company manages the equity price risk through diversification and by placing limits on individual and total equity instruments. Reports on the equity portfolio are submitted to the Company’s senior management on a regular basis. The Company’s Board of Directors reviews and approves all equity investment decisions. At the reporting date, the exposure on investments at fair value is $95.5 million (2021: 124.7 million).

Foreign currency risk

Foreign exchange risk is originated when the Company performs transactions and maintains monetary assets and liabilities in currencies that are different from the functional currency of the Company. Assets and liabilities in foreign currency are translated using the exchange rates at the end of the period, except for

non-monetary

assets and liabilities that are translated at the equivalent cost of the U.S. dollar at the acquisition date and maintained at the historical rate. The results of foreign operations are translated using the average exchange rates that were in place during the period. Gains and losses deriving from exchange rates are included within “(Loss) Gain on foreign currency fluctuations” in the consolidated statement of profit or loss.

The majority of the Company’s obligations are denominated in U.S. dollars. Since Panama uses the U.S. dollar as legal tender, the majority of the Company’s operating expenses are also denominated in U.S. dollars, approximately 63.3% of revenues and 77.3% of expenses. A significant part of our revenue is denominated in foreign currencies, including the Colombian peso, Brazilian real, Argentinian peso, and Chilean peso, which represented 12.1%, 8.0%, 4.6% and 3.2%, respectively (2021: 13.6%, 8.1%, 2.0% and 1.79% respectively).

Generally, the Company’s exposure to most of these foreign currencies, is limited to the period of up to two weeks between the completion of a sale and the conversion to U.S. dollar. The following chart summarizes the Company’s foreign currency risk exposure (assets and liabilities denominated in foreign currency) as of December 31:


	2022		2021
Assets
Cash and cash equivalents	$	13,546	$	10,848
Accounts receivable, net		48,900		50,103
Other assets		20,605		17,811

Total assets	$	83,051	$	78,762
Liabilities
Accounts payable		16,969		35,948
Taxes payable		38,303		25,827
Other liabilities		13,465		12,239

Total liabilities	$	68,737	$	74,014

Net position	$	14,314	$	4,748

From time to time the Company enters into factoring agreements on receivables outstanding on credit card sales in certain countries.

28.3	Credit risk

Credit risk is the risk that a counterparty will not meet its obligations under a financial instrument or customer contract, leading to a financial loss. The Company is exposed to credit risk from its financing activities, including deposits with banks and investments in financial instruments and from its accounts receivable. IFRS 9 requires the Company to recognize an allowance for ECLs for all financial assets not held at fair value through profit or loss.

The carrying amounts of financial assets represent the maximum credit risk.

Short and long-term investments

To mitigate the credit risk arising from deposits in bank, the Company only conducts business with financial institutions that have an investment grade above

BBB-

from Standard & Poor’s and liquidity indicators aligning with or above the market average. For the investments in financial instruments, different from deposits in bank, the Company requires a grade above

A-

from Standard & Poor’s.

The Company has established a policy to perform an assessment, at the end of each quarterly reporting period, of whether a financial instrument’s credit risk has increased significantly since initial recognition, by monitoring changes in credit risk ratings published by Standard & Poor’s.

As the financial instruments are considered to be low risk, the impairment provision is determined at

12-month

ECLs using the general approach as prescribed by IFRS 9.

The movement in the allowance for impairment for short and long-term investments at amortized cost for the year ended December 31 was as follows:


	2022			2021
Balance at beginning of year	$	(1,312	)	$	(1,217	)
(Additions)/Reversal		(1,643	)		(95	)

Balance at end of year	$	(2,955	)	$	(1,312	)

Accounts receivable

Regarding credit risk originating from commercial accounts receivable, the Company does not consider it significant since most of the accounts receivable can be easily converted into cash, usually in periods no longer than one month. The risk is managed by each business unit subject to the Company’s established policy, procedures and control relating to customer credit risk management. Specific credit limits and payment terms have been established according to periodic analysis of the client’s payment capacity.

A considerable amount of the Company’s tickets sales are processed through major credit cards, resulting in accounts receivable that are generally short-term and usually collected before revenue is recognized. The Company considers that the credit risk associated with these accounts receivable is controllable based on the industry’s trends and strong policies and procedures established and followed by the Company.

As a result of the previously explained, the Company evaluates the concentration of risk with respect to trade receivables as low.

An impairment analysis is performed at each quarterly reporting date using a provision matrix to measure expected credit losses. Loss rates are calculated using a ‘roll rate’ method based on the probability of a receivable progressing through successive stages of delinquency to

write-off.

To measure the ECLs, trade receivables have been grouped based on shared credit risk characteristics and the day past due.

Although the Company evaluates the concentration of risk with respect to trade receivables as low, and its customers are located in several jurisdictions and operate in largely independent markets, some of them have been affected by

Covid-19

to a greater degree than others and therefore be exposed to different risks of default. As a consequence, forward-looking information includes one or more downside scenarios related to the spread of Covid 19, specifically with respect to the categories “Government” and “Cargo and other travel agencies”.

Set out below is the information about the credit risk exposure on the Company’s trade receivables using a provision matrix as of December 31:


	2022
			Days past due
	Total		Current			<30			30-60			60-90			>90
Expected credit loss rate				0.0	%		5.9	%		13.1	%		30.5	%		57.3	%
Gross carrying amount	$	145,273	$	127,412		$	2,877		$	2,134		$	545		$	12,305
Expected credit loss	$	7,690	$	28		$	170		$	279		$	166		$	7,047


	2021
			Days past due
	Total		Current			<30			30-60			60-90			>90
Expected credit loss rate				0.0	%		3.2	%		3.4	%		13.5	%		51.2	%
Gross carrying amount	$	100,015	$	77,995		$	3,157		$	4,080		$	658		$	14,125
Expected credit loss	$	7,565	$	9		$	100		$	139		$	89		$	7,228

28.4	Interest rate and cash flow risk

The income and operating cash flows of the Company are substantially independent of changes in interest rates, because the Company does not have significant assets that generate interest except for surplus cash and cash equivalents and short and long-term investments.

Interest rate risk originates mainly from long-term debt related to aircraft financing. These long-term lease payments at variable interest rates expose the Company to cash flow risk. The Company mitigates this risk by entering into fixed rate financing agreements in at least half of its outstanding debt.

As of December 31, 2022, fixed interest rates range from 1.73% to 3.95%, and the main floating rate is LIBOR.

The Company’s earnings are affected by changes in interest rates primarily due to the impact of those changes on interest expenses from variable-rate debt instruments. As of December 31, 2022 we had $983.1 million of fixed-rated debt and $191.1 million of variable-rated debt. If the interest rate average is 100 basis points more in 2022, the variable-rate debt interest expense would increase by approximately $1.9 million, and the estimated fair value of the fixed-rate debt would decrease– by approximately $16.6 million. These amounts are determined by considering the impact of the hypothetical interest rates on the variable-rate debt and marketable securities equivalent balances at December 31, 2022.

28.5	Liquidity risk

The Company’s policy requires having sufficient cash to fulfill its obligations. The Company maintains sufficient cash on hand and in banks or cash equivalents that are highly liquid. The Company also has credit lines in financial institutions that allow it to withstand potential cash shortages to fulfill its short-term commitments (see note 27).

The table below summarizes the Company’s financial liabilities according to their maturity date. The amounts in the table are the contractual undiscounted cash flows. Balances due within twelve months equal their carrying balances as the impact of discounting is not significant.

December 31, 2022


	Note		Carrying amount		Contractual cash flow		Less than twelve months		Between 1 and 4 years		More than 4 years
Non-derivative financial liabilities
Loans and borrowings		18	$	1,444,303	$	1,538,467	$	167,759	$	920,846	$	449,862
Lease liabitity		14		238,373		341,847		106,076		195,253		40,518
Account payable		19		166,660		166,660		166,660		—		—
Account payable to related parties		19		1,004		1,004		1,004		—		—

			$	1,850,340	$	2,047,978	$	441,499	$	1,116,099	$	490,380

December 31, 2021


	Note		Carrying amount		Contractual cash flow		Less than twelve months		Between 1 and 4 years		More than 4 years
Non-derivative financial liabilities
Loans and borrowings		18	$	1,425,633	$	1,549,887	$	228,272	$	895,620	$	425,995
Lease liabitity		14		178,651		217,526		89,413		123,434		4,679
Account payable		19		112,596		112,596		112,596		—		—
Account payable to related parties		19		7,948		7,948		7,948		—		—

			$	1,724,828	$	1,887,957	$	438,229	$	1,019,054	$	430,674

28.6	Fair value measurement

Set out below is a comparison, by class, of the carrying amounts and fair values of the Company’s financial instruments, other than those with carrying amounts that are reasonable approximations of fair values:


			Carrying amount				Fair Value
	Note		2022		2021		2022		2021
Financial assets
Long-term investments		9		202,056		199,670		201,061		199,082
Financial liabilities
Loans and borrowings		18		1,444,303		1,425,633		1,559,435		1,549,934

The fair value of the financial assets and liabilities is the amount at which the instrument could be exchanged in a current transaction between willing parties, other than in a forced or liquidation sale.

The management assessed that the fair values of cash and short-term investments, accounts receivables, account payable and other current liabilities approximate their carrying amounts largely due to the short-term maturities of these instruments.

The following methods and assumptions were used to estimate the fair values:

•

The fair values of the quoted notes and bonds are based on price quotations at the reporting date Debt obligations, financial assets, and financial liabilities are estimated by discounting future cash flows using the Company’s current incremental borrowing for a similar liability.

•

Asset held for sale was determined considering observable quoted prices, in active markets adjusted by the costs to disposal estimated by the Company.

•

Derivative financial instruments is valued by the Company, using a Least Square Monte Carlo pricing method by modelling the different triggers under which the notes can be converted. The market data used to calibrate the model are historical volatility measures based on stock prices of the Company obtained from Bloomberg and a

zero-coupon

interest rate curve in US$ (US$ Libor 3m Swap curve).

The following chart summarizes the Company’s financial instruments measured at fair value, classified according to the valuation method:


	Fair value measurement as of reporting date
	2022		Quoted prices in active markets (Level 1)		Significant observable inputs (Level 2)		Significant unobservable inputs (Level 3)
Recurring fair value measurements
Assets
Investment fund		95,474		95,474		—		—

Total assets	$	95,474	$	95,474	$	—	$	—

Liabilities
Derivative financial instruments		251,150		—		251,150		—

Total liabilities	$	251,150	$	—	$	251,150	$	—


	Fair value measurement as of reporting date
	2021		Quoted prices in active markets (Level 1)		Significant observable inputs (Level 2)		Significant unobservable inputs (Level 3)
Recurring fair value measurements
Assets
Investment fund		124,726		124,726		—		—

Total assets	$	124,726	$	124,726	$	—	$	—

Liabilities
Derivative financial instruments		268,338		—		268,338		—

Total liabilities	$	268,338	$	—	$	268,338	$	—

Subsequent events

12 Months Ended

Dec. 31, 2022

Text block [abstract]

Subsequent events

29.	Subsequent events

New collective bargainings

During the first quarter of 2023, Copa Airlines reached an agreement for the new collective bargaining agreements with the pilots’ union UNPAC and for the flight attendants’ union SIPANAB, for the period

2023-2027.

Dividends

On March 22, 2023, the Board of Directors of Copa Holdings approved a 2023 dividend of $0.82 cents per share per quarter, corresponding to 40% of the adjusted consolidated net income of 2022. Proposed dividends are subject to board ratification each quarter, and are not recognized as a liability as at December 31, 2022.

Significant accounting policies (Policies)

12 Months Ended

Dec. 31, 2022

Text block [abstract]

Basis of consolidation

(a)

Basis of consolidation

•

power over the investee,

•

exposure, or rights to, variable returns from its involvement with the investee, and

•

the ability to use its power over the investee to affect its returns.

The following are the significant subsidiaries included in these financial statements:


	Country of Incorporation	Ownership interest
Name	Country of Incorporation	2022			2021
Copa Airlines	Panama		99.9	%		99.9	%
AeroRepublica	Colombia		99.9	%		99.9	%
Oval	British Virgin Islands		100	%		100	%
LNA	Panama		100	%		100	%

Current versus non-current classification

(b)

Current versus

non-current

classification

The Company presents assets and liabilities in the statement of financial position based on

current/non-current

classification.

An asset is current when it is:

•

expected to be realized or intended to be sold or consumed in the normal operating cycle

•

expected to be realized within twelve months after the reporting period, or

•

cash or cash equivalent, unless restricted.

All other assets are classified as

non-current.

A liability is current when:

•

it is expected to be settled in the normal operating cycle

•

it is due to be settled within twelve months after the reporting period, or

•

there is no unconditional right to defer the settlement of the liability for at least twelve months after the reporting period.

The Company classifies all other liabilities as

non-current.

Deferred tax assets and liabilities are classified as

non-current

assets and liabilities.

Foreign currencies

(c)

Foreign currencies

Transactions and balances

Transactions in foreign currencies are initially recorded by the Company at the respective functional currency spot rates on the date when the transaction first qualifies for recognition.

Monetary assets and liabilities denominated in foreign currencies are translated at the functional currency spot exchange rate at the reporting date.

Non-monetary

items that are measured in terms of historical cost in a foreign currency are translated using the exchange rates at the dates of the initial transactions.

Foreign exchange gains and losses are included in the exchange rate difference line in the consolidated statement of profit or loss for the year.

Revenue recognition

(d)

Revenue recognition

Passenger revenue

Passenger revenue is primarily composed of passenger ticket sales, frequent flyer miles redeemed and ancillaries revenues associated with a passenger’s flight.

•

Passenger tickets

The unused tickets expire after one year, and any revenue associated with tickets sold for future travel is recognized within 12 months.

Since 2020, in response to

Covid-19

and

for those

tickets which were scheduled to expire before June 2021, the Company established a new commercial policy that extended the tickets expiration to June 30, 2022.

Denied boarding compensation made to customers for voluntarily or involuntarily denied boarding reduces revenue when the voucher is issued to the passenger.

•

Frequent flyer program

non-airline

partners and

co-branded

credit cards. The miles or points earned can be exchanged for flights on Copa or any of other Star Alliance partners’ airlines.

•

Ancillaries revenues

Cargo and mail revenue

Cargo and mail revenue is recognized when the Company provides and completes the shipping services as requested by the client and the risks on the merchandise and goods are transferred.

Other operating revenue

Other operating revenue includes revenue associated with the marketing component of the frequent flyer program. This revenue is comprised of the marketing component of mileage sales to

co-branded

card, other partners and other marketing related payments.

The Company sells miles to

non-airline

businesses with which it has marketing agreements. The main contracts to sell miles are related to

co-branded

The remaining amounts included within other revenue are related to lease income, advertising and vacation-related services.

Cash and cash equivalents

(e)

Cash and cash equivalents

The Company evaluates the term and conditions relating to its restricted cash to determine where it should be presented, as current assets in cash and cash equivalents or as

non-current

assets in long-term investments.

As of December 31, 2022 and 2021, the Company cash position is comprise from cash on hand and in banks.

Financial instruments

(f)

Financial instruments

A financial instrument is any contract that gives rise to a financial asset of one entity and a financial liability or equity instrument of another entity.

Financial assets

The Company’s financial assets include cash and cash equivalents, short and long-term investments and accounts receivable.

(i)

Initial recognition and measurement

Financial assets are classified, at initial recognition, as subsequently measured at amortized cost, fair value through other comprehensive income (OCI), and fair value through profit or loss.

All financial assets are recognized on the trade date, which is the date on which the Company becomes a party to the contractual provisions of an instrument.

(ii)

Subsequent measurement

For purposes of subsequent measurement, financial assets are classified in four categories:

•

Financial assets at amortized cost (debt instruments)

•

Financial assets at fair value through OCI with recycling of cumulative gains and losses (debt instruments)

•

Financial assets designated at fair value through OCI with no recycling of cumulative gains and losses upon derecognition (equity instruments)

•

Financial assets at fair value through profit or loss

Financial assets at amortized cost

This category is the most relevant to the Company. The Company measures financial assets at amortized cost if both of the following conditions are met:

•

The financial asset is held within a business model with the objective to hold financial assets in order to collect contractual cash flows; and

•

The contractual terms of the financial asset give rise on specified dates to cash flows that are solely payments of principal and interest on the principal amount outstanding.

The Company’s financial assets at amortized cost includes the Company’s investments and its receivables.

Accounts receivable are

non-derivative

Financial assets at fair value through OCI (debt instruments)

The Company measures debt instruments at fair value through OCI if both of the following conditions are met:

•

The financial asset is held within a business model with the objective of both holding to collect contractual cash flows and selling; and

•

The contractual terms of the financial asset give rise on specified dates to cash flows that are solely payments of principal and interest on the principal amount outstanding

The Company currently does not have assets classified under this category.

Financial assets designated at fair value through OCI (equity instruments)

Financial Instruments: Presentation

and are not held for trading. The classification is determined on an

instrument-by-instrument

basis.

The Company currently does not have assets classified under this category.

Financial assets at fair value through profit or loss

Financial assets at fair value through profit or loss are carried in the statement of financial position at fair value with net changes in fair value recognized in the statement of profit or loss.

(iii)

Derecognition

A financial asset is derecognized when:

•

the rights to receive cash flows from the asset have expired, or

•

(iv)

Impairment of financial assets

12-months

12-month

Both, lifetime ECLs and

12-month

ECLs, are calculated on either an individual basis or a collective basis, depending on the nature of the underlying portfolio of financial instruments.

write-off.

To measure the ECLs, trade receivables have been grouped based on shared credit risk characteristics and the day past due.

•

the debtor is in a state of permanent disability

•

the Company has exhausted all legal and/or administrative recourse

•

where the account exceeds one year without decreases

•

when there are no documents establishing the debt

Losses arising from impairment are recognized under “Other operating and administrative expenses” in the consolidated statement of profit or loss.

Financial liabilities

(i)

Initial recognition and measurement

All financial liabilities are recognized initially at fair value and, in the case of loans and borrowings and payables, net of directly attributable transaction costs.

The Company’s financial liabilities include trade and other payables and loans and borrowings including bank overdrafts, and derivative financial instruments.

(ii)

Subsequent measurement

For purposes of subsequent measurement, financial liabilities are classified in two categories:

•

Financial liabilities at fair value through profit or loss

•

Financial liabilities at amortized cost (loans and borrowings)

Financial liabilities at fair value through profit or loss

Gains or losses on liabilities held for trading are recognized in the statement of profit or loss.

Financial liabilities at amortized cost (loans and borrowings)

(iii)

Derecognition

Offsetting of financial instruments

Derivative financial instruments and hedging activities

Derivative instruments are initially recognized at fair value on the date on which a derivative contract is entered into and are subsequently remeasured at their fair value.

