SkyWest Reports First Quarter Net Income of $30 Million or $0.59 per Diluted Share
SkyWest reported on Thursday a first quarter net income of $30 million or $0.59 per diluted share, versus $88 million or $1.69 per diluted share during the same period last year.
On Thursday (May 7, 2020) regional carrier SkyWest, Inc. (NASDAQ: SKYW) reported a first quarter net income of $30 million or $0.59 per diluted share. During Q1 2019, the carrier reported a net income of $88 million or $1.69 per diluted share and an adjusted net income of $69 million or an EPS of $1.33. At the close of the first quarter, SkyWest had $578 million in cash and marketable securities versus $520 million at the end of the fourth quarter of 2019. The carrier expects to receive a total of $438 million under the U.S. CARES Act Payroll Support Program (PSP) including a $337 million grant and a $101 million ten-year unsecured low-interest loan. In return, SkyWest has granted the U.S. Treasury warrants for the right to purchase 357,317 shares of the company’s common stock at a strike price of $28.38/share. Additionally, SkyWest has applied for approximately $497 million in secured loans under the loan provision of the U.S. CARES Act. In Thursday’s announcement, SkyWest’s Chief Executive Officer, Chip Childs said,
“COVID-19 has caused unprecedented disruption across the airline industry. Our priority is the safety and well-being of our people and passengers, and we have taken numerous steps to that end. We are taking aggressive action to maintain strong liquidity and work collaboratively with out partners on flexible fleet solutions during this period of uncertainty. I want to thank our 14,000 employees for their resilience, commitment and flexibility during this pandemic.”
St. George, Utah-based SkyWest usually operates up to 2,500 daily flights to more than 250 destinations with a fleet of nearly 500 aircraft. Through partnerships with United Airlines, Delta Air Lines, American Airlines and Alaska Airlines, SkyWest carries around 43 million passengers annually. The regional carrier employs over 14,000 team members and services cities throughout North America. In trading Friday afternoon, shares in SkyWest, Inc. (NASDAQ: SKYW) were trading 19.41% higher at $28.74/share (1:50 PM EDT).