Alaska Air Group Reports Third Quarter 2023 Net Profit of $139 Million or $1.08 per Diluted Share
Alaska Air Group has reported a third quarter net income of $139 million or $1.08 per diluted share on a nominal year-over-year increase in revenue to $2.8 billion. At September 30th, the carrier had $2.5 billion in unrestricted cash and marketable securities.
On Thursday (October 19, 2023), Alaska Air Group reported their third quarter financial results for the period ending September 30, 2023. The carrier reported a third quarter net profit of $139 million or $1.08 per diluted share on a nominal year-over-year increase in revenue to $2.8 billion. Alaska’s Q3 revenue per available seat mile (RASM) declined 12.0 percent compared to Q3 2022 to 15.28 cents, while cost per available seat mile excluding fuel (CASM-ex) declined 5.0 percent to 9.57 cents. At September 30, 2023, the company held $2.5 billion in cash and marketable securities.
In Thursday’s announcement, Alaska Air Group’s CEO, Ben Minicucci, said,
“I am grateful to our people for delivering industry-leading operational performance and strong cost discipline this quarter. Our 11.4% adjusted pretax margin is among the best in the industry despite external headwinds. Our investments in our all-Boeing fleet, premium seating on 100% of our aircraft and access for our loyalty members to a global alliance provide our guests with a premium domestic product that rivals any in the industry.”
During the quarter, Alaska transitioned to an all-Boeing fleet with the retirement of their A321neo aircraft in September, and the company reached an agreement with American Airlines to sell the ten A321neos from Q4 2023. The carrier also received five new Boeing 737-9 MAX jets and two Embraer E175s during the period, bringing the type totals in the Alaska and Horizon fleets to 56 and 41, respectively.
Alaska Airlines' Third Quarter 2023 Financial Results - Courtesy Alaska Airlines
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 morning (October 19, 2023), shares in Alaska Air Group, Inc. (NYSE: ALK) were down 0.84% to $32.38/share (9:54 AM EDT).
Source: Alaska Airlines