For hedge accounting purposes, hedges are classified into:

•

Fair value hedges when hedging the exposure to changes in the fair value of a recognized asset or liability or an unrecognized firm commitment

•

Hedges of a net investment in a foreign operation.

•

There is ‘an economic relationship’ between the hedged item and the hedging instrument.

•

The effect of credit risk does not ‘dominate the value changes’ that result from that economic relationship.

•

As of December 31, 2022 and 2021, the Company does not have financial instruments designated under hedge accounting.

Impairment of non—financial assets

(g)

Impairment of non - financial assets

In assessing value in use, the estimated future cash flows are discounted to their present value using a

pre-tax

discount rate that reflects current market assessments of the time value of money and the risks specific to the asset for which the estimates of future cash flows have not been adjusted.

Impairment losses of continuing operations, including impairment on inventories, are recognized under “Impairment of

non-financial

assets” in the consolidated statement of profit or loss.

Senior convertible notes

(h)

Senior convertible notes

Senior convertible notes are classified as hybrid instruments that comprise a debt host contract for the interest and principal payments plus a derivative instrument for the conversion option.

The initial carrying amount of the

non-derivative

host contract on initial recognition.

Expendable parts and supplies

(i)

Expendable parts and supplies

Passenger traffic commissions

(j)

Passenger traffic commissions

Property and equipment

(k)

Property and equipment

When a major maintenance inspection or overhaul cost is embedded in the initial purchase cost of an aircraft, the Company estimates the carrying amount of the component. These initial

built-in


Property and equipment	Estimate useful life (years)		Residual Value
Flight equipment (*)
Airframe and core engines		27		15	%
Major maintenance events		3-16		—
Convertion to freighter		Lesser of 10 years and remaining useful life of the aircraft
Cabin refurbishment		Lesser of remaining useful life of the aircraft and estimated useful life of the refurbishment
Ramp and miscellaneous
Ground equipment		10		—
Furniture, fixture, equipment and other		5-10		—
Leasehold improvements		Lesser of remaining lease term and estimated useful life of the leasehold improvement		—
(*) Estimates for Boeing 737-700 fleet may differ , see note 13.

right-of-use

asset (“ROU”) component if any, is charged to expense upon completion of the subsequent maintenance event.

The residual values, useful lives, and methods of depreciation of property and equipment are reviewed at each financial

year-end

and adjusted prospectively, if appropriate.

The land owned by the Company is recognized at cost less any accumulated impairment.

Leases

(l)

Leases

•

The Company has the right to obtain substantially all of the economic benefits from use of the identified asset; and

•

The Company has the right to direct the use of the identified asset.

The Company as a lessee

At the commencement date, the Company recognizes a ROU and a lease liability.

The ROU is measured at cost and comprises:

•

the amount of the initial measurement of the lease liability,

•

any lease payments made at or before the commencement date, less any lease incentives received;

•

any initial direct costs incurred by the lessee; and

•

The ROU assets are also subject to impairment. Refer to the accounting policies in section (g) impairment of

non-financial

assets.

In this regard, the Company applies the following, by class of underlying asset:

•

for the leases of real estate, the Company has elected to separate

non-lease

components.

•

The lease payments included in the measurement of the lease liability comprise:

•

fixed payments (including

in-substance

fixed payments), less any lease incentives receivable;

•

variable lease payments that depend on an index or a rate, initially measured using the index or rate as at the commencement date;

•

amounts expected to be payable by the lessee under residual value guarantees;

•

the exercise price of a purchase option if the lessee is reasonably certain to exercise that option; and

•

payments of penalties for terminating the lease, if the lease term reflects the lessee exercising an option to terminate the lease.

The Company as lessor

Sale and leaseback transactions

The Company enters into transactions whereby an asset is sold and subsequently lease back.

The Company applies the IFRS 15 requirements for determining whether the transfer of an asset is accounted for as a sale.

If the transfer of an asset by the seller-lessee satisfies the requirements of IFRS 15 to be accounted for as a sale of the asset:

•

The seller-lessee measures the ROU at the proportion of the previous carrying amount that relates to the ROU retained by the seller-lessee; and

•

The buyer-lessor shall account for the purchase applying the appropriate standards and for the lease applying IFRS 16.

Where either the sale is below fair value or the leasing arrangement below market rates, adjustments are required to measure the proceeds at fair value.

Below market terms are to be accounted for as a prepayment of lease payments and above market terms shall be accounted for as additional financing provided by the buyer to the seller.

If the transaction does not meet the sale recognition requirements of IFRS 15:

•

the buyer-lessor shall not recognize the transferred asset and shall recognize a financial asset equal to the transfer proceeds. It shall account for the financial asset applying IFRS 9.

Intangible assets

(m)

Intangible assets

Goodwill

Other intangible assets

The useful lives of intangible assets are assessed as either finite or indefinite.

The Company’s intangible assets and the policies applied are summarized as follows:

•

Licenses and software rights

Taxes

(n)

Taxes

Income tax expense

Income tax expense comprises current and deferred tax. It is recognized in profit or loss except when related to the items recognized directly in equity or in other comprehensive income (“OCI”).

•

Current income tax

The Company pays taxes in the Republic of Panama and in other countries in which it operates, based on regulations in effect in each respective country.

Revenue arises principally from foreign operations, and according to the Panamanian Tax Code, these foreign operations are not subject to income tax in Panama.

•

Net taxable income calculated by the traditional method, or

•

Net taxable income resulting from applying four-point sixty-seven percent (4.67%) to the total taxable income (alternative method “CAIR”).

In the event that, due to income tax, the taxpayer incurs in losses or that the effective rate is higher than 25%, the taxpayer may submit a request to the authorities for the

non-application

of the alternative method and in its effective that the payment of income tax is accepted on the traditional basis.

The Company is also subject to local tax regulations in each of the other jurisdictions where it operates, the great majority of which are related to income taxes.

•

Deferred tax

•

Deferred tax liabilities are recognized for all taxable temporary differences, except:

•

Ticket taxes

•

Global minimum tax

On 8 October 2021, 136 countries, including Panama, reached an agreement for a

two-pillar

Top-up

Tax (“QDMT”) generally propose a Minimum Tax

of 15

% on the income arising in each jurisdiction in which an MNE operates. The Company expects implement these new rules by 2024.

Under IAS 12

Income Tax

top-up

tax.

Borrowing costs

(o)

Borrowing costs

Other borrowing costs are expensed in the period in which they occur. Borrowing costs consist of interest and other costs that an entity incurs in connection with the borrowing of funds.

Provisions

(p)

Provisions

Provisions for costs, including restitution, restructuring and legal claims and assessments are recognized when:

•

the Company has a present legal or constructive obligation as a result of past events;

•

it is probable that an outflow of resources embodying economic benefits will be required to settle the obligation; and the amount of obligation can be reliably estimated.

Employee benefits

(q)

Employee benefits

Defined benefit plan

The Company has a defined benefit plan in accordance with Panamanian law, which requires contributions to be made to a separately administered fund.

The calculation of the defined benefit obligation is performed annually by a qualified actuary using the projected unit credit actuarial cost method (PUC).

Share-based payments

Termination benefits

Termination benefits are payable when employment is terminated by the Company before the normal retirement date, or whenever an employee accepts voluntary redundancy in exchange for these benefits.

Non-current assets held for sale and discontinued operations

(r)

Non-current

assets held for sale and discontinued operations

The Company classifies

non-current

assets and disposal groups as held for sale if their carrying amounts will be recovered principally through a sale transaction rather than through continuing use.

Non-current

Property and equipment and intangible assets are not depreciated or amortized once classified as held for sale.

If the Company has classified an asset as held for sale, but the criteria for held for sale classification is no longer met, the Company shall cease to classify the asset as held for sale.

The Company shall measure a non-current asset that ceases to be classified as held for sale at the lower of:

ii)

All the financial statements include amounts for continuing operations. Additional disclosures about assets held for sale are provided in note 13.

Significant accounting policies (Tables)

12 Months Ended

Dec. 31, 2022

Text block [abstract]

Schedule of Significant Subsidiaries

The following are the significant subsidiaries included in these financial statements:


	Country of Incorporation	Ownership interest
Name	Country of Incorporation	2022			2021
Copa Airlines	Panama		99.9	%		99.9	%
AeroRepublica	Colombia		99.9	%		99.9	%
Oval	British Virgin Islands		100	%		100	%
LNA	Panama		100	%		100	%

Estimated Useful Lives of Assets and Considering Residual Value


Property and equipment	Estimate useful life (years)		Residual Value
Flight equipment (*)
Airframe and core engines		27		15	%
Major maintenance events		3-16		—
Convertion to freighter		Lesser of 10 years and remaining useful life of the aircraft
Cabin refurbishment		Lesser of remaining useful life of the aircraft and estimated useful life of the refurbishment
Ramp and miscellaneous
Ground equipment		10		—
Furniture, fixture, equipment and other		5-10		—
Leasehold improvements		Lesser of remaining lease term and estimated useful life of the leasehold improvement		—
(*) Estimates for Boeing 737-700 fleet may differ , see note 13.

Revenue from contract with customers (Tables)

12 Months Ended

Dec. 31, 2022

Text block [abstract]

Summary of Disaggregated Operating Revenues

The following table shows disaggregated operating revenues for the years ended as December 31, 2022, 2021 and 2020.


	2022		2021		2020
Passenger revenue
Passenger revenue	$	2,793,420	$	1,388,089	$	752,050
Miles redeemed		31,299		24,301		8,544

		2,824,719		1,412,390		760,594

Cargo and mail revenue		101,765		71,577		21,002

Other operating revenue
Frequent flyer program - marketing services		28,396		18,897		15,452
Other operating revenue		10,153		7,067		3,955

		38,549		25,964		19,407

	$	2,965,033	$	1,509,931	$	801,003

Summary of Changes in Contract Liabilities

The table below presents the changes in air traffic liability:


	2022			2021
Balance at beginning of year	$	557,331		$	470,695
Sales		3,320,260			1,801,347
Revenue recognition		(2,623,256	)		(1,326,627	)
Tax recognition		(450,541	)		(218,624	)
Reimbursements		(105,508	)		(129,296	)
Interline tickets		(52,496	)		(26,436	)
Other		6,015			(13,728	)

Balance at end of year	$	651,805		$	557,331

The table below presents the activity of the current and

non-current

frequent flyer liability:


	2022			2021
Balance at beginning of year	$	95,114		$	91,213
Deferred of revenue		47,711			28,202
Recognition of revenue		(31,299	)		(24,301	)

Balance at end of year	$	111,526		$	95,114

Current		55,292			34,719
Non-current		56,234			60,395

	$	111,526		$	95,114

Operating Revenue by Principal Geographic Area

Information concerning operating revenue by geographic area for the period ended December 31 is as follows:


	2022		2021		2020
North America	$	957,730	$	428,457	$	233,039
South America		1,094,450		557,827		281,008
Central America		819,534		475,590		246,727
Caribbean		54,770		22,093		20,822

	$	2,926,484	$	1,483,967	$	781,596

Cash and cash equivalents (Tables)

12 Months Ended

Dec. 31, 2022

Text block [abstract]

Schedule of Cash and Cash Equivalents


	2022		2021
Checking and saving accounts	$	122,184	$	210,818
Cash on hand		240		263

	$	122,424	$	211,081

Investments (Tables)

12 Months Ended

Dec. 31, 2022

Text block [abstract]

Schedule of Information About Investments


	2022									2021
	Current			Non Current			Total			Current			Non Current			Total
Investment at amortised cost
Time deposits	$	432,750		$	65,000		$	497,750		$	382,000		$	103,000		$	485,000
Bonds		286,203			137,907			424,110			300,630			96,966			397,596

		718,953			202,907			921,860			682,630			199,966			882,596
Allowance for expected credit losses		(2,104	)		(851	)		(2,955	)		(1,016	)		(296	)		(1,312	)

		716,849			202,056			918,905			681,614			199,670			881,284
Investment at fair value through profit or loss
Investment funds		95,474			—			95,474			124,726			—			124,726

	$	812,323		$	202,056		$	1,014,379		$	806,340		$	199,670		$	1,006,010

Accounts receivable (Tables)

12 Months Ended

Dec. 31, 2022

Text block [abstract]

Disclosure of Accounts Receivable


	2022			2021
Credit cards	$	75,274		$	48,361
Clearing house		32,278			16,566
Airlines		2,180			3,123
Cargo and courier		9,023			10,784
Agencies		4,090			2,214
Government		6,446			6,060
Trade receivables from related parties		2,168			1,832
Other		13,814			11,075

		145,273			100,015
Allowance for expected credit losses		(7,690	)		(7,565	)

	$	137,583		$	92,450

Summary of Movements in the Allowance for Impairment in Respect of Account Receivables

The change in the allowance for expected credit losses in respect of accounts receivable during the year was as follows.


	2022			2021			2020
Balance at beginning of years	$	(7,565	)	$	(6,483	)	$	(5,579	)
Additions		(765	)		(1,421	)		(1,310	)
Write-off		640			339			406

Balance at end of year	$	(7,690	)	$	(7,565	)	$	(6,483	)

Expendable parts and supplies (Tables)

12 Months Ended

Dec. 31, 2022

Text block [abstract]

Disclosure of Expendable Parts and Supplies


	2022			2021
Material for repair and maintenance	$	88,276		$	70,929
Other inventories		5,158			4,217

		93,434			75,146
Allowance for obsolescence		(102	)		(368	)

	$	93,332		$	74,778

Prepaid expenses (Tables)

12 Months Ended

Dec. 31, 2022

Text block [abstract]

Detailed Information about Prepaid Expenses


	2022		2021
Prepaid taxes	$	25,385	$	13,095
Prepaid commissions		3,936		4,822
Prepaid insurance		446		522
Prepaid to supplier		30,325		19,436

	$	60,092	$	37,875

Current		52,322		31,148
Non-current		7,770		6,727

	$	60,092	$	37,875

Property and equipment (Tables)

12 Months Ended

Dec. 31, 2022

Text block [abstract]

Summary of Property and Equipment


	Land		Flight equipment			Purchase deposits for flight equipment			Ramp and miscellaneous			Furniture, fixtures, equipment a and other			Leasehold improvements			Construction in progress			Total
Cost -
Balance at January 1, 2020	$	6,301	$	3,038,594		$	463,274		$	56,337		$	32,798		$	65,291		$	5,587		$	3,668,182
Transfer of pre-delivery payments		—		49,860			(49,860	)		—			—			—			—			—
Additions		—		39,492			—			582			221			566			3,204			44,065
Disposals		—		(34,626	)		—			(306	)		(223	)		(780	)		—			(35,935	)
Assets held for sale		—		(554,790	)		—			—			—			—			—			(554,790	)
Reclassifications		—		244			(5,600	)		—			—			2,382			(2,626	)		(5,600	)

Balance at December 31, 2020	$	6,301	$	2,538,774		$	407,814		$	56,613		$	32,796		$	67,459		$	6,165		$	3,115,922
Transfer of pre-delivery payments		—		284,170			(284,170	)		—			—			—			—			—
Additions		—		75,080			347,010			525			1,114			290			11,296			435,315
Disposals		—		(36,351	)		—			(3,576	)		(140	)		(3,139	)		—			(43,206	)
Reclassifications		—		1,028			5,600			—			135			657			(1,877	)		5,543
Reclassifications from assets held for sale		—		62,875			—			—			—			—			—			62,875

Balance at December 31, 2021	$	6,301	$	2,925,576		$	476,254		$	53,562		$	33,905		$	65,267		$	15,584		$	3,576,449
Transfer of pre-delivery payments		—		50,977			(50,977	)		—			—			—			—			—
Additions		—		228,908			383,176			2,903			3,318			3,291			882			622,478
Disposals		—		(46,121	)		—			(1,395	)		(4,265	)		(164	)		(29	)		(51,974	)
Reclassifications		—		8,179			(76,200	)		—			—			5,873			(14,052	)		(76,200	)

Balance at December 31, 2022	$	6,301	$	3,167,519		$	732,253		$	55,070		$	32,958		$	74,267		$	2,385		$	4,070,753
Accumulated depreciation and impairment -
Balance at January 1, 2020	$	—	$	(1,028,085	)	$	—		$	(43,871	)	$	(27,506	)	$	(36,318	)	$	—		$	(1,135,780	)
Depreciation for the year		—		(126,988	)		—			(3,121	)		(3,134	)		(5,759	)		—			(139,002	)
Disposals		—		32,335			—			290			179			295			—			33,099
Impairment		—		—			—			—			—			—			(4	)		(4	)
Assets held for sale		—		273,251			—			—			—			—			—			273,251

Balance at December 31, 2020	$	—	$	(849,487	)	$	—		$	(46,702	)	$	(30,461	)	$	(41,782	)	$	(4	)	$	(968,436	)
Depreciation for the year		—		(127,432	)		—			(2,576	)		(1,639	)		(4,696	)		—			(136,343	)
Disposals		—		34,893			—			3,501			137			2,503			—			41,034

Balance at December 31, 2021	$	—	$	(942,026	)	$	—		$	(45,777	)	$	(31,963	)	$	(43,975	)	$	(4	)	$	(1,063,745	)
Depreciation for the year		—		(163,674	)		—			(2,392	)		(1,354	)		(4,490	)		—			(171,910	)
Disposals		—		42,631			—			1,366			4,265			164			—			48,426

Balance at December 31, 2022	$	—	$	(1,063,069	)	$	—		$	(46,803	)	$	(29,052	)	$	(48,301	)	$	(4	)	$	(1,187,229	)
Carrying amounts -
At December 31, 2020	$	6,301	$	1,689,287		$	407,814		$	9,911		$	2,335		$	25,677		$	6,161		$	2,147,486

At December 31, 2021	$	6,301	$	1,983,550		$	476,254		$	7,785		$	1,942		$	21,292		$	15,580		$	2,512,704

At December 31, 2022	$	6,301	$	2,104,450		$	732,253		$	8,267		$	3,906		$	25,966		$	2,381		$	2,883,524

Leases (Tables)

12 Months Ended

Dec. 31, 2022

Text block [abstract]

Right of use assets

Information about leases for which the Company is a lessee is presented below:

Right of use assets


	Aircraft			Real estate			Total
Balance at January 1, 2020	$	260,647		$	30,196		$	290,843
Additions		21,706			(1,888	)		19,818
Impairment		(1,541	)		—			(1,541	)
Depreciation expense		(88,451	)		(6,390	)		(94,841	)

Balance at December 31, 2020	$	192,361		$	21,918		$	214,279
Additions/(Terminations)		29,157			1,085			30,242
Depreciation expense		(73,687	)		(4,506	)		(78,193	)

Balance at December 31, 2021	$	147,831		$	18,497		$	166,328
Additions/(Terminations)		132,122			10,069			142,191
Depreciation expense		(69,167	)		(4,972	)		(74,139	)

