- Joe Breitfeller
Alaska Air Group Reports Second Quarter Net Income of $139 Million or $1.09 per Diluted Share
Alaska Airlines has reported a second quarter net income of $139 million or $1.09 per share on record quarterly revenue of $2.7 billion, compared to 1.5 billion in Q2 2021. At June 30, 2022, the company had unrestricted cash and marketable securities of $3.4 billion.
On Thursday (July 21, 2022), Alaska Air Group reported their second quarter financial results for the period ending June 30, 2022. The carrier reported a net profit of $139 million or $1.09 per share on record quarterly revenue of $2.7 billion. Excluding special items and mark-to-market fuel hedge accounting adjustments, Alaska reported second quarter net income of $280 million or $2.19 per share. Alaska’s Q2 Revenue per Available Seat Mile (RASM) increased year-over-year by 49.6 percent to 17.03 cents, while costs excluding fuel (CASM-ex) increased 7.8 percent to 9.92 cents. At June 30, 2022, the airline’s debt-to-capitalization ratio was 50 percent, and the company held 3.4 billion in unrestricted cash and marketable securities.
In Thursday’s announcment, Alaska Airlines’ CEO, Ben Minicucci, said,
“It’s clear that travel is one of the things people have missed the most these past two years. They are excited to fly again and our team is delivering on the safe, reliable and caring experience they expect from us. Revenue in June topped $1 billion, the highest single month in our history. Our 14% adjusted pretax margin in Q2 is near the top of the industry, and our operation is on track in June with the #1 on-time performance and a schedule completion rate over 99%. I’m feeling so much gratitude for the people of Alaska, Horizon and McGee for pulling together. We have a strong platform for growth in 2023 and a lot to be optimistic about.”
During the second quarter, Alaska Airlines took delivery of nine Boeing 737-9 MAX airplanes, bringing the total number of the type in their mainline fleet to 28. The company also launched new service to Miami and Cleveland from Seattle (SEA) during Q2, expanding the total number of destinations served from SEA to 100. In partnership with Intelsat, the carrier also launched $8 flat rate satellite Wi-Fi onboard mainline aircraft.
Alaska Airlines and their regional partners serve over 120 destinations in the United States, Mexico, Canada, Costa Rica and Belize. The sustainability-focused carrier emphasizes Next-Level Care for guests, while offering low fares and award-winning service. Alaska has hubs in Seattle, San Francisco, Los Angeles, Portland and Anchorage. The carrier is a member of the oneworld global alliance, and along with their additional partners, Alaska Airlines’ guests can earn and redeem miles on flights to more than 1,000 global destinations on over 20 airlines. Alaska Airlines and Horizon Air are subsidiaries of the Alaska Air Group, Inc. (NYSE: ALK).
In trading Thursday afternoon (July 21, 2022), shares in Alaska Air Group, Inc. (NYSE: ALK) were down 1.64% to $42.69/share (12:42 PM EDT).
Source: Alaska Airlines