Hawaiian Holdings Reports Third Quarter Revenue of $755M, Diluted EPS of $1.70 vs. $1.84 in Q3 2018
Updated: Jan 11, 2020
On Tuesday afternoon, Hawaiian Holdings, Inc. reported a third quarter net income of $80.1M, versus $93.6M in the third quarter of 2018. Pre-tax margin eroded one point to 14.4% and EPS declined to $1.70 versus $1.84 in Q3 2018.
On Tuesday, Hawaiian Holdings, Inc. (NASDAQ: HA), parent company of Hawaiian Airlines, reported a third quarter net income of $80.1M vs. $93.6M in Q3 2018. Revenue declined 0.5% to $755.2M from $759.1M in Q3 2018. Diluted earnings per share (EPS) for the quarter fell to $1.70 compared to $1.84/share in the same period last year and pre-tax margins declined 1% to 14.4%. During the third quarter the company repurchased $20.1M shares and paid out $5.7M in dividends. Revenue per available seat mile (RASM) declined 0.1%, while cost per available seat mile – excluding fuel (CASM-ex) increased 4.9%, versus Q3 2018. In today’s announcement, Hawaiian Airlines President and CEO, Peter Ingram stated,
“Our team did a fantastic job this quarter, demonstrating once again that Hawaiian Airlines is the carrier of choice for guests traveling to, from and within the Hawaiian Islands. In the face of heightened competition, we delivered strong financial results and made significant progress towards accomplishing the strategic priorities that we established at the beginning of the year. As we enter the home stretch of 2019, we look forward continuing to execute our proven formula for generating value for our guests and our investors. I extend my thanks, as always, to my 7,300 colleagues for their tireless efforts to deliver award-winning, authentic Hawaiian hospitality every day.”
Hawaiian Airlines ended the third quarter with unrestricted cash, equivalents and short-term securities of $745M and total outstanding debt and lease obligations of $782M. The company board has approved a quarterly dividend of $0.12/share payable November 29, 2019, to shareholders of record as of November 15, 2019.
Fourth Quarter and Full Year Guidance
For the fourth quarter, Hawaiian expects a decrease in revenue per available seat mile (RASM) from 0.5 to 3.5% and cost per available seat mile – excluding fuel (CASM-ex) to increase between 0.5 and 3.5%. Full year CASM-ex is expected to increase 1.8-2.6% year over year. In after-hours trading (5:05PM EST), shares in Hawaiian Holdings, Inc. (NASDAQ: HA) were trading down 5.74% at $28.40/share.
Source: Hawaiian Holdings, Inc.