Balance at December 31, 2022	$	210,786		$	23,594		$	234,380

Lease liabilities


	2022		2021
Current portion of lease liability
Aircraft	$	74,906	$	70,061
Real estate		5,178		3,856

	$	80,084	$	73,917

Long-term lease liability
Aircraft	$	135,609	$	86,167
Real estate		22,680		18,567

	$	158,289	$	104,734

	$	238,373	$	178,651

Disclosure Of Cash Flows For Leases

Total cash outflow for leases for the years ended as December 31, 2022 and 2021:


	2022		2021
Aircraft	$	79,812	$	81,936
Real estate		5,832		5,862

	$	85,644	$	87,798

Disclosure Of Lease Expenses

Amounts recognized in the consolidated statement of profit or loss related to leases:


	2022		2021			2020
Depreciation and amortization
Aircraft	$	69,167	$	73,687		$	88,451
Real estate		4,972		4,506			6,390

	$	74,139	$	78,193		$	94,841
Impairment of non financial assets
Aircraft	$	—	$	—		$	1,541
Other operating and administrative expenses
Short-term leases	$	9,530	$	440		$	90
Leases of low-value assets		377		279			330
Variable lease payments not include in the measurement of lease liabilities		3,222		1,352			827
Variable lease payments by rental concessions received		—		(1,295	)		(489	)

	$	12,259	$	776		$	758
Finance cost
Aircraft	$	5,153	$	5,480		$	8,185
Real estate		1,473		1,326			1,717
Unwinding of discount and changes in the discount rate		819		762			832

	$	7,445	$	7,568		$	10,734

	$	93,843	$	86,537		$	107,874

Net defined benefit assets (liability) (Tables)

12 Months Ended

Dec. 31, 2022

Text block [abstract]

Summary of Employee Defined Benefit Plan


	2022			2021
Fair value of plan assets	$	31,197		$	27,413

Defined benefit obligation		(30,332	)		(34,593	)
Other employee benefits		(361	)		(490	)

	$	(30,693)		$	(35,083)

Net defined benefit asset (liability)	$	504		$	(7,670)

Summary of Components of Net Benefit Expense


Year ended December 31,2022	Defined benefit obligation		Fair value of assets			Defined benefit assets (liability)
Current service cost	$	2,860	$	—		$	2,860
Interest cost on net benefit obligation		972		(722	)		250
Past service cost		16		—			16

Net periodic benefit cost (income)	$	3,848	$	(722	)	$	3,126


Year ended December 31,2021	Defined benefit obligation		Fair value of assets			Defined benefit assets (liability)
Current service cost		3,272	$	—		$	3,272
Interest cost on net benefit obligation		721		(472	)		249
Past service cost		191		—			191

Net periodic benefit cost (income)	$	4,184	$	(472	)	$	3,712


Year ended December 31,2020	Defined benefit obligation			Fair value of assets			Defined benefit assets (liability)
Current service cost		2,393			—			2,393
Interest cost on net benefit obligation		706			(731	)		(25	)
Past service cost		457			—			457
Curtailment / Settlement		(2,026	)		—			(2,026	)

Net periodic benefit cost (income)	$	1,530		$	(731)		$	799

Summary of Reconciliation of Net Employee Defined Benefit Liabilities

The following table shows reconciliation from the opening balance to the closing balances for net employee defined benefit liabilities and its components:


	Defined benefit obligation			Fair value of assets			Other employee benefits liability			Net defined benefit assets (liability)
At January 1, 2020	$	(28,195	)	$	29,086		$	(642	)	$	249
Current service cost		(2,393	)		—			—			(2,393	)
Interest (cost) income		(706	)		731			—			25
Past service cost		(457	)		—			—			(457	)
Curtailment / Settlement		2,026			—			—			2,026
Return on plan assets		—			374			—			374
Experience gain (loss)		(4,001	)		—			—			(4,001	)
Actuarial changes arising from changes in demographic assumptions		(11,285	)		—			—			(11,285	)
Actuarial changes arising from changes in financial assumptions		(1,028	)		—			—			(1,028	)
Employer contributions		—			1,709			—			1,709
Benefits paid		6,573			(6,117	)		—			456
Others		—			—			(7	)		(7	)

As of December 31, 2020	$	(39,466	)	$	25,783		$	(649	)	$	(14,332	)
Current service cost		(3,272	)		—			—			(3,272	)
Interest (cost) income		(721	)		472			—			(249	)
Past service cost		(191	)		—			—			(191	)
Return on plan assets		—			416			—			416
Experience gain (loss)		602			—			—			602
Actuarial changes arising from changes in financial assumptions		4,411			—			—			4,411
Employer contributions		—			2,565			—			2,565
Benefits paid		1,622			(1,102	)		—			520
Adjustments		2,422			—			—			2,422
Others		—			(721	)		159			(562	)

As of December 31, 2021	$	(34,593	)	$	27,413		$	(490	)	$	(7,670	)
Current service cost		(2,860	)		—			—			(2,860	)
Interest (cost) income		(972	)		722			—			(250	)
Past service cost		(16	)		—			—			(16	)
Return on plan assets		—			172						172
Experience gain (loss)		(3,959	)		—			—			(3,959	)
Actuarial changes arising from changes in financial assumptions		10,874			—			—			10,874
Employer contributions		—			3,911			—			3,911
Benefits paid		1,194			(869	)		—			325
Others		—			(152	)		129			(23	)

As of December 31, 2022	$	(30,332	)	$	31,197		$	(361	)	$	504

Summary of Sensitivity Analysis for Actuarial Assumptions

The following were the principal actuarial assumptions

at t

he reporting date:


	2022	2021	2020
Economic assumptions -
Discount rate	5.9%	2.9%	2.0%
Compensation - salary increase	4.0%	4.0%	4.0%

Demographic assumptions -
Mortality	Panama expirence		RP - 2000 no collar
Termination	2003 SoA pension plan		13% all ages
Retirement
Males		62 years
Females		57 years

Summary of Additional Information about Sensitivity Analysis for Actuarial Assumptions


	December, 31 2022					December, 31 2021					December, 31 2020
	Increase		Decrease			Increase		Decrease			Increase		Decrease
Discount rate (0.5% movement)	$	1,338	$	(1,451	)	$	1,876	$	(2,056	)	$	2,318	$	(2,554	)

Summary of Expected Contribution Payments to Defined Benefit Plan

The following payments are expected contributions to the defined benefit plan in future years:


	2022		2021
Up to one year	$	2,532	$	2,202
One to five years		10,989		8,853
Over five years		16,847		13,271

Total expected payments	$	30,368	$	24,326

Intangible assets (Tables)

12 Months Ended

Dec. 31, 2022

Text block [abstract]

Summary of Reconciliation of Changes in Intangible Assets and Goodwill


			Other intangibles assets
	Goodwill		License and software rights			Intangible in process			Total
Cost -
Balance at January 1, 2020	$	20,380	$	143,201		$	17,934		$	181,515
Additions		—		4,378			12,041			16,419
Disposals		—		(5,546	)		—			(5,546	)
Reclassifications		—		13,975			(13,975	)		—

Balance at December 31, 2020	$	20,380	$	156,008		$	16,000		$	192,388
Additions		—		1,694			9,897			11,591
Reclassifications		—		14,495			(14,495	)		—

Balance at December 31, 2021	$	20,380	$	172,197		$	11,402		$	203,979
Additions		—		2,899			15,562			18,461
Disposals		—		(29,214	)		—			(29,214	)
Reclassifications		—		9,594			(9,594	)		—

Balance at December 31, 2022	$	20,380	$	155,476		$	17,370		$	193,226
Accumulated amortization and impairment—
Balance at January 1, 2020	$	—	$	(73,399	)	$	—		$	(73,399	)
Amortization for the year		—		(25,493	)		—			(25,493	)
Impairment		—		—			(1,020	)		(1,020	)
Disposals		—		3,092			—			3,092

Balance at December 31, 2020	$	—	$	(95,800	)	$	(1,020	)	$	(96,820	)
Amortization for the year		—		(25,410	)		—			(25,410	)

Balance at December 31, 2021	$	—	$	(121,210	)	$	(1,020	)	$	(122,230	)
Amortization for the year		—		(21,655	)		—			(21,655	)
Disposals		—		29,214			—			29,214

Balance at December 31, 2022	$	—	$	(113,651	)	$	(1,020	)	$	(114,671	)
Carrying amounts -
At December 31, 2020	$	20,380	$	60,208		$	14,980		$	95,568

At December 31, 2021	$	20,380	$	50,987		$	10,382		$	81,749

At December 31, 2022	$	20,380	$	41,825		$	16,350		$	78,555

Other assets (Tables)

12 Months Ended

Dec. 31, 2022

Text block [abstract]

Summary of Other Assets


	2022		2021
Current -
Interest receivable	$	10,554	$	4,791
Other		6,489		1,263

		17,043		6,054

Non-current -
Guarantee deposits		5,493		3,296
Deposits for litigation		8,300		7,590
Other		3,212		3,212

		17,005		14,098

	$	34,048	$	20,152

Loans and borrowings (Tables)

12 Months Ended

Dec. 31, 2022

Text block [abstract]

Summary of Loans and borrowings


	2022
	Due through		Effective rates ranged		Carrying Amount
Long term fixed rate debt		2034		1.73% to 3.95%		983,138
Long term variable rate debt		2029		4.97% to 6.35%		191,132
Senior convertible notes		2025		14.68%		270,033

						1,444,303
Current maturities						(142,484	)

Loans and borrowings long-term					$	1,301,819


	2021
	Due through		Effective rates ranged	Carrying Amount
Long-term fixed rate debt		2033	0.97% to 3.70%		896,607
Long-term variable rate debt		2029	0.31% to 1.47%		235,632
Loan payable		2022			50,014
Senior convertible notes		2025	14.68%		243,380

					1,425,633
Current maturities					(196,602	)

Loans and borrowings long-term				$	1,229,031

Summary of Maturities of Loans and borrowings

Maturities of the loans and borrowings for the next five years are as follows:


2023		142,484
2024		201,979
2025		202,978
2026		361,455
2027		101,387
Thereafter		434,020

	$	1,444,303

Summary of Senior convertible notes

The net proceeds from the offering, after deducting the initial purchasers’ discounts, commissions and other transaction costs is as follows:


	Nominal issue		Cost assigned to the debt host liability			Net funding
Date
April 30, 2020	$	350,000	$	(7,102	)	$	342,898

Summary of Finance Cost and Income

The detail of finance cost and income is as follows:


	2022			2021			2020
Finance income -
Interest income on short-term bank deposits	$	954		$	211		$	543
Interest income on investment		17,076			10,638			19,420

	$	18,030		$	10,849		$	19,963

Finance cost -
Interests expense on bank loans	$	(30,502	)	$	(26,817	)	$	(29,711	)
Interests expense on senior convertible notes		(42,403	)		(38,301	)		(23,571	)
Interest on factoring		(5,393	)		(1,365	)		(256	)
Interest on lease liabilities (see note 14)		(7,445	)		(7,568	)		(10,734	)
Unwinding of discount and changes in the discount rate		(1,888	)		(2,183	)		(8,773	)

	$	(87,631	)	$	(76,234	)	$	(73,045	)

Changes in Liabilities Arising from Financing Activities

Changes in liabilities arising from financing activities:


						Non-cash movements
	2021		Cash flows			Foreign exchange movement			Leases		Concession Covid-19		Other		2022
Loans and borrowings	$	1,425,633	$	(27,038	)	$	—		$	—	$	—	$	45,708	$	1,444,303
Lease liability		178,651		(79,017	)		(275	)		139,014		—		—		238,373

Total liabilities from financing activities	$	1,604,284	$	(106,055	)	$	(275	)	$	139,014	$	—	$	45,708	$	1,682,676


						Non-cash movements
	2020		Cash flows			Foreign exchange movement			Leases		Concession Covid-19			Other		2021
Loans and borrowings	$	1,163,900	$	210,045		$	—		$	—	$	—		$	51,688	$	1,425,633
Lease liability		230,510		(80,992	)		(348	)		30,776		(1,295	)		—		178,651

Total liabilities from financing activities	$	1,394,410	$	129,053		$	(348	)	$	30,776	$	(1,295	)	$	51,688	$	1,604,284

Disclousre of detailed information about impact of the embedded derivative on the financial statements

The impact of the embedded derivative on the consolidated statement of financial position and consolidated statement of profit or loss is, as follows:


	Statement of financial position				Statement of profit or loss
	2022		2021		2022		2021			2020
Derivative financial instrument	$	251,150	$	268,338	$	17,189	$	(22,778	)	$	(107,139	)

Trade, other payables and financial liabilities (Tables)

12 Months Ended

Dec. 31, 2022

Text block [abstract]

Summary of Trade, Other Payables and Financial Liabilities


	2022		2021
Account payables	$	166,660	$	112,596
Account payables to related parties		1,004		7,948

		167,664		120,544
Others		1,175		786

	$	168,839	$	121,330

Accrued expenses payable (Tables)

12 Months Ended

Dec. 31, 2022

Text block [abstract]

Summary of Accrued Expenses Payable


	2022		2021
Accruals and estimations	$	4,167	$	4,290
Labor related provisions		34,423		23,163
Liability for social security contributions		6,323		5,043
Other		—		271

	$	44,913	$	32,767

Other long-term liabilities (Tables)

12 Months Ended

Dec. 31, 2022

Text block [abstract]

Summary of Other Long-term Liabilities


	Provision for litigations			Provision for return condition			Dismantling provision		Other long-term liabilities			Total
Balance at January 1, 2022	$	9,052		$	159,539		$	24,424	$	18,088		$	211,103
Increases		703			20,223			2,133		869			23,928
Used		(61	)		—			—		(4,066	)		(4,127	)
Adjustment		—			(7,381	)		680		(2,338	)		(9,039	)
Effect of movements in exchange rates		531			—			—		—			531
Unused amounts reversed		(318	)		—			—		—			(318	)
Unwinding of discount and changes in the discount rate		—			1,888			819		—			2,707

Balance at December 31, 2022	$	9,907		$	174,269		$	28,056	$	12,553		$	224,785

Current		—			—			—		4,167			4,167
Non-current		9,907			174,269			28,056		8,386			220,618

	$	9,907		$	174,269		$	28,056	$	12,553		$	224,785

Income taxes (Tables)

12 Months Ended

Dec. 31, 2022

Text block [abstract]

Summary of Income Tax Expense


	2022			2021			2020
Current taxes expense -
Current period	$	(45,561	)	$	(8,892	)	$	(14,032	)
Adjustment for prior period		626			2,397			162

	$	(44,935	)	$	(6,495	)	$	(13,870	)
Deferred taxes expenses -
Origination and reversal of temporary differences		4,759			(3,991	)		37,587

Total income tax	$	(40,176	)	$	(10,486	)	$	23,717

Summary of Balances of Deferred Taxes

The balances of deferred taxes are as follows:


	Statement						Statement of
	of financial position						profit or loss
	2022			2021			2022			2021			2020
Deferred tax liabilities
Maintenance deposits	$	(11,945	)	$	(17,918	)	$	(5,973	)	$	(5,973	)	$	(5,972	)
Prepaid dividend tax		(5,801	)		(2,003	)		3,798			2,003			(7,403	)
Property and equipment		944			1,502			558			606			(5,004	)
Other		(1,738	)		(1,879	)		(141	)		379			(3,190	)
Set off tax		1,969			1,516			(453	)		(423	)		362

	$	(16,571	)	$	(18,782	)	$	(2,211	)	$	(3,408	)	$	(21,207	)
Deferred tax assets
Provision for return conditions	$	9,807		$	8,564		$	(1,243	)	$	4,101		$	(2,570	)
Air traffic liability		2,686			2,462			(224	)		24			(447	)
Other provisions		1,946			2,109			161			(1,485	)		6,202
Tax loss		18,273			16,577			(1,695	)		4,336			(19,203	)
Set off tax		(1,969	)		(1,516	)		453			423			(362	)

	$	30,743		$	28,196		$	(2,548	)	$	7,399		$	(16,380	)

	$	14,172		$	9,414		$	(4,759	)	$	3,991		$	(37,587	)

Summary of Reconciliation of Effective Tax Rate

Reconciliation of the effective tax rate is as follows:


	Tax rate			2022			Tax rate			2021			Tax rate			2020
Net profit (loss)				$	348,054					$	43,844					$	(607,062	)
Total income tax expense					40,176						10,486						(23,717	)

Profit (loss) excluding income tax					388,230						54,330						(630,779	)

Income taxes at Panamanian statutory rates		25.0	%		97,057			25.0	%		13,583			25.0	%		(157,695	)

Stations - Taxable / Panama		(16.8	%)		(65,384	)		15.4	%		8,379			(13.2	%)		83,071
Stations - Taxable / Non Panama		0.2	%		945			10.3	%		5,605			(1.5	%)		9,850
Stations - Non Taxable / Non Panama		(2.3	%)		(8,961	)		(27.0	%)		(14,684	)		(5.3	%)		33,728
Dividend tax		4.4	%		17,145			0.0	%		—			(1.2	%)		7,491
Over provided in prior periods		(0.1	%)		(626	)		(4.4	%)		(2,397	)		0.0	%		(162	)

Provision for income taxes		10.4	%	$	40,176			19.3	%	$	10,486			3.8	%	$	(23,717	)

Accounts and transactions with related parties (Tables)

12 Months Ended

Dec. 31, 2022

Text block [abstract]

Summary of Accounts and Transactions with Related Parties


	2022		2021
Account receivable -
Banco General, S.A.	$	1,960	$	1,589
Panama Air Cargo Terminal		208		217
Petróleos Delta, S.A.		—		26

	$	2,168	$	1,832

Account payable -
Petróleos Delta, S.A.	$	—	$	7,677
Assa Compañía de Seguros, S.A.		765		196
Desarrollos Inmobiliarios del Este, S.A.		51		37
Panama Air Cargo Terminal		141		11
Galindo, Arias & López		28		17
Motta Internacional, S.A.		14		7
Millicom Tigo Panamá, S.A.		—		3
GBM International, Inc.		5		—

	$	1,004	$	7,948

Summary of Related Party Transactions

Transactions with related parties for the year ended December 31 are as follows:


		Amount of transaction			Amount of transaction			Amount of transaction
Related party	Transaction	2022			2021			2020
Petróleos Delta, S.A.	Purchase of jet fuel	$	—		$	190,628		$	102,702
ASSA Compañía de Seguros, S.A.	Insurance		10,157			9,713			7,147
Desarrollo Inmobiliario del Este, S.A.	Property leasing		2,989			3,384			3,301
Profuturo Administradora de Fondos de Pensión y Cesantía	Payments		3,911			2,565			2,839
Panama Air Cargo Terminal	Handling		4,116			3,193			2,037
Motta International	Purchase		812			108			550
Galindo, Arias & López	Legal services		530			170			236
GBM International, Inc.	Technological support		50			102			146
Global Brands, S.A.	Purchase		60			31			31
Televisora Nacional, S.A.	Communications		—			—			13
Banco General, S.A.	Interest income	$	(829	)	$	(1,546	)	$	(2,657	)

Summary of Key Management Personnel Compensation

Key management personnel compensation is as follows:


	2022		2021		2020
Short-term employee benefits	$	2,901	$	2,748	$	3,177
Post-employment pension		56		53		61
Share-based payments		318		1,083		2,362

	$	3,275	$	3,884	$	5,600

Equity (Tables)

12 Months Ended

Dec. 31, 2022

Equity [abstract]

Summary of Share Repurchase Program

A summary of the repurchased shares for the Company as of December 31, 2022 is as follows:


	Shares		Cash paid (in thousands)
2014		182,592	$	(18,506	)
2015		2,127,900		(117,882	)
2021		559,025		(40,514	)
2022		2,571,917		(167,639	)

		5,441,434	$	(344,541	)

Share-based payments (Tables)

12 Months Ended

Dec. 31, 2022

Text block [abstract]

Summary of Terms and Conditions, Relating to the Grants of the Non-vested Stock Award under the Equity Compensation Plan

A summary of the terms and conditions, properly approved by the Compensation Committee of our Board of Directors, relating to the grants of the

non-vested

stock award under the equity compensation plan is as fol

low


Grant date	Number of instruments	Vesting conditions	Contractual life
February, 2016	147,000	15% first three anniversaries 25% fourth 30% fifth anniversary	5 years
February, 2016	63,000	Fifth anniversary	5 years
February, 2018	21,556	7% first month 31% first three anniversaries	3 years
February, 2018	14,379	33% first three anniversaries	3 years
February, 2018	1,316	15% first three anniversaries 25% fourth 30% fifth anniversary	5 years
July, 2018	6,104	Third anniversary	3 years
February, 2019	15,951	1% first month 33% first three anniversaries	3 years
June, 2019	9,256	33% first three anniversaries	3 years
June, 2019	977	33% first three anniversaries	3 years
August, 2019	1,039	33% first three anniversaries	3 years
December, 2019	1,724	100% first anniversary	1 year
February, 2020	24,650	1% first month 33% first three anniversaries	3 years
December, 2020	3,551	100% first anniversary	1 year
February, 2021	32,852	20% first five anniversaries	5 years
February, 2021	103,802	33% first three anniversaries	3 years
April, 2021	1,145	33% first three anniversaries	3 years
February, 2022	13,943	33% first three anniversaries	3 years
June, 2022	20,368	33% first three anniversaries	3 years
June, 2022	994	33% first three anniversaries	3 years

Summary of Non-vested Stock Award Activity

A summary of the

non-vested

stock award activity under the plan as of December 31, 2022, 2021 and 2020 with changes during these years is as follows (in number of shares):


	2022			2021			2020
Non-vested as of January 1		157,823			153,921			211,205
Granted		35,305			137,799			28,201
Vested		(54,501	)		(132,880	)		(83,409	)
Forfeited		(384	)		(1,017	)		(2,076	)

Non-vested as of December 31		138,243			157,823			153,921

Earnings per share (Tables)

12 Months Ended

Dec. 31, 2022

Text block [abstract]

Schedule of Computation of the Income (Loss) and Share Data Used in the Basic and Diluted Earnings Per Share

The computation of the income (losses) and share data used in the basic and diluited earnings per share is as follows:


	2022			2021		2020
Basic earnings per share—
Net profit (loss)	$	348,054		$	43,844	$	(607,062	)
Weighted-average shares outstanding		40,445			42,439		42,338
Non-vested dividend participating awards		136			162		170

		40,581			42,601		42,508

		8.58			1.03		(14.28	)

Diluted earnings per share—
Net profit (loss)	$	348,054		$	43,844	$	(607,062	)
Interest on convertible senior notes		42,403			—		—
Net change in fair value of derivatives		(17,189	)		—		—

Net profit (loss) income adjusted for the effect of dilution		373,268			43,844		(607,062	)
Weighted-average shares outstanding		40,581			42,601		42,508
Convertible shares		6,775			—		—

		47,356			42,601		42,508

		7.88			1.03		(14.28	)

Commitments and contingencies (Tables)

12 Months Ended

Dec. 31, 2022

Text block [abstract]

Schedule of Firm Commitment to Purchase Asset

The aircraft and engines contractual obligations net of discounts and

pre-delivery

payments, including estimated amounts for contractual price escalation, are as follows:


Year ending December 31,
2023		423,579
2024		634,353
2025		494,232
2026		526,425
2027		533,922
2028		415,075

	$	3,027,586

Financial instruments—Risk management and fair value (Tables)

12 Months Ended

Dec. 31, 2022

Text block [abstract]

Summary of Foreign Currency Risk Exposure

The following chart summarizes the Company’s foreign currency risk exposure (assets and liabilities denominated in foreign currency) as of December 31:


	2022		2021
Assets
Cash and cash equivalents	$	13,546	$	10,848
Accounts receivable, net		48,900		50,103
Other assets		20,605		17,811

Total assets	$	83,051	$	78,762
Liabilities
Accounts payable		16,969		35,948
Taxes payable		38,303		25,827
Other liabilities		13,465		12,239

Total liabilities	$	68,737	$	74,014

Net position	$	14,314	$	4,748

Movement in Allowance for Impairment for Short and Long-term Investments at Amortized Cost

The movement in the allowance for impairment for short and long-term investments at amortized cost for the year ended December 31 was as follows:


	2022			2021
Balance at beginning of year	$	(1,312	)	$	(1,217	)
(Additions)/Reversal		(1,643	)		(95	)

Balance at end of year	$	(2,955	)	$	(1,312	)

Summary of Credit Risk Exposure on Trade Receivables using Provision Matrix

Set out below is the information about the credit risk exposure on the Company’s trade receivables using a provision matrix as of December 31:


	2022
			Days past due
	Total		Current			<30			30-60			60-90			>90
Expected credit loss rate				0.0	%		5.9	%		13.1	%		30.5	%		57.3	%
Gross carrying amount	$	145,273	$	127,412		$	2,877		$	2,134		$	545		$	12,305
Expected credit loss	$	7,690	$	28		$	170		$	279		$	166		$	7,047


	2021
			Days past due
	Total		Current			<30			30-60			60-90			>90
Expected credit loss rate				0.0	%		3.2	%		3.4	%		13.5	%		51.2	%
Gross carrying amount	$	100,015	$	77,995		$	3,157		$	4,080		$	658		$	14,125
Expected credit loss	$	7,565	$	9		$	100		$	139		$	89		$	7,228

Summary of Financial Liabilities According to Maturity Date

December 31, 2022


	Note		Carrying amount		Contractual cash flow		Less than twelve months		Between 1 and 4 years		More than 4 years
Non-derivative financial liabilities
Loans and borrowings		18	$	1,444,303	$	1,538,467	$	167,759	$	920,846	$	449,862
Lease liabitity		14		238,373		341,847		106,076		195,253		40,518
Account payable		19		166,660		166,660		166,660		—		—
Account payable to related parties		19		1,004		1,004		1,004		—		—

			$	1,850,340	$	2,047,978	$	441,499	$	1,116,099	$	490,380

December 31, 2021


	Note		Carrying amount		Contractual cash flow		Less than twelve months		Between 1 and 4 years		More than 4 years
Non-derivative financial liabilities
Loans and borrowings		18	$	1,425,633	$	1,549,887	$	228,272	$	895,620	$	425,995
Lease liabitity		14		178,651		217,526		89,413		123,434		4,679
Account payable		19		112,596		112,596		112,596		—		—
Account payable to related parties		19		7,948		7,948		7,948		—		—

			$	1,724,828	$	1,887,957	$	438,229	$	1,019,054	$	430,674

Summary of Carrying Amount and Fair Values of Financial Assets and Financial Liabilities


			Carrying amount				Fair Value
	Note		2022		2021		2022		2021
Financial assets
Long-term investments		9		202,056		199,670		201,061		199,082
Financial liabilities
Loans and borrowings		18		1,444,303		1,425,633		1,559,435		1,549,934

Summary of Company's financial instruments measured at fair value

The following chart summarizes the Company’s financial instruments measured at fair value, classified according to the valuation method:


	Fair value measurement as of reporting date
	2022		Quoted prices in active markets (Level 1)		Significant observable inputs (Level 2)		Significant unobservable inputs (Level 3)
Recurring fair value measurements
Assets
Investment fund		95,474		95,474		—		—

Total assets	$	95,474	$	95,474	$	—	$	—

Liabilities
Derivative financial instruments		251,150		—		251,150		—

Total liabilities	$	251,150	$	—	$	251,150	$	—


	Fair value measurement as of reporting date
	2021		Quoted prices in active markets (Level 1)		Significant observable inputs (Level 2)		Significant unobservable inputs (Level 3)
Recurring fair value measurements
Assets
Investment fund		124,726		124,726		—		—

Total assets	$	124,726	$	124,726	$	—	$	—

Liabilities
Derivative financial instruments		268,338		—		268,338		—

Total liabilities	$	268,338	$	—	$	268,338	$	—

Corporate Information - Additional Information (Detail)	1 Months Ended		12 Months Ended
Corporate Information - Additional Information (Detail)	Mar. 31, 2022 t	May 31, 2021	Dec. 31, 2022	Dec. 31, 2022 Destinations	Dec. 31, 2022 Country	Dec. 31, 2022 Aircraft	Dec. 31, 2022 Flights	Dec. 31, 2021 Destinations Country Airlines
Parent company information [line items]
Number of Aircrafts, Operated						97	327
Number of Airline Destinations \| Destinations				78
Number of Airline Destination Countries \| Country					32
Increase in Number of International Airline Destinations \| Destinations				180
Commercial alliance renewed		five years
Property Plant and Equipment Aircraft Useful Life			9 years 6 months
Boeing 737-800 [member]
Parent company information [line items]
Number of Aircrafts, Operated						67
Boeing 737-700 [member]
Parent company information [line items]
Number of Aircrafts, Operated						9
Boeing 737-MAX [Member]
Parent company information [line items]
Number of Aircrafts, Operated						20
Boeing 737-800 BCF [Member]
Parent company information [line items]
Number of Aircrafts, Operated						1
Capacity Per Aircraft \| t	21.7
ConnectMiles [member] \| Star Alliance Airlines [member]
Parent company information [line items]
Number of destinations \| Destinations								1,200
Number of countries \| Country								184
ConnectMiles [member] \| Star Alliance Airlines [member] \| Bottom of range [member]
Parent company information [line items]
Number of airlines \| Airlines								26

Basis of preparation - Additional Information (Detail) $ in Millions	Dec. 31, 2022 USD ($)
Disclosure of Basis of Preparation of Financial Statements [Abstract]
Cash	$ 1,300.0
Cash, Short Term and Long Term Investments	927.4
Undrawn Borrowing Facilities	$ 355.0

Significant Accounting Policies - Schedule of Significant Subsidiaries (Detail)	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021
Panama [member] \| Copa Airlines [member]
Disclosure of information about unconsolidated subsidiaries [line items]
Ownership interest	99.90%	99.90%
Panama [member] \| LNA [member]
Disclosure of information about unconsolidated subsidiaries [line items]
Ownership interest	100.00%	100.00%
Colombia [member] \| AeroRepublica [member]
Disclosure of information about unconsolidated subsidiaries [line items]
Ownership interest	99.90%	99.90%
British Virgin Islands [member] \| Oval [member]
Disclosure of information about unconsolidated subsidiaries [line items]
Ownership interest	100.00%	100.00%

Significant Accounting Policies - Additional Information (Detail)	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Disclosure of summary of significant accounting policies [line items]
Applicable tax rate	25.00%	25.00%	25.00%
Description of disposal of business available for sale	The criteria for held for sale classification is regarded as met only when the sale is highly probable and the asset or disposal group is available for immediate sale in its present condition. Actions required to complete the sale should indicate that it is unlikely that significant changes to the sale will be made or that the decision to sell will be withdrawn. Management must be committed to the plan to sell the asset and the sale expected to be completed within one year from the date of the classification.
Extension Of Ticket Expiry	tickets which were scheduled to expire before June 2021, the Company established a new commercial policy that extended the tickets expiration to June 30, 2022
OECD agreement for international tax reform [Member] \| Qualified domestic minimum top up tax [Member]
Disclosure of summary of significant accounting policies [line items]
Minimum alternate tax rate percentage	15.00%
CAIR [Member]
Disclosure of summary of significant accounting policies [line items]
Effective Income Tax Rate	4.67%
Panama [member]
Disclosure of summary of significant accounting policies [line items]
Applicable tax rate	25.00%
Dividends Tax Rate, Panamanian source income	10.00%
Dividends Tax Rate, foreign source income	5.00%
Bottom of range [member] \| Computer software licenses [member]
Disclosure of summary of significant accounting policies [line items]
Estimated useful lives	3 years
Bottom of range [member] \| Software development [member]
Disclosure of summary of significant accounting policies [line items]
Estimated useful lives	5 years
Top of range [member] \| Computer software licenses [member]
Disclosure of summary of significant accounting policies [line items]
Estimated useful lives	8 years
Top of range [member] \| Software development [member]
Disclosure of summary of significant accounting policies [line items]
Estimated useful lives	15 years

Significant Accounting Policies - Estimated Useful Lives of Assets and Considering Residual Value (Detail)	12 Months Ended
	Dec. 31, 2022
Disclosure of detailed information about property, plant and equipment [line items]
Residual Value	15.00%
Airframe and engines [member]
Disclosure of detailed information about property, plant and equipment [line items]
Estimated useful life (years)	27 years
Residual Value	15.00%
Major maintenance events [member] \| Bottom of range [member]
Disclosure of detailed information about property, plant and equipment [line items]
Estimated useful life (years)	3 years
Major maintenance events [member] \| Top of range [member]
Disclosure of detailed information about property, plant and equipment [line items]
Estimated useful life (years)	16 years
Ground equipment [member]
Disclosure of detailed information about property, plant and equipment [line items]
Estimated useful life (years)	10 years
Furniture, fixture, equipment and other [member] \| Bottom of range [member]
Disclosure of detailed information about property, plant and equipment [line items]
Estimated useful life (years)	5 years
Furniture, fixture, equipment and other [member] \| Top of range [member]
Disclosure of detailed information about property, plant and equipment [line items]
Estimated useful life (years)	10 years
Leasehold improvements [member]
Disclosure of detailed information about property, plant and equipment [line items]
Estimated useful lives	Lesser of remaining lease term and estimated useful life of the leasehold improvement
Convertion of freighter [member]
Disclosure of detailed information about property, plant and equipment [line items]
Estimated useful life (years)	10 years
Estimated useful lives	Lesser of 10 years and remaining useful life of the aircraft
Cabin refurbishment [member]
Disclosure of detailed information about property, plant and equipment [line items]
Estimated useful lives	Lesser of remaining useful life of the aircraft and estimated useful life of the refurbishment

Significant Accounting Judgments, Estimates and Assumptions - Additional Information (Detail)	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021 Aircraft Integer
Disclosure of voluntary change in accounting policy [line items]
Salvage value assets rate	15.00%
Extension Of Ticket Expiry	tickets which were scheduled to expire before June 2021, the Company established a new commercial policy that extended the tickets expiration to June 30, 2022
Boeing 737-700 [member]
Disclosure of voluntary change in accounting policy [line items]
Number Of Aircraft Sold \| Aircraft		3
Number Of Aircraft Operated \| Integer		11
Useful life of aircraft		3 years

Revenue From Contract With Customers - Summary of Disaggregated Operating Revenues (Detail) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Disclosure of disaggregation of revenue from contracts with customers [line items]
Other operating revenue	$ 38,549	$ 25,964	$ 19,407
Total operating revenue	2,965,033	1,509,931	801,003
Passenger revenue excluding miles redeemed [member]
Disclosure of disaggregation of revenue from contracts with customers [line items]
Revenue	2,793,420	1,388,089	752,050
Miles redeemed [member]
Disclosure of disaggregation of revenue from contracts with customers [line items]
Revenue	31,299	24,301	8,544
Passenger revenue [member]
Disclosure of disaggregation of revenue from contracts with customers [line items]
Revenue	2,824,719	1,412,390	760,594
Cargo and mail revenue [member]
Disclosure of disaggregation of revenue from contracts with customers [line items]
Revenue	101,765	71,577	21,002
Frequent flyer program - marketing services revenue [member]
Disclosure of disaggregation of revenue from contracts with customers [line items]
Other operating revenue	28,396	18,897	15,452
Other operating revenues [member]
Disclosure of disaggregation of revenue from contracts with customers [line items]
Other operating revenue	$ 10,153	$ 7,067	$ 3,955

Revenue From Contract With Customers - Summary of Changes in Contract Liabilities (Detail) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021
Air traffic liability [member]
Disclosure of changes in contact liabilities [line items]
Balance at beginning of year	$ 557,331	$ 470,695
Sales	3,320,260	1,801,347
Revenue recognition	(2,623,256)	(1,326,627)
Tax recognition	(450,541)	(218,624)
Reimbursements	(105,508)	(129,296)
Interline tickets	(52,496)	(26,436)
Other	6,015	(13,728)
Balance at end of year	651,805	557,331
Frequent flyer liability [member]
Disclosure of changes in contact liabilities [line items]
Balance at beginning of year	95,114	91,213
Deferred of revenue	47,711	28,202
Revenue recognition	(31,299)	(24,301)
Balance at end of year	111,526	95,114
Current	55,292	34,719
Non-current	$ 56,234	$ 60,395

Revenue from Contract with Customers - Additional Information (Detail)	12 Months Ended
	Dec. 31, 2022 Segment
Disclosure of operating segments [abstract]
Number of operating segment	1
Extension Of Ticket Expiry	tickets which were scheduled to expire before June 2021, the Company established a new commercial policy that extended the tickets expiration to June 30, 2022

Revenue from Contract with Customers - Operating Revenue by Principal Geographic Area (Detail) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Disclosure of geographical areas [line items]
Passenger, Cargo and Mail Revenue	$ 2,926,484	$ 1,483,967	$ 781,596
North America [member]
Disclosure of geographical areas [line items]
Passenger, Cargo and Mail Revenue	957,730	428,457	233,039
South America [Member]
Disclosure of geographical areas [line items]
Passenger, Cargo and Mail Revenue	1,094,450	557,827	281,008
Central America [Member]
Disclosure of geographical areas [line items]
Passenger, Cargo and Mail Revenue	819,534	475,590	246,727
Carribean [Member]
Disclosure of geographical areas [line items]
Passenger, Cargo and Mail Revenue	$ 54,770	$ 22,093	$ 20,822

Cash and Cash Equivalents - Schedule of Cash and Cash Equivalents (Detail) - USD ($) $ in Thousands	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020	Dec. 31, 2019
Cash and cash equivalents [abstract]
Checking and saving accounts	$ 122,184	$ 210,818
Cash on hand	240	263
Cash and cash equivalents	$ 122,424	$ 211,081	$ 119,065	$ 158,732

Cash and Cash Equivalents - Additional Information (Detail) - USD ($) $ in Millions	Dec. 31, 2022	Dec. 31, 2021
Disclosure of cash and cash equivalents [line items]
Collateral pledged	$ 7.3	$ 12.9

Investments - Schedule of Information About Investments (Detail) - USD ($) $ in Thousands	Dec. 31, 2022	Dec. 31, 2021
Disclosure of detailed information about financial assets [line items]
Current	$ 812,323	$ 806,340
Non Current	202,056	199,670
Total	1,014,379	1,006,010
Financial assets at amortised cost, category [member]
Disclosure of detailed information about financial assets [line items]
Current	716,849	681,614
Non Current	202,056	199,670
Total	918,905	881,284
Time deposits [member]
Disclosure of detailed information about financial assets [line items]
Current	432,750	382,000
Non Current	65,000	103,000
Total	497,750	485,000
Bonds [member]
Disclosure of detailed information about financial assets [line items]
Current	286,203	300,630
Non Current	137,907	96,966
Total	424,110	397,596
Time deposits and bonds [member]
Disclosure of detailed information about financial assets [line items]
Current	718,953	682,630
Non Current	202,907	199,966
Total	921,860	882,596
Investment funds [member]
Disclosure of detailed information about financial assets [line items]
Current	95,474	124,726
Non Current	0	0
Total	95,474	124,726
Allowance for credit losses [member]
Disclosure of detailed information about financial assets [line items]
Allowance for expected credit losses	(2,955)	(1,312)
Allowance for credit losses [member] \| Current [member]
Disclosure of detailed information about financial assets [line items]
Allowance for expected credit losses	(2,104)	(1,016)
Allowance for credit losses [member] \| Non Current [Member]
Disclosure of detailed information about financial assets [line items]
Allowance for expected credit losses	$ (851)	$ (296)

Investments - Additional Information (Detail) - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021
Financial assets at fair value through profit or loss, category [member]
Disclosure of detailed information about investment property [line items]
Other Non-Operating Expense	$ (4.2)	$ (0.3)
Bottom of range [member]
Disclosure of detailed information about investment property [line items]
Interest rates on listed corporate bonds	0.40%	0.15%
Top of range [member]
Disclosure of detailed information about investment property [line items]
Interest rates on listed corporate bonds	5.25%	5.75%

Accounts Receivable - Disclosure of Accounts Receivable (Detail) - USD ($) $ in Thousands	Dec. 31, 2022	Dec. 31, 2021
Disclosure of accounts receivables [abstract]
Credit cards	$ 75,274	$ 48,361
Clearing house	32,278	16,566
Airlines	2,180	3,123
Cargo and courier	9,023	10,784
Agencies	4,090	2,214
Government	6,446	6,060
Trade receivables from related parties	2,168	1,832
Other	13,814	11,075
Total accounts receivable	145,273	100,015
Allowance for expected credit losses	(7,690)	(7,565)
Trade and other receivables	$ 137,583	$ 92,450

Accounts Receivable - Additional Information (Detail)	12 Months Ended
Accounts Receivable - Additional Information (Detail)	Dec. 31, 2022
Bottom of range [member]
Disclosure of accounts receivable [line items]
Trade receivable term	30 days
Top of range [member]
Disclosure of accounts receivable [line items]
Trade receivable term	90 days

Accounts Receivable - Summary of Movements in the Allowance for Impairment in Respect of Account Receivables (Detail) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Disclosure of accounts receivables [abstract]
Beginning balance	$ (7,565)	$ (6,483)	$ (5,579)
Additions	(765)	(1,421)	(1,310)
Write-off	640	339	406
Ending balance	$ (7,690)	$ (7,565)	$ (6,483)

Expendable Parts and Supplies - Disclosure of Expendable Parts and Supplies (Detail) - USD ($) $ in Thousands	Dec. 31, 2022	Dec. 31, 2021
Classes of current inventories [abstract]
Material for repair and maintenance	$ 88,276	$ 70,929
Other inventories	5,158	4,217
Expendable parts and supplies, gross	93,434	75,146
Allowance for obsolescence	(102)	(368)
Expendable parts and supplies	$ 93,332	$ 74,778

Expendable Parts and Supplies - Additional Information (Detail) - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Classes of current inventories [abstract]
Expendable parts and supplies expense	$ 25.4	$ 22.0	$ 12.7

Prepaid Expenses - Detailed Information about Prepaid Expenses (Detail) - USD ($) $ in Thousands	Dec. 31, 2022	Dec. 31, 2021
Current prepayments [abstract]
Prepaid taxes	$ 25,385	$ 13,095
Prepaid commissions	3,936	4,822
Prepaid insurance	446	522
Prepaid to supplier	30,325	19,436
Total prepaid expenses	60,092	37,875
Current	52,322	31,148
Non-current	7,770	6,727
Prepaid expenses	$ 60,092	$ 37,875

Prepaid Expenses - Additional Information (Detail) - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021
Prepaid expenses [line items]
Tax advance of VAT and withholdings taxes	$ 9.2	$ 6.4
Tax credits	$ 7.7	$ 5.2

Property and Equipment - Summary of Property and Equipment (Detail) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Disclosure of detailed information about property, plant and equipment [line items]
Beginning balance	$ 2,512,704	$ 2,147,486
Ending balance	2,883,524	2,512,704	$ 2,147,486
Gross carrying amount [member]
Disclosure of detailed information about property, plant and equipment [line items]
Beginning balance	3,576,449	3,115,922	3,668,182
Additions	622,478	435,315	44,065
Disposals	(51,974)	(43,206)	(35,935)
Assets held for sale			(554,790)
Reclassifications	(76,200)	5,543	(5,600)
Reclassifications from assets held for sale		62,875
Ending balance	4,070,753	3,576,449	3,115,922
Accumulated depreciation and impairment [member]
Disclosure of detailed information about property, plant and equipment [line items]
Beginning balance	(1,063,745)	(968,436)	(1,135,780)
Depreciation for the year	(171,910)	(136,343)	(139,002)
Disposals	48,426	41,034	33,099
Assets held for sale			273,251
Impairment			(4)
Ending balance	(1,187,229)	(1,063,745)	(968,436)
Land [member]
Disclosure of detailed information about property, plant and equipment [line items]
Beginning balance	6,301	6,301
Ending balance	6,301	6,301	6,301
Land [member] \| Gross carrying amount [member]
Disclosure of detailed information about property, plant and equipment [line items]
Beginning balance	6,301	6,301	6,301
Transfer of pre-delivery payments	0	0	0
Additions	0	0	0
Disposals	0	0	0
Assets held for sale			0
Reclassifications	0	0	0
Reclassifications from assets held for sale		0
Ending balance	6,301	6,301	6,301
Land [member] \| Accumulated depreciation and impairment [member]
Disclosure of detailed information about property, plant and equipment [line items]
Beginning balance	0	0	0
Depreciation for the year	0	0	0
Disposals	0	0	0
Assets held for sale			0
Ending balance	0	0	0
Flight equipment [member]
Disclosure of detailed information about property, plant and equipment [line items]
Beginning balance	1,983,550	1,689,287
Ending balance	2,104,450	1,983,550	1,689,287
Flight equipment [member] \| Gross carrying amount [member]
Disclosure of detailed information about property, plant and equipment [line items]
Beginning balance	2,925,576	2,538,774	3,038,594
Transfer of pre-delivery payments	50,977	284,170	49,860
Additions	228,908	75,080	39,492
Disposals	(46,121)	(36,351)	(34,626)
Assets held for sale			(554,790)
Reclassifications	8,179	1,028	244
Reclassifications from assets held for sale		62,875
Ending balance	3,167,519	2,925,576	2,538,774
Flight equipment [member] \| Accumulated depreciation and impairment [member]
Disclosure of detailed information about property, plant and equipment [line items]
Beginning balance	(942,026)	(849,487)	(1,028,085)
Depreciation for the year	(163,674)	(127,432)	(126,988)
Disposals	42,631	34,893	32,335
Assets held for sale			273,251
Impairment			0
Ending balance	(1,063,069)	(942,026)	(849,487)
Purchase deposits for flight equipment [member]
Disclosure of detailed information about property, plant and equipment [line items]
Beginning balance	476,254	407,814
Ending balance	732,253	476,254	407,814
Purchase deposits for flight equipment [member] \| Gross carrying amount [member]
Disclosure of detailed information about property, plant and equipment [line items]
Beginning balance	476,254	407,814	463,274
Transfer of pre-delivery payments	(50,977)	(284,170)	(49,860)
Additions	383,176	347,010	0
Disposals	0	0	0
Assets held for sale			0
Reclassifications	(76,200)	5,600	(5,600)
Reclassifications from assets held for sale		0
Ending balance	732,253	476,254	407,814
Purchase deposits for flight equipment [member] \| Accumulated depreciation and impairment [member]
Disclosure of detailed information about property, plant and equipment [line items]
Beginning balance	0	0	0
Depreciation for the year	0	0	0
Disposals	0	0	0
Assets held for sale			0
Ending balance	0	0	0
Ramp and miscellaneous [member]
Disclosure of detailed information about property, plant and equipment [line items]
Beginning balance	7,785	9,911
Ending balance	8,267	7,785	9,911
Ramp and miscellaneous [member] \| Gross carrying amount [member]
Disclosure of detailed information about property, plant and equipment [line items]
Beginning balance	53,562	56,613	56,337
Transfer of pre-delivery payments	0	0	0
Additions	2,903	525	582
Disposals	(1,395)	(3,576)	(306)
Assets held for sale			0
Reclassifications	0	0	0
Reclassifications from assets held for sale		0
Ending balance	55,070	53,562	56,613
Ramp and miscellaneous [member] \| Accumulated depreciation and impairment [member]
Disclosure of detailed information about property, plant and equipment [line items]
Beginning balance	(45,777)	(46,702)	(43,871)
Depreciation for the year	(2,392)	(2,576)	(3,121)
Disposals	1,366	3,501	290
Assets held for sale			0
Impairment			0
Ending balance	(46,803)	(45,777)	(46,702)
Furniture, fixture, equipment a and other [member]
Disclosure of detailed information about property, plant and equipment [line items]
Beginning balance	1,942	2,335
Ending balance	3,906	1,942	2,335
Furniture, fixture, equipment a and other [member] \| Gross carrying amount [member]
Disclosure of detailed information about property, plant and equipment [line items]
Beginning balance	33,905	32,796	32,798
Transfer of pre-delivery payments	0	0	0
Additions	3,318	1,114	221
Disposals	(4,265)	(140)	(223)
Assets held for sale			0
Reclassifications	0	135	0
Reclassifications from assets held for sale		0
Ending balance	32,958	33,905	32,796
Furniture, fixture, equipment a and other [member] \| Accumulated depreciation and impairment [member]
Disclosure of detailed information about property, plant and equipment [line items]
Beginning balance	(31,963)	(30,461)	(27,506)
Depreciation for the year	(1,354)	(1,639)	(3,134)
Disposals	4,265	137	179
Assets held for sale			0
Impairment			0
Ending balance	(29,052)	(31,963)	(30,461)
Leasehold improvements [member]
Disclosure of detailed information about property, plant and equipment [line items]
Beginning balance	21,292	25,677
Ending balance	25,966	21,292	25,677
Leasehold improvements [member] \| Gross carrying amount [member]
Disclosure of detailed information about property, plant and equipment [line items]
Beginning balance	65,267	67,459	65,291
Transfer of pre-delivery payments	0	0	0
Additions	3,291	290	566
Disposals	(164)	(3,139)	(780)
Assets held for sale			0
Reclassifications	5,873	657	2,382
Reclassifications from assets held for sale		0
Ending balance	74,267	65,267	67,459
Leasehold improvements [member] \| Accumulated depreciation and impairment [member]
Disclosure of detailed information about property, plant and equipment [line items]
Beginning balance	(43,975)	(41,782)	(36,318)
Depreciation for the year	(4,490)	(4,696)	(5,759)
Disposals	164	2,503	295
Assets held for sale			0
Impairment			0
Ending balance	(48,301)	(43,975)	(41,782)
Construction in progress [member]
Disclosure of detailed information about property, plant and equipment [line items]
Beginning balance	15,580	6,161
Ending balance	2,381	15,580	6,161
Construction in progress [member] \| Gross carrying amount [member]
Disclosure of detailed information about property, plant and equipment [line items]
Beginning balance	15,584	6,165	5,587
Transfer of pre-delivery payments	0	0	0
Additions	882	11,296	3,204
Disposals	(29)	0	0
Assets held for sale			0
Reclassifications	(14,052)	(1,877)	(2,626)
Reclassifications from assets held for sale		0
Ending balance	2,385	15,584	6,165
Construction in progress [member] \| Accumulated depreciation and impairment [member]
Disclosure of detailed information about property, plant and equipment [line items]
Beginning balance	(4)	(4)	0
Depreciation for the year	0	0	0
Disposals	0	0	0
Assets held for sale			0
Impairment			(4)
Ending balance	$ (4)	$ (4)	$ (4)

Property and Equipment - Additional Information (Detail) $ in Thousands		1 Months Ended	12 Months Ended
	Dec. 31, 2022 USD ($) Aircraft	Aug. 31, 2020 USD ($)	Dec. 31, 2022 USD ($) Aircraft	Dec. 31, 2021 USD ($) Aircraft SparesEngines	Dec. 31, 2020 USD ($)
Disclosure of detailed information about property, plant and equipment [line items]
Average lease term			12 years
Capitalized expenditure improvements during the year			$ 5,200	$ 800
Profit (loss)			348,054	43,844	$ (607,062)
Reversal of impairment loss			$ 5,400
Training Center [Member]
Disclosure of detailed information about property, plant and equipment [line items]
Capitalized expenditure improvements during the year				$ 700
Impairment Testing [Member]
Disclosure of detailed information about property, plant and equipment [line items]
Description of cash flow projections				To determine whether impairment exists, the recoverable amount at the level of the CGU, was determined using cash flow projections from financial forecasts approved by senior management covering a five-year period. The pre-tax discount rate applied to cash flow projections was 13.6%.
Pre-tax discount rate applied to cash flow projections				13.60%
Boeing 737-700 [member]
Disclosure of detailed information about property, plant and equipment [line items]
Impairment loss		$ 191,200
Number Of Aircraft Sold \| Aircraft				3
Useful life of aircraft				3 years
B-737-Max [Member]
Disclosure of detailed information about property, plant and equipment [line items]
Number of aircraft capitalized \| Aircraft	3		3	6
Average lease term			12 years
B-737-700 [Member]
Disclosure of detailed information about property, plant and equipment [line items]
Profit (loss)	$ 0
Number Of Aircraft Sold \| Aircraft				3
Number Of Aircraft Parts Sold \| SparesEngines				4
Useful life of aircraft			3 years
Aircraft [member]
Disclosure of detailed information about property, plant and equipment [line items]
Additions purchase deposits			$ 383,200	$ 347,000
Carrying value pledged as collateral obligation	$ 1,500,000		1,500,000	1,500,000
Additions for advance payments contracts			$ 377,700	$ 276,900

Leases - Right of use assets (Detail) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Disclosure of quantitative information about right-of-use assets [line items]
Right of use assets, Beginning balance	$ 166,328	$ 214,279	$ 290,843
Additions			19,818
Additions/(Terminations)	142,191	30,242
Impairment			(1,541)
Depreciation expense	(74,139)	(78,193)	(94,841)
Right of use assets, Ending balance	234,380	166,328	214,279
Aircraft [member]
Disclosure of quantitative information about right-of-use assets [line items]
Right of use assets, Beginning balance	147,831	192,361	260,647
Additions			21,706
Additions/(Terminations)	132,122	29,157
Impairment	0	0	(1,541)
Depreciation expense	(69,167)	(73,687)	(88,451)
Right of use assets, Ending balance	210,786	147,831	192,361
Real Estate [Member]
Disclosure of quantitative information about right-of-use assets [line items]
Right of use assets, Beginning balance	18,497	21,918	30,196
Additions			(1,888)
Additions/(Terminations)	10,069	1,085
Impairment			0
Depreciation expense	(4,972)	(4,506)	(6,390)
Right of use assets, Ending balance	$ 23,594	$ 18,497	$ 21,918

Leases - Lease liabilities (Detail) - USD ($) $ in Thousands	Dec. 31, 2022	Dec. 31, 2021
Disclosure Of Lease Liabilities [Line Items]
Current portion of lease liability	$ 80,084	$ 73,917
Long Term Lease liability	158,289	104,734
Lease Liabilities	238,373	178,651
Aircraft [member]
Disclosure Of Lease Liabilities [Line Items]
Current portion of lease liability	74,906	70,061
Long Term Lease liability	135,609	86,167
Real Estate [Member]
Disclosure Of Lease Liabilities [Line Items]
Current portion of lease liability	5,178	3,856
Long Term Lease liability	$ 22,680	$ 18,567

Leases - Total cash outflow for leases (Detail) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021
Disclosure Of Cash Flows For Leases [Line Items]
Cash outflow for leases	$ 85,644	$ 87,798
Aircraft [member]
Disclosure Of Cash Flows For Leases [Line Items]
Cash outflow for leases	79,812	81,936
Real Estate [Member]
Disclosure Of Cash Flows For Leases [Line Items]
Cash outflow for leases	$ 5,832	$ 5,862

Leases - Disclosure of Lease Expenses (Detail) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Depreciation and amortization
Depreciation and amortization	$ 74,139	$ 78,193	$ 94,841
Impairment of non financial assets
Impairment			1,541
Other operating and administrative expenses
Short-term leases	9,530	440	90
Leases of low-value assets	377	279	330
Variable lease payments not include in the measurement of lease liabilities	3,222	1,352	827
Variable lease payments by rental concessions received	0	(1,295)	(489)
Lease Cost Operating And Adimninstrative Expenses	12,259	776	758
Finance cost
Unwinding Of Discount And Changes In The Discount Rate	819	762	832
Finance costs	7,445	7,568	10,734
Total lease costs	93,843	86,537	107,874
Aircraft [member]
Depreciation and amortization
Depreciation and amortization	69,167	73,687	88,451
Impairment of non financial assets
Impairment	0	0	1,541
Finance cost
Interest expense on lease liabilities	5,153	5,480	8,185
Real Estate [Member]
Depreciation and amortization
Depreciation and amortization	4,972	4,506	6,390
Impairment of non financial assets
Impairment			0
Finance cost
Interest expense on lease liabilities	$ 1,473	$ 1,326	$ 1,717

Leases - Additional Information (Detail) - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Disclosure of finance and operating lease by lessee [Line Items]
Weighted average incremental borrowing rate	3.63%	2.95%
Average duration of long-term lease agreement	12 years
Carrying amount of aircraft under operating lease		$ 12.9
Total lease income amounts	$ 1.7	3.0	$ 3.2
Total liability related to leases including the provision of dismantling	$ 266.4	$ 203.1

Net defined benefit assets (liability) - Summary of Employee Defined Benefit Plan (Detail) - USD ($) $ in Thousands	Dec. 31, 2022	Dec. 31, 2021
Disclosure of net defined benefit asset (liability) [line items]
Fair value of plan assets	$ 31,197	$ 27,413
Employee benefits liability	(30,693)	(35,083)
Net defined benefit asset (liability)	504	(7,670)
Defined benefit obligation [member]
Disclosure of net defined benefit asset (liability) [line items]
Employee benefits liability	(30,332)	(34,593)
Other employee benefits [member]
Disclosure of net defined benefit asset (liability) [line items]
Employee benefits liability	$ (361)	$ (490)

Net defined benefit assets (liability) - Additional Information (Detail) - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Disclosure of net defined benefit asset (liability) [line items]
Duration of defined benefit plan obligation	9 years 9 months 18 days
Actuarial Gain or loss Recognized In Other Comprehensive Income	$ 7.2	$ 5.4	$ 15.5
Regular employer contributions			2.8
Retirement of interest earned			$ 1.1

Net defined benefit assets (liability) - Summary of Components of Net Benefit Expense (Detail) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Disclosure of net defined benefit asset (liability) [line items]
Current service cost	$ 2,860	$ 3,272	$ 2,393
Interest cost on net benefit obligation	250	249	(25)
Past service cost	16	191	457
Curtailment / Settlement			(2,026)
Net periodic benefit cost (income)	3,126	3,712	799
Defined benefit obligation [member]
Disclosure of net defined benefit asset (liability) [line items]
Current service cost	2,860	3,272	2,393
Interest cost on net benefit obligation	972	721	706
Past service cost	16	191	457
Curtailment / Settlement		(2,026)
Net periodic benefit cost (income)	3,848	4,184	1,530
Fair value of assets [member]
Disclosure of net defined benefit asset (liability) [line items]
Current service cost	0	0	0
Interest cost on net benefit obligation	(722)	(472)	(731)
Past service cost	0	0	0
Curtailment / Settlement		0
Net periodic benefit cost (income)	$ (722)	$ (472)	$ (731)

Net defined benefit assets (liability) - Summary of Reconciliation of Net Employee Defined Benefit Liabilities (Detail) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Disclosure of net defined benefit asset (liability) [line items]
Beginning balance	$ (7,670)	$ (14,332)	$ 249
Current service cost	(2,860)	(3,272)	(2,393)
Interest (cost) income	(250)	(249)	25
Experience gain (loss)	(3,959)	602	(4,001)
Return on plan assets	172	416	374
Actuarial changes arising from changes in financial assumptions	10,874	4,411	(1,028)
Employer contributions	3,911	2,565	1,709
Benefits paid	325	520	456
Adjustments		2,422
Others	(23)	(562)	(7)
Ending balance	504	(7,670)	(14,332)
Past service cost	(16)	(191)	(457)
Curtailment / Settlement			2,026
Actuarial changes arising from changes in demographic assumptions			(11,285)
Defined benefit obligation [member]
Disclosure of net defined benefit asset (liability) [line items]
Beginning balance	(34,593)	(39,466)	(28,195)
Current service cost	(2,860)	(3,272)	(2,393)
Interest (cost) income	(972)	(721)	(706)
Experience gain (loss)	(3,959)	602	(4,001)
Return on plan assets	0	0	0
Actuarial changes arising from changes in financial assumptions	10,874	4,411	(1,028)
Employer contributions	0	0	0
Benefits paid	1,194	1,622	6,573
Adjustments		2,422
Others	0	0	0
Ending balance	(30,332)	(34,593)	(39,466)
Past service cost	(16)	(191)	(457)
Curtailment / Settlement			2,026
Actuarial changes arising from changes in demographic assumptions			(11,285)
Fair value of assets [member]
Disclosure of net defined benefit asset (liability) [line items]
Beginning balance	27,413	25,783	29,086
Current service cost	0	0	0
Interest (cost) income	722	472	731
Experience gain (loss)	0	0	0
Return on plan assets	172	416	374
Actuarial changes arising from changes in financial assumptions	0	0	0
Employer contributions	3,911	2,565	1,709
Benefits paid	(869)	(1,102)	(6,117)
Adjustments		0
Others	(152)	(721)	0
Ending balance	31,197	27,413	25,783
Past service cost	0	0	0
Curtailment / Settlement			0
Actuarial changes arising from changes in demographic assumptions			0
Other employee benefits liability [member]
Disclosure of net defined benefit asset (liability) [line items]
Beginning balance	(490)	(649)	(642)
Current service cost	0	0	0
Interest (cost) income	0	0	0
Experience gain (loss)	0	0	0
Return on plan assets		0	0
Actuarial changes arising from changes in financial assumptions	0	0
Employer contributions	0	0	0
Benefits paid	0	0	0
Adjustments		0
Others	129	159	(7)
Ending balance	(361)	(490)	(649)
Past service cost	$ 0	$ 0	0
Curtailment / Settlement			0
Actuarial changes arising from changes in demographic assumptions			$ 0

Net defined benefit assets (liability) - Summary of Sensitivity Analysis for Actuarial Assumptions (Detail)	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Discount rate [member]
Disclosure of sensitivity analysis for actuarial assumptions [line items]
Actuarial assumption rate	5.90%	2.90%	2.00%
Compensation - salary increase [member]
Disclosure of sensitivity analysis for actuarial assumptions [line items]
Actuarial assumption rate	4.00%	4.00%	4.00%
Mortality [member]
Disclosure of sensitivity analysis for actuarial assumptions [line items]
Demographic assumptions, Mortality	Panama expirence		RP - 2000 no collar
Termination [member]
Disclosure of sensitivity analysis for actuarial assumptions [line items]
Actuarial assumption rate			13.00%
Demographic assumptions, Mortality	2003 SoA pension plan
Male [member]
Disclosure of sensitivity analysis for actuarial assumptions [line items]
Retirement age	62 years	62 years	62 years
Female [member]
Disclosure of sensitivity analysis for actuarial assumptions [line items]
Retirement age	57 years	57 years	57 years

Net defined benefit assets (liability) - Summary of Additional Information about Sensitivity Analysis for Actuarial Assumptions (Detail) - Discount rate (0.5% movement) [member] - USD ($) $ in Thousands	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Disclosure of sensitivity analysis for actuarial assumptions [line items]
Increase	$ 1,338	$ 1,876	$ 2,318
Decrease	$ (1,451)	$ (2,056)	$ (2,554)

Net defined benefit assets (liability) - Summary of Expected Contribution Payments to Defined Benefit Plan (Detail) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021
Disclosure of defined benefit plans [line items]
Total expected payments	$ 30,368	$ 24,326
Up to one year [member]
Disclosure of defined benefit plans [line items]
Total expected payments	2,532	2,202
More than one year but less than five years [member]
Disclosure of defined benefit plans [line items]
Total expected payments	10,989	8,853
Over five years [member]
Disclosure of defined benefit plans [line items]
Total expected payments	$ 16,847	$ 13,271

Intangible Assets - Summary of Reconciliation of Changes in Intangible Assets and Goodwill (Detail) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Disclosure of reconciliation of changes in intangible assets and goodwill [line items]
Beginning balance	$ 81,749	$ 95,568
Ending balance	78,555	81,749	$ 95,568
Gross carrying amount [member]
Disclosure of reconciliation of changes in intangible assets and goodwill [line items]
Beginning balance	203,979	192,388	181,515
Additions	18,461	11,591	16,419
Disposals	(29,214)		(5,546)
Reclassifications	0	0	0
Ending balance	193,226	203,979	192,388
Accumulated amortization and impairment [member]
Disclosure of reconciliation of changes in intangible assets and goodwill [line items]
Beginning balance	(122,230)	(96,820)	(73,399)
Amortization for the year	(21,655)	(25,410)	(25,493)
Disposals	29,214		3,092
Impairment loss			(1,020)
Ending balance	(114,671)	(122,230)	(96,820)
Goodwill [member]
Disclosure of reconciliation of changes in intangible assets and goodwill [line items]
Beginning balance	20,380	20,380
Ending balance	20,380	20,380	20,380
Goodwill [member] \| Gross carrying amount [member]
Disclosure of reconciliation of changes in intangible assets and goodwill [line items]
Beginning balance	20,380	20,380	20,380
Additions	0	0	0
Disposals	0		0
Reclassifications	0	0	0
Ending balance	20,380	20,380	20,380
Goodwill [member] \| Accumulated amortization and impairment [member]
Disclosure of reconciliation of changes in intangible assets and goodwill [line items]
Beginning balance	0	0	0
Amortization for the year	0	0	0
Disposals	0		0
Impairment loss			0
Ending balance	0	0	0
License and software rights [member]
Disclosure of reconciliation of changes in intangible assets and goodwill [line items]
Beginning balance	50,987	60,208
Ending balance	41,825	50,987	60,208
License and software rights [member] \| Gross carrying amount [member]
Disclosure of reconciliation of changes in intangible assets and goodwill [line items]
Beginning balance	172,197	156,008	143,201
Additions	2,899	1,694	4,378
Disposals	(29,214)		(5,546)
Reclassifications	9,594	14,495	13,975
Ending balance	155,476	172,197	156,008
License and software rights [member] \| Accumulated amortization and impairment [member]
Disclosure of reconciliation of changes in intangible assets and goodwill [line items]
Beginning balance	(121,210)	(95,800)	(73,399)
Amortization for the year	(21,655)	(25,410)	(25,493)
Disposals	29,214		3,092
Impairment loss			0
Ending balance	(113,651)	(121,210)	(95,800)
Intangible in process [member]
Disclosure of reconciliation of changes in intangible assets and goodwill [line items]
Beginning balance	10,382	14,980
Ending balance	16,350	10,382	14,980
Intangible in process [member] \| Gross carrying amount [member]
Disclosure of reconciliation of changes in intangible assets and goodwill [line items]
Beginning balance	11,402	16,000	17,934
Additions	15,562	9,897	12,041
Disposals	0		0
Reclassifications	(9,594)	(14,495)	(13,975)
Ending balance	17,370	11,402	16,000
Intangible in process [member] \| Accumulated amortization and impairment [member]
Disclosure of reconciliation of changes in intangible assets and goodwill [line items]
Beginning balance	(1,020)	(1,020)	0
Amortization for the year	0	0	0
Disposals	0		0
Impairment loss			(1,020)
Ending balance	$ (1,020)	$ (1,020)	$ (1,020)

Intangible Assets - Additional Information (Detail) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Disclosure of reconciliation of changes in intangible assets and goodwill [line items]
Discount rates	13.80%
Increase in discount rate	20.70%
Intangible assets	$ 78,555	$ 81,749	$ 95,568
Percentage of rise in increase in discount rate	6.90%
Goodwill [member]
Disclosure of reconciliation of changes in intangible assets and goodwill [line items]
Estimated recoverable amount	$ 5,100,000	$ 2,800,000
Percentage of growth rate	3.00%	4.90%
Discount rates	13.80%	13.60%
Intangible assets	$ 20,380	$ 20,380	$ 20,380
Capitalised development expenditure [member]
Disclosure of reconciliation of changes in intangible assets and goodwill [line items]
Intangible assets	$ 9,600	$ 11,200

Other Assets - Summary of Other Assets (Detail) - USD ($) $ in Thousands	Dec. 31, 2022	Dec. 31, 2021
Assets [abstract]
Interest receivable	$ 10,554	$ 4,791
Other	6,489	1,263
Other currents assets	17,043	6,054
Guarantee deposits	5,493	3,296
Deposits for litigation	8,300	7,590
Other assets	3,212	3,212
Other non - current assets	17,005	14,098
Other current and non-current assets	$ 34,048	$ 20,152

Loans and borrowings - Summary of Loans and borrowings (Detail) - USD ($) $ in Thousands	Dec. 31, 2022	Dec. 31, 2021
Disclosure of detailed information about borrowings [line items]
Debt including current maturities	$ 1,444,303	$ 1,425,633
Current maturities	(142,484)	(196,602)
Loans and borrowings long-term	1,301,819	1,229,031
Floating interest rate [member]
Disclosure of detailed information about borrowings [line items]
Debt including current maturities	33,300
Borrowing due through 2034 [member] \| Fixed interest rate [member]
Disclosure of detailed information about borrowings [line items]
Debt including current maturities	983,138
Borrowing due through 2033 [member] \| Fixed interest rate [member]
Disclosure of detailed information about borrowings [line items]
Debt including current maturities		896,607
Borrowing due through 2022 [member]
Disclosure of detailed information about borrowings [line items]
Loan payable		50,014
Borrowing due through 2029 [member] \| Floating interest rate [member]
Disclosure of detailed information about borrowings [line items]
Debt including current maturities	191,132	235,632
Senior Convertible Notes Due Through 2025 [Member]
Disclosure of detailed information about borrowings [line items]
Debt including current maturities	$ 270,033	$ 243,380
Effective interest rates of borrowings	14.68%	14.68%
Bottom of range [member] \| Borrowing due through 2034 [member]
Disclosure of detailed information about borrowings [line items]
Effective interest rates of borrowings	1.73%
Bottom of range [member] \| Borrowing due through 2033 [member]
Disclosure of detailed information about borrowings [line items]
Effective interest rates of borrowings		0.97%
Bottom of range [member] \| Borrowing due through 2029 [member]
Disclosure of detailed information about borrowings [line items]
Effective interest rates of borrowings	4.97%	0.31%
Top of range [member] \| Borrowing due through 2034 [member]
Disclosure of detailed information about borrowings [line items]
Effective interest rates of borrowings	3.95%
Top of range [member] \| Borrowing due through 2033 [member]
Disclosure of detailed information about borrowings [line items]
Effective interest rates of borrowings		3.70%
Top of range [member] \| Borrowing due through 2029 [member]
Disclosure of detailed information about borrowings [line items]
Effective interest rates of borrowings	6.35%	1.47%

Loans and borrowings - Summary of Maturities of Loans and borrowings (Detail) - USD ($) $ in Thousands	Dec. 31, 2022	Dec. 31, 2021
Disclosure of detailed information about borrowings [line items]
Loans and borrowings maturity	$ 1,444,303	$ 1,425,633
2023 [member]
Disclosure of detailed information about borrowings [line items]
Loans and borrowings maturity	142,484
2024 [member]
Disclosure of detailed information about borrowings [line items]
Loans and borrowings maturity	201,979
2025 [member]
Disclosure of detailed information about borrowings [line items]
Loans and borrowings maturity	202,978
2026 [Member]
Disclosure of detailed information about borrowings [line items]
Loans and borrowings maturity	361,455
2027 [member]
Disclosure of detailed information about borrowings [line items]
Loans and borrowings maturity	101,387
Thereafter [member]
Disclosure of detailed information about borrowings [line items]
Loans and borrowings maturity	$ 434,020

Loans and borrowings - Disclousre of detailed information about impact of the embedded derivative on the financial statements (Detail) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Disclousre of Detailed information about Impact of the Embedded Derivative on the Financial Statements [Line Items]
Derivative financial instrument- Financial Position	$ 17,189	$ (22,778)	$ (107,139)
Derivative financial instruments- Profit or loss	251,150	268,338
Senior Convertible Notes [Member]
Disclousre of Detailed information about Impact of the Embedded Derivative on the Financial Statements [Line Items]
Derivative financial instrument- Financial Position	17,189	(22,778)	$ (107,139)
Derivative financial instruments- Profit or loss	$ 251,150	$ 268,338

Loans and borrowings - Summary of Senior convertible notes (Detail) - Senior Convertible Notes [Member] - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Apr. 30, 2020
Disclosure of Detailed Information Of Senior Convertible Notes Explanatory [Line Items]
Debt instrument issue date	Apr. 30, 2020
Nominal issue	$ 350,000	$ 350,000
Borrowing costs recognised as expense	(7,102)
Proceeds from Issue of Convertible Notes	$ 342,898

Loans and borrowings - Additional Information (Detail) - USD ($) $ / shares in Units, $ in Thousands	1 Months Ended	12 Months Ended
	Apr. 30, 2020	Dec. 31, 2022	Dec. 31, 2021
Disclosure of detailed information about borrowings [line items]
Debt including current maturities		$ 1,444,303	$ 1,425,633
Bottom of range [member]
Disclosure of detailed information about borrowings [line items]
Support from Export-Import Bank for net purchase price of aircraft		80.00%
Top of range [member]
Disclosure of detailed information about borrowings [line items]
Support from Export-Import Bank for net purchase price of aircraft		85.00%
Floating interest rate [member]
Disclosure of detailed information about borrowings [line items]
Debt including current maturities		$ 33,300
Export-Import Bank of United States [member]
Disclosure of detailed information about borrowings [line items]
Outstanding indebtedness		$ 466,600	403,200
Senior Convertible Notes [Member]
Disclosure of detailed information about borrowings [line items]
Debt Instrument Maturity Date	Apr. 15, 2025
Description of conversion ratio of senior convertible notes		The initial conversion rate is 19.3564 shares per $1,000 principal amount of notes
Conversion price per principal amount		$ 51.66
Borrowing interest rate	4.50%
Nominal Issue	$ 350,000	$ 350,000
Fair value of the embedded derivative at initial recognition	$ 138,400
Finance lease [member] \| Fixed interest rate [member]
Disclosure of detailed information about borrowings [line items]
Debt including current maturities		516,500	548,700
Finance lease [member] \| Floating interest rate [member]
Disclosure of detailed information about borrowings [line items]
Debt including current maturities		$ 157,800	$ 180,300

Loans and borrowings - Summary of Finance Cost and Income (Detail) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Disclosure of detailed information about borrowings [line items]
Finance income	$ 18,030	$ 10,849	$ 19,963
Finance cost	(87,631)	(76,234)	(73,045)
Interest income on short-term bank deposits [member]
Disclosure of detailed information about borrowings [line items]
Finance income	954	211	543
Interest income on investment [member]
Disclosure of detailed information about borrowings [line items]
Finance income	17,076	10,638	19,420
Interests expense on bank loans [member]
Disclosure of detailed information about borrowings [line items]
Finance cost	(30,502)	(26,817)	(29,711)
Interest Expense on Senior Convertible Notes [Member]
Disclosure of detailed information about borrowings [line items]
Finance cost	(42,403)	(38,301)	(23,571)
Interest on factoring [member]
Disclosure of detailed information about borrowings [line items]
Finance cost	(5,393)	(1,365)	(256)
Interest on lease liabilities [member]
Disclosure of detailed information about borrowings [line items]
Finance cost	(7,445)	(7,568)	(10,734)
Unwinding of discount and changes in the discount rate [member]
Disclosure of detailed information about borrowings [line items]
Finance cost	$ (1,888)	$ (2,183)	$ (8,773)

Loans and borrowings - Changes in Liabilities Arising from Financing Activities (Detail) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021
Disclosure of reconciliation of liabilities arising from financing activities [line items]
Beginning Balance	$ 1,604,284	$ 1,394,410
Cash flows	(106,055)	129,053
Foreign Exchange Movement	(275)	(348)
Leases	139,014	30,776
Concession Covid-19	0	(1,295)
Other	45,708	51,688
Ending balance	1,682,676	1,604,284
Loans and borrowings [member]
Disclosure of reconciliation of liabilities arising from financing activities [line items]
Beginning Balance	1,425,633	1,163,900
Cash flows	(27,038)	210,045
Foreign Exchange Movement	0	0
Leases	0	0
Concession Covid-19	0	0
Other	45,708	51,688
Ending balance	1,444,303	1,425,633
Lease liability [member]
Disclosure of reconciliation of liabilities arising from financing activities [line items]
Beginning Balance	178,651	230,510
Cash flows	(79,017)	(80,992)
Foreign Exchange Movement	(275)	(348)
Leases	139,014	30,776
Concession Covid-19	0	(1,295)
Other	0	0
Ending balance	$ 238,373	$ 178,651

Trade, Other Payables and Financial Liabilities - Summary of Trade, Other Payables and Financial Liabilities (Detail) - USD ($) $ in Thousands	Dec. 31, 2022	Dec. 31, 2021
Trade and other payables [line items]
Account payables	$ 166,660	$ 112,596
Account payables to related parties	1,004	7,948
Trade payable	167,664	120,544
Trade, other payables and financial liabilities	168,839	121,330
Others [member]
Trade and other payables [line items]
Others	$ 1,175	$ 786

Accrued Expenses Payable - Summary of Accrued Expenses Payable (Detail) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021
Accrued expenses [abstract]
Accruals and estimations	$ 4,167	$ 4,290
Labor related provisions	34,423	23,163
Liability for social security contributions	6,323	5,043
Other	0	271
Accrued expenses payable	$ 44,913	$ 32,767

Accrued Expenses Payable - Additional Information (Detail)	12 Months Ended
	Dec. 31, 2022
Statement [Line Items]
Accrual expense settlement period	12 months

Other Long-term Liabilities - Summary of Other Long-term Liabilities (Detail) $ in Thousands	12 Months Ended
	Dec. 31, 2022 USD ($)
Disclosure of other long-term liabilities [line items]
Beginning balance	$ 211,103
Increases	23,928
Used	(4,127)
Adjustment	(9,039)
Effect of movements in exchange rates	531
Unused amounts reversed	(318)
Unwinding of discount and changes in the discount rate	2,707
Ending balance	224,785
Current and non - current
Current	4,167
Non-current	220,618
Ending balance	224,785
Provision for litigations [member]
Disclosure of other long-term liabilities [line items]
Beginning balance	9,052
Increases	703
Used	(61)
Adjustment	0
Effect of movements in exchange rates	531
Unused amounts reversed	(318)
Unwinding of discount and changes in the discount rate	0
Ending balance	9,907
Current and non - current
Current	0
Non-current	9,907
Ending balance	9,907
Provision for return condition [member]
Disclosure of other long-term liabilities [line items]
Beginning balance	159,539
Increases	20,223
Used	0
Adjustment	(7,381)
Effect of movements in exchange rates	0
Unused amounts reversed	0
Unwinding of discount and changes in the discount rate	1,888
Ending balance	174,269
Current and non - current
Current	0
Non-current	174,269
Ending balance	174,269
Dismantling provision [member]
Disclosure of other long-term liabilities [line items]
Beginning balance	24,424
Increases	2,133
Used	0
Adjustment	680
Effect of movements in exchange rates	0
Unused amounts reversed	0
Unwinding of discount and changes in the discount rate	819
Ending balance	28,056
Current and non - current
Current	0
Non-current	28,056
Ending balance	28,056
Other long term liabilities [member]
Disclosure of other long-term liabilities [line items]
Beginning balance	18,088
Increases	869
Used	(4,066)
Adjustment	(2,338)
Effect of movements in exchange rates	0
Unused amounts reversed	0
Unwinding of discount and changes in the discount rate	0
Ending balance	12,553
Current and non - current
Current	4,167
Non-current	8,386
Ending balance	$ 12,553

Other Long-term Liabilities - Additional Information (Detail) - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021
Statement [Line Items]
Amount in escrow account	$ 8.2	$ 7.5
Provision For Adjustment	7.3
Provision for maintenance	9.2	$ 14.9
Trust fund	$ 3.0

Income Taxes - Summary of Income Tax Expense (Detail) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Current taxes expense
Current period	$ (45,561)	$ (8,892)	$ (14,032)
Adjustment for prior period	626	2,397	162
Current taxes expense, total	(44,935)	(6,495)	(13,870)
Deferred taxes expenses
Origination and reversal of temporary differences	4,759	(3,991)	37,587
Total income tax expense	$ (40,176)	$ (10,486)	$ 23,717

- Definition

The aggregate amount included in the determination of profit (loss) for the period in respect of current tax and deferred tax. [Refer: Current tax expense (income); Deferred tax expense (income)]

+ References + Details

Income Taxes - Additional Information (Detail) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021
Disclosure of temporary difference, unused tax losses and unused tax credits [line items]
Deferred tax assets	$ 30,743	$ 28,196
Years of examination by income tax authority	3 years
Duration of tax loss carryforward	5 years
Copa Airlines [member]
Disclosure of temporary difference, unused tax losses and unused tax credits [line items]
Deferred tax assets	$ 11,400	10,500
AeroRepública [Member]
Disclosure of temporary difference, unused tax losses and unused tax credits [line items]
Deferred tax assets	$ 6,900	$ 6,000
Tax year 2022 [member] \| Copa Airlines [member]
Disclosure of temporary difference, unused tax losses and unused tax credits [line items]
Effective rate	25.00%
Colombia [member] \| Tax year 2022 [member] \| AeroRepública [Member]
Disclosure of temporary difference, unused tax losses and unused tax credits [line items]
Effective rate		35.00%
PANAMA \| Bottom of range [member]
Disclosure of temporary difference, unused tax losses and unused tax credits [line items]
Year of tax losses carry forward put to use	2021 years
PANAMA \| Top of range [member]
Disclosure of temporary difference, unused tax losses and unused tax credits [line items]
Year of tax losses carry forward put to use	2025 years

Income Taxes - Summary of Balances of Deferred Taxes (Detail) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Deferred tax liabilities
Maintenance deposits	$ (11,945)	$ (17,918)
Prepaid dividend tax	(5,801)	(2,003)
Property and equipment	944	1,502
Other	(1,738)	(1,879)
Set off tax	1,969	1,516
Deferred tax liabilities	(16,571)	(18,782)
Deferred tax assets
Provision for return conditions	9,807	8,564
Air traffic liability	2,686	2,462
Other provisions	1,946	2,109
Tax Loss	18,273	16,577
Set off tax	(1,969)	(1,516)
Deferred tax assets	30,743	28,196
Total deferred taxes	14,172	9,414
Deferred tax liabilities
Maintenance deposits	(5,973)	(5,973)	$ (5,972)
Prepaid dividend tax	3,798	2,003	(7,403)
Property and equipment	558	606	(5,004)
Other	(141)	379	(3,190)
Set off tax	(453)	(423)	362
Deferred tax liabilities	(2,211)	(3,408)	(21,207)
Deferred tax assets
Provision for return conditions	(1,243)	4,101	(2,570)
Air traffic liability	(224)	24	(447)
Other provisions	161	(1,485)	6,202
Tax Loss	(1,695)	4,336	(19,203)
Set off tax	453	423	(362)
Deferred tax assets	(2,548)	7,399	(16,380)
Origination and reversal of temporary differences	$ (4,759)	$ 3,991	$ (37,587)

Income Taxes - Summary of Reconciliation of Effective Tax Rate (Detail) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Statement [Line Items]
Income taxes at Panamanian statutory rates	25.00%	25.00%	25.00%
Stations - Taxable/Panama	(16.80%)	15.40%	(13.20%)
Stations - Taxable/Non Panama	0.20%	10.30%	(1.50%)
Stations - Non Taxable/Non panama	(2.30%)	(27.00%)	(5.30%)
Dividend tax	4.40%	0.00%	(1.20%)
Over provided in prior periods	(0.10%)	(4.40%)	0.00%
Provision for income taxes	10.40%	19.30%	3.80%
Net profit (loss)	$ 348,054	$ 43,844	$ (607,062)
Total income tax expense	40,176	10,486	(23,717)
Profit (loss) excluding income tax	388,230	54,330	(630,779)
Income taxes at Panamanian statutory rates	97,057	13,583	(157,695)
Stations - Taxable/Panama	(65,384)	8,379	83,071
Stations - Taxable/Non Panama	945	5,605	9,850
Stations - Non Taxable/Non panama	(8,961)	(14,684)	33,728
Dividend tax	17,145	0	7,491
Over provided in prior periods	(626)	(2,397)	(162)
Total income tax expense	$ 40,176	$ 10,486	$ (23,717)

Accounts and Transactions with Related Parties - Summary of Accounts and Transactions with Related Parties (Detail) - USD ($) $ in Thousands	Dec. 31, 2022	Dec. 31, 2021
Disclosure of transactions between related parties [line items]
Account receivable	$ 2,168	$ 1,832
Account payable	1,004	7,948
Banco general, S. A. [member]
Disclosure of transactions between related parties [line items]
Account receivable	1,960	1,589
Panama air cargo terminal [member]
Disclosure of transactions between related parties [line items]
Account receivable	208	217
Account payable	141	11
Petroleos delta, S. A. [member]
Disclosure of transactions between related parties [line items]
Account receivable	0	26
Account payable	0	7,677
ASSA compania de seguros, S. A. [member]
Disclosure of transactions between related parties [line items]
Account payable	765	196
Desarrollo inmobiliario del este, S. A. [member]
Disclosure of transactions between related parties [line items]
Account payable	51	37
Galindo, arias and lopez [member]
Disclosure of transactions between related parties [line items]
Account payable	28	17
Motta international, S.A. [member]
Disclosure of transactions between related parties [line items]
Account payable	14	7
Millicom Tigo Panam, S.A. [Member]
Disclosure of transactions between related parties [line items]
Account payable	0	3
GBM International, Inc. [Member]
Disclosure of transactions between related parties [line items]
Account payable	$ 5	$ 0

Accounts and Transactions with Related Parties - Summary of Related Party Transactions (Detail) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Petroleos delta, S. A. [member] \| Purchase of jet fuel [member]
Disclosure of transactions between related parties [line items]
Related party	$ 0	$ 190,628	$ 102,702
ASSA compania de seguros, S. A. [member] \| Insurance [member]
Disclosure of transactions between related parties [line items]
Related party	10,157	9,713	7,147
Desarrollo inmobiliario del este, S. A. [member] \| Property leasing [member]
Disclosure of transactions between related parties [line items]
Related party	2,989	3,384	3,301
Profuturo Administradora de fondos de Pension y cesantia [member] \| Payments [member]
Disclosure of transactions between related parties [line items]
Related party	3,911	2,565	2,839
Panama air cargo terminal [member] \| Handling [member]
Disclosure of transactions between related parties [line items]
Related party	4,116	3,193	2,037
Motta International [member] \| Purchase [member]
Disclosure of transactions between related parties [line items]
Related party	812	108	550
Galindo, arias and lopez [member] \| Legal services [member]
Disclosure of transactions between related parties [line items]
Related party	530	170	236
GBM International, Inc. [member] \| Technological support [member]
Disclosure of transactions between related parties [line items]
Related party	50	102	146
Global Brands Panama, S. A. [member] \| Purchase [member]
Disclosure of transactions between related parties [line items]
Related party	60	31	31
Televisora Nacional, S.A. [member] \| Communications [member]
Disclosure of transactions between related parties [line items]
Related party	0	0	13
Banco general, S. A. [member] \| Interest income [member]
Disclosure of transactions between related parties [line items]
Related party	$ (829)	$ (1,546)	$ (2,657)

Accounts and Transactions with Related Parties - Additional Information (Detail) $ in Millions	12 Months Ended
	Dec. 31, 2022 USD ($) ft²	Dec. 31, 2021 USD ($)	Dec. 31, 2020 USD ($)
Desarrollo inmobiliario del este, S. A. [member] \| Desarrollo inmobiliario [member]
Disclosure of transactions between related parties [line items]
Approximate area of building \| ft²	105,981
Number of lease floor	four
Corporacion de inversiones areas, S. A [member] \| Desarrollo inmobiliario [member] \| Class B shares [member]
Disclosure of transactions between related parties [line items]
Percentage of ownership	100.00%
Executive officers [member]
Disclosure of transactions between related parties [line items]
Future payments pursuant to a non-compete agreement	$ 3.0
Banco General, S. A. [member]
Disclosure of transactions between related parties [line items]
Interest receivable	0.1	$ 0.9
Proceeds from sale of miles	$ 18.9	$ 13.8	$ 10.7

Accounts and Transactions with Related Parties - Summary of Key Management Personnel Compensation (Detail) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Disclosure of transactions between related parties [abstract]
Short-term employee benefits	$ 2,901	$ 2,748	$ 3,177
Post-employment pension	56	53	61
Share-based payments	318	1,083	2,362
Total	$ 3,275	$ 3,884	$ 5,600

Equity - Additional Information (Detail) - USD ($)	1 Months Ended		3 Months Ended
Equity - Additional Information (Detail) - USD ($)	Feb. 28, 2016	Nov. 30, 2014	Jun. 30, 2022	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020	Dec. 31, 2019
Disclosure of equity [line items]
Dividend payable annual percentage	40.00%
Treasury stock [member]
Disclosure of equity [line items]
Share repurchase program authorized amount		$ 250,000,000	$ 200,000,000
Class A common stock [member]
Disclosure of equity [line items]
Common stock, shares authorised				80,000,000
Common stock, shares issued				34,033,575	33,998,654
Common stock, shares outstanding				28,477,704	30,995,120	31,421,265	31,337,856
Class B common stock [member]
Disclosure of equity [line items]
Common stock, shares authorised				80,000,000
Common stock, shares issued				10,938,125	10,938,125
Common stock, shares outstanding				10,938,125	10,938,125	10,938,125	10,938,125
Class C common stock [member]
Disclosure of equity [line items]
Common stock, shares authorised				80,000,000
Common stock, shares outstanding				0	0

Equity - Summary of Share Repurchase Program (Detail) $ in Thousands	12 Months Ended
	Dec. 31, 2022 USD ($) shares
Disclosure Of Share Repurchase Program [Line Items]
Shares \| shares	5,441,434
Cash paid \| $	$ (344,541)
2014
Disclosure Of Share Repurchase Program [Line Items]
Shares \| shares	182,592
Cash paid \| $	$ (18,506)
2015
Disclosure Of Share Repurchase Program [Line Items]
Shares \| shares	2,127,900
Cash paid \| $	$ (117,882)
2021
Disclosure Of Share Repurchase Program [Line Items]
Shares \| shares	559,025
Cash paid \| $	$ (40,514)
2022
Disclosure Of Share Repurchase Program [Line Items]
Shares \| shares	2,571,917
Cash paid \| $	$ (167,639)

Share-based Payments - Additional Information (Detail) - USD ($) $ / shares in Units, $ in Millions	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Disclosure of terms and conditions of share-based payment arrangement [line items]
Share-based compensation expense	$ 5.2	$ 7.1	$ 5.3
Fair value of non-vested stock awards	$ 71.59	$ 85.31
Estimated compensation cost for next year	$ 3.7	$ 6.3
Weighted average remaining contractual life	2 years 2 months 12 days	2 years 7 months 6 days
Expected term	10 years
Bottom of range [member]
Disclosure of terms and conditions of share-based payment arrangement [line items]
Vesting period	3 years
Top of range [member]
Disclosure of terms and conditions of share-based payment arrangement [line items]
Vesting period	5 years
2023 [member]
Disclosure of terms and conditions of share-based payment arrangement [line items]
Estimated compensation cost for next year	$ 2.7

Share-based Payments - Summary of Terms and Conditions, Relating to the Grants of the Non-vested Stock Award under the Equity Compensation Plan (Detail)	12 Months Ended
	Dec. 31, 2022 shares
February, 2016 [member]
Disclosure of terms and conditions of share-based payment arrangement [line items]
Number of instruments	147,000
Vesting conditions	15% first three anniversaries 25% fourth 30% fifth anniversary
Contractual life	5 years
February, 2016 [member]
Disclosure of terms and conditions of share-based payment arrangement [line items]
Number of instruments	63,000
Vesting conditions	Fifth anniversary
Contractual life	5 years
February, 2018 [member]
Disclosure of terms and conditions of share-based payment arrangement [line items]
Number of instruments	21,556
Vesting conditions	7% first month 31% first three anniversaries
Contractual life	3 years
February, 2018 [member]
Disclosure of terms and conditions of share-based payment arrangement [line items]
Number of instruments	14,379
Vesting conditions	33% first three anniversaries
Contractual life	3 years
February, 2018 [member]
Disclosure of terms and conditions of share-based payment arrangement [line items]
Number of instruments	1,316
Vesting conditions	15% first three anniversaries 25% fourth 30% fifth anniversary
Contractual life	5 years
July, 2018 [member]
Disclosure of terms and conditions of share-based payment arrangement [line items]
Number of instruments	6,104
Vesting conditions	Third anniversary
Contractual life	3 years
February, 2019 [member]
Disclosure of terms and conditions of share-based payment arrangement [line items]
Number of instruments	15,951
Vesting conditions	1% first month 33% first three anniversaries
Contractual life	3 years
June, 2019 [member]
Disclosure of terms and conditions of share-based payment arrangement [line items]
Number of instruments	9,256
Vesting conditions	33% first three anniversaries
Contractual life	3 years
June, 2019 [member]
Disclosure of terms and conditions of share-based payment arrangement [line items]
Number of instruments	977
Vesting conditions	33% first three anniversaries
Contractual life	3 years
August, 2019 [member]
Disclosure of terms and conditions of share-based payment arrangement [line items]
Number of instruments	1,039
Vesting conditions	33% first three anniversaries
Contractual life	3 years
December, 2019 [member]
Disclosure of terms and conditions of share-based payment arrangement [line items]
Number of instruments	1,724
Vesting conditions	100% first anniversary
Contractual life	1 year
February, 2020 [member]
Disclosure of terms and conditions of share-based payment arrangement [line items]
Number of instruments	24,650
Vesting conditions	1% first month 33% first three anniversaries
Contractual life	3 years
December, 2020 [member]
Disclosure of terms and conditions of share-based payment arrangement [line items]
Number of instruments	3,551
Vesting conditions	100% first anniversary
Contractual life	1 year
February, 2021[member]
Disclosure of terms and conditions of share-based payment arrangement [line items]
Number of instruments	32,852
Vesting conditions	20% first five anniversaries
Contractual life	5 years
February, 2021[member]
Disclosure of terms and conditions of share-based payment arrangement [line items]
Number of instruments	103,802
Vesting conditions	33% first three anniversaries
Contractual life	3 years
April, 2021 [member]
Disclosure of terms and conditions of share-based payment arrangement [line items]
Number of instruments	1,145
Vesting conditions	33% first three anniversaries
Contractual life	3 years
February, 2022 [member]
Disclosure of terms and conditions of share-based payment arrangement [line items]
Number of instruments	13,943
Vesting conditions	33% first three anniversaries
Contractual life	3 years
June, 2022 [member]
Disclosure of terms and conditions of share-based payment arrangement [line items]
Number of instruments	20,368
Vesting conditions	33% first three anniversaries
Contractual life	3 years
June, 2022 [member]
Disclosure of terms and conditions of share-based payment arrangement [line items]
Number of instruments	994
Vesting conditions	33% first three anniversaries
Contractual life	3 years

Share-based Payments - Summary of non-vested stock award activity (Detail) - Non-vested [member]	12 Months Ended
	Dec. 31, 2022 shares	Dec. 31, 2021 shares	Dec. 31, 2020 shares
Disclosure of terms and conditions of share-based payment arrangement [line items]
Non-vested at January 1	157,823	153,921	211,205
Granted	35,305	137,799	28,201
Vested	(54,501)	(132,880)	(83,409)
Forfeited	(384)	(1,017)	(2,076)
Non-vested at December 31	138,243	157,823	153,921

Earnings Per Share - Schedule of Computation of the Income (Loss) and Share Data Used in the Basic and Diluted Earnings Per Share (Detail) - USD ($) $ / shares in Units, $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Basic earnings per share—
Net profit (loss)	$ 348,054	$ 43,844	$ (607,062)
Weighted-average shares outstanding	40,445	42,439	42,338
Non-vested dividend participating awards	136	162	170
Weighted-average shares outstanding	40,581	42,601	42,508
Basic earnings (loss) per share	$ 8.58	$ 1.03	$ (14.28)
Diluted earnings per share—
Net profit (loss)	$ 348,054	$ 43,844	$ (607,062)
Interest on convertible senior notes	42,403
Net change in fair value of derivatives	(17,189)	22,778	107,139
Net profit (loss) income adjusted for the effect of dilution	$ 373,268	$ 43,844	$ (607,062)
Weighted-average shares outstanding	40,581	42,601	42,508
Convertible shares	6,775
Adjusted weighted average number of ordinary shares outstanding	47,356	42,601	42,508
Total Diluted earnings per share	$ 7.88	$ 1.03	$ (14.28)

Earnings Per Share - Additional Information (Detail) - shares shares in Millions	12 Months Ended
	Dec. 31, 2021	Dec. 31, 2020
Earnings per share [abstract]
Anitdilutive securities excluded from the computation of earnings per share	6.7	6.7

Commitments and Contingencies - Additional Information (Detail) $ in Thousands	12 Months Ended
	Dec. 31, 2022 USD ($) Contract Aircraft Organization	Dec. 31, 2021 USD ($)
Commitments and contingencies [line items]
Number of company's employees \| Aircraft	645
Percentage of employees unionized	31.80%
Collective bargaining agreements terms	2 years
Number of employees \| Aircraft	645
Debt including current maturities	$ 1,444,303	$ 1,425,633
Undrawn Borrowing Facilities	$ 355,000
Panama Tax Authority
Commitments and contingencies [line items]
Duration of statute of limiatation for income tax	3 years
Duration of statute of limiatation for dividend tax	15 years
Credit Facilities [Member]
Commitments and contingencies [line items]
Debt including current maturities	$ 0
Undrawn Borrowing Facilities	355,000	345,000
Secured Revolving Credit Facility [Member]
Commitments and contingencies [line items]
Undrawn Borrowing Facilities	60,000
Unsecured and Secured Credit Facilities [Member]
Commitments and contingencies [line items]
Undrawn Borrowing Facilities	$ 295,000
Labor unions [member]
Commitments and contingencies [line items]
Number of company's employees	7,265
Percentage of employees unionized	65.40%
Number of union organizations \| Organization	9
Number of employees	7,265
Labor unions [member] \| Panama [member]
Commitments and contingencies [line items]
Number of union organizations \| Organization	5
Collective bargaining agreements terms	4 years
Labor unions [member] \| Colombia [member]
Commitments and contingencies [line items]
Number of union organizations \| Organization	4
Labor unions [member] \| Top of range [member] \| Colombia [member]
Commitments and contingencies [line items]
Collective bargaining agreements terms	3 years
Purchase contracts [member] \| Boeing Company [member]
Commitments and contingencies [line items]
Predelivery Deposits	$ 720,500	469,400
Purchase contracts [member] \| Later than one year and not later than six years [member]
Commitments and contingencies [line items]
Number of purchase contracts subscribed \| Contract	66
Lines of credit for working capital and letters of credit [member]
Commitments and contingencies [line items]
Letters of credit	$ 32,300	$ 20,200

Commitments and Contingencies - Summary of Firm Commitment To Purchase Asset (Detail) $ in Thousands	Dec. 31, 2022 USD ($)
Firm Commitment To Purchase Asset [Line Items]
Contractual capital commitments	$ 3,027,586
2023
Firm Commitment To Purchase Asset [Line Items]
Contractual capital commitments	423,579
2024
Firm Commitment To Purchase Asset [Line Items]
Contractual capital commitments	634,353
2025
Firm Commitment To Purchase Asset [Line Items]
Contractual capital commitments	494,232
2026
Firm Commitment To Purchase Asset [Line Items]
Contractual capital commitments	526,425
2027
Firm Commitment To Purchase Asset [Line Items]
Contractual capital commitments	533,922
2028
Firm Commitment To Purchase Asset [Line Items]
Contractual capital commitments	$ 415,075

Financial instruments-Risk management and fair value - Additional Information (Detail) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021
Disclosure of detailed information about financial instruments [line items]
Mark to market derivative income (expense)	$ 0	$ 0
Debt including current maturities	1,444,303	1,425,633
Investments at Fair Value	$ 95,500	$ 124,700
Interest rate and cashflow risk [member]
Disclosure of detailed information about financial instruments [line items]
Average interest rate on derivatives	100.00%
Change in interest expense	$ 1,900
Increase decrease in fair value of debt	$ 16,600
Brazil, Brazil real [member]
Disclosure of detailed information about financial instruments [line items]
Percentage of foreign currency risk revenue	8.00%	8.10%
Colombia, pesos [member]
Disclosure of detailed information about financial instruments [line items]
Percentage of foreign currency risk revenue	12.10%	13.60%
Argentina, pesos [member]
Disclosure of detailed information about financial instruments [line items]
Percentage of foreign currency risk revenue	4.60%	2.00%
Chilean peso [member]
Disclosure of detailed information about financial instruments [line items]
Percentage of foreign currency risk revenue	3.20%	1.79%
Currency risk [member]
Disclosure of detailed information about financial instruments [line items]
Percentage of foreign exchange risk revenue	63.30%
Percentage of foreign exchange risk expenses	77.30%
Borrowing due through 2033 [member] \| Fixed interest rate [member]
Disclosure of detailed information about financial instruments [line items]
Debt including current maturities		$ 896,607
Fixed interest rates	1.73% to 3.95%
Fixed Rated Debt [Member]
Disclosure of detailed information about financial instruments [line items]
Debt including current maturities	$ 983,100
Variable Rated Debt [Member]
Disclosure of detailed information about financial instruments [line items]
Debt including current maturities	$ 191,100
Fuel derivative instruments [member]
Disclosure of detailed information about financial instruments [line items]
Derivative instrument hypothetical increases percentage	10.00%
Fuel derivative instruments [member] \| 2022 projection [member]
Disclosure of detailed information about financial instruments [line items]
Derivative instrument expense increase	$ 101,000

Financial instruments-Risk management and fair value - Summary of Foreign Currency Risk Exposure (Detail) - USD ($) $ in Thousands	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020	Dec. 31, 2019
Assets
Cash and cash equivalents	$ 122,424	$ 211,081	$ 119,065	$ 158,732
Accounts receivable, net	137,583	92,450
Other assets	34,048	20,152
Currency risk [member]
Assets
Cash and cash equivalents	13,546	10,848
Accounts receivable, net	48,900	50,103
Other assets	20,605	17,811
Total assets	83,051	78,762
Liabilities
Accounts payable	16,969	35,948
Taxes payable	38,303	25,827
Other liabilities	13,465	12,239
Total liabilities	68,737	74,014
Net position	$ 14,314	$ 4,748

Financial instruments-Risk management and fair value - Risk Management and Fair Value - Movement in Allowance for Impairment for Short and Long-term Investments at Amortized Cost (Detail) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021
Disclosure of impairment loss and reversal of impairment loss [line items]
Balance at beginning of year	$ (1,312)	$ (1,217)
(Additions)/Reversal	(1,643)	(95)
Balance at end of year	$ (2,955)	$ (1,312)

Financial instruments-Risk management and fair value - Summary of Credit Risk Exposure on Trade Receivables using Provision Matrix (Detail) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021
Disclosure of credit risk exposure [line items]
Gross carrying amount	$ 145,273	$ 100,015
Expected credit loss	$ 7,690	$ 7,565
Current [member]
Disclosure of credit risk exposure [line items]
Expected credit loss rate	0.00%	0.00%
Gross carrying amount	$ 127,412	$ 77,995
Expected credit loss	$ 28	$ 9
Past due 1 to 30 days [member]
Disclosure of credit risk exposure [line items]
Expected credit loss rate	5.90%	3.20%
Gross carrying amount	$ 2,877	$ 3,157
Expected credit loss	$ 170	$ 100
Past due 31 to 60 days [member]
Disclosure of credit risk exposure [line items]
Expected credit loss rate	13.10%	3.40%
Gross carrying amount	$ 2,134	$ 4,080
Expected credit loss	$ 279	$ 139
Past due 61 to 90 days [member]
Disclosure of credit risk exposure [line items]
Expected credit loss rate	30.50%	13.50%
Gross carrying amount	$ 545	$ 658
Expected credit loss	$ 166	$ 89
More than 90 days [member]
Disclosure of credit risk exposure [line items]
Expected credit loss rate	57.30%	51.20%
Gross carrying amount	$ 12,305	$ 14,125
Expected credit loss	$ 7,047	$ 7,228

Financial instruments-Risk management and fair value - Summary of Carrying Amount and Fair Values of Financial Assets and Financial Liabilities (Detail) - USD ($) $ in Thousands	Dec. 31, 2022	Dec. 31, 2021
Disclosure of detailed information about financial instruments [line items]
Long-term investments	$ 202,056	$ 199,670
Loans and borrowings	1,444,303	1,425,633
Financial Assets at Fair Value, Class [Member]
Disclosure of detailed information about financial instruments [line items]
Long-term investments	201,061	199,082
Financial Liabilities at Fair Value, Class [Member]
Disclosure of detailed information about financial instruments [line items]
Loans and borrowings	$ 1,559,435	$ 1,549,934

Financial instruments-Risk management and fair value - Summary of Company's financial instruments measured at fair value (Detail) - USD ($) $ in Thousands	Dec. 31, 2022	Dec. 31, 2021
Disclosure of fair value measurement of assets [line items]
Total assets	$ 4,690,362	$ 4,248,261
Derivative financial instruments	251,150	268,338
Total liabilities	3,198,252	2,948,864
Recurring fair value measurement
Disclosure of fair value measurement of assets [line items]
Total assets	95,474	124,726
Total liabilities	251,150	268,338
Recurring fair value measurement \| Investment fund
Disclosure of fair value measurement of assets [line items]
Asset held for sale	95,474	124,726
Recurring fair value measurement \| Derivatives
Disclosure of fair value measurement of assets [line items]
Derivative financial instruments	251,150	268,338
Recurring fair value measurement \| Level 1 of fair value hierarchy
Disclosure of fair value measurement of assets [line items]
Total assets	95,474	124,726
Total liabilities	0	0
Recurring fair value measurement \| Level 1 of fair value hierarchy \| Investment fund
Disclosure of fair value measurement of assets [line items]
Asset held for sale	95,474	124,726
Recurring fair value measurement \| Level 1 of fair value hierarchy \| Derivatives
Disclosure of fair value measurement of assets [line items]
Derivative financial instruments	0	0
Recurring fair value measurement \| Level 2 of fair value hierarchy
Disclosure of fair value measurement of assets [line items]
Total assets	0	0
Total liabilities	251,150	268,338
Recurring fair value measurement \| Level 2 of fair value hierarchy \| Derivatives
Disclosure of fair value measurement of assets [line items]
Derivative financial instruments	251,150	268,338
Recurring fair value measurement \| Level 3 of fair value hierarchy
Disclosure of fair value measurement of assets [line items]
Total assets	0	0
Total liabilities	0	0
Recurring fair value measurement \| Level 3 of fair value hierarchy \| Derivatives
Disclosure of fair value measurement of assets [line items]
Derivative financial instruments	$ 0	$ 0

Subsequent Events - Additional Information (Detail) - Cents		1 Months Ended
	Mar. 22, 2023	Feb. 28, 2016
Disclosure of non-adjusting events after reporting period [line items]
Dividends payable, Amount per share	0.82
Dividend payable annual percentage		40.00%
2023 Dividend Plan [Member]
Disclosure of non-adjusting events after reporting period [line items]
Dividend payable annual percentage	40.00%

Financial instruments-Risk management and fair value - Summary of Financial Liabilities According to Maturity Date (Detail) - USD ($) $ in Thousands	Dec. 31, 2022	Dec. 31, 2021
Disclosure of maturity analysis for derivative financial liabilities [line items]
Non - derivative financial liabilities carrying amount	$ 1,850,340	$ 1,724,828
Up to one year [member]
Disclosure of maturity analysis for derivative financial liabilities [line items]
Non - derivative financial liabilities carrying amount	441,499	438,229
Between 1 and 4 years [member]
Disclosure of maturity analysis for derivative financial liabilities [line items]
Non - derivative financial liabilities carrying amount	1,116,099	1,019,054
More than 4 years [member]
Disclosure of maturity analysis for derivative financial liabilities [line items]
Non - derivative financial liabilities carrying amount	490,380	430,674
Loans and Borrowings [Member]
Disclosure of maturity analysis for derivative financial liabilities [line items]
Non - derivative financial liabilities carrying amount	1,444,303	1,425,633
Loans and Borrowings [Member] \| Up to one year [member]
Disclosure of maturity analysis for derivative financial liabilities [line items]
Non - derivative financial liabilities carrying amount	167,759	228,272
Loans and Borrowings [Member] \| Between 1 and 4 years [member]
Disclosure of maturity analysis for derivative financial liabilities [line items]
Non - derivative financial liabilities carrying amount	920,846	895,620
Loans and Borrowings [Member] \| More than 4 years [member]
Disclosure of maturity analysis for derivative financial liabilities [line items]
Non - derivative financial liabilities carrying amount	449,862	425,995
Lease liability [member]
Disclosure of maturity analysis for derivative financial liabilities [line items]
Non - derivative financial liabilities carrying amount	238,373	178,651
Lease liability [member] \| Up to one year [member]
Disclosure of maturity analysis for derivative financial liabilities [line items]
Non - derivative financial liabilities carrying amount	106,076	89,413
Lease liability [member] \| Between 1 and 4 years [member]
Disclosure of maturity analysis for derivative financial liabilities [line items]
Non - derivative financial liabilities carrying amount	195,253	123,434
Lease liability [member] \| More than 4 years [member]
Disclosure of maturity analysis for derivative financial liabilities [line items]
Non - derivative financial liabilities carrying amount	40,518	4,679
Accounts payable [member]
Disclosure of maturity analysis for derivative financial liabilities [line items]
Non - derivative financial liabilities carrying amount	166,660	112,596
Accounts payable [member] \| Up to one year [member]
Disclosure of maturity analysis for derivative financial liabilities [line items]
Non - derivative financial liabilities carrying amount	166,660	112,596
Accounts payable [member] \| Between 1 and 4 years [member]
Disclosure of maturity analysis for derivative financial liabilities [line items]
Non - derivative financial liabilities carrying amount	0	0
Accounts payable [member] \| More than 4 years [member]
Disclosure of maturity analysis for derivative financial liabilities [line items]
Non - derivative financial liabilities carrying amount	0	0
Account payable to related parties [member]
Disclosure of maturity analysis for derivative financial liabilities [line items]
Non - derivative financial liabilities carrying amount	1,004	7,948
Account payable to related parties [member] \| Up to one year [member]
Disclosure of maturity analysis for derivative financial liabilities [line items]
Non - derivative financial liabilities carrying amount	1,004	7,948
Account payable to related parties [member] \| Between 1 and 4 years [member]
Disclosure of maturity analysis for derivative financial liabilities [line items]
Non - derivative financial liabilities carrying amount	0	0
Account payable to related parties [member] \| More than 4 years [member]
Disclosure of maturity analysis for derivative financial liabilities [line items]
Non - derivative financial liabilities carrying amount	0	0
Contractual cash flow [member]
Disclosure of maturity analysis for derivative financial liabilities [line items]
Non - derivative financial liabilities carrying amount	2,047,978	1,887,957
Contractual cash flow [member] \| Loans and Borrowings [Member]
Disclosure of maturity analysis for derivative financial liabilities [line items]
Non - derivative financial liabilities carrying amount	1,538,467	1,549,887
Contractual cash flow [member] \| Lease liability [member]
Disclosure of maturity analysis for derivative financial liabilities [line items]
Non - derivative financial liabilities carrying amount	341,847	217,526
Contractual cash flow [member] \| Accounts payable [member]
Disclosure of maturity analysis for derivative financial liabilities [line items]
Non - derivative financial liabilities carrying amount	166,660	112,596
Contractual cash flow [member] \| Account payable to related parties [member]
Disclosure of maturity analysis for derivative financial liabilities [line items]
Non - derivative financial liabilities carrying amount	$ 1,004	$ 7,948