Reported record full year revenue of $11.7 billionFourth quarter and full year adjusted earnings per share exceed high end of previously reported guidanceRepurchased approximately $250 million in outstanding shares in the fourth quarterAnnounced record performance-based pay, totaling six weeks pay for most Alaska and Horizon employeesSEATTLE, Jan. 22, 2025 /PRNewswire/ -- Alaska Air Group Inc. (NYSE: ALK) today reported financial results for the fourth quarter and full year ended December 31, 2024.Air Group ...

Alaska Air Group (ALK) came out with quarterly earnings of $0.97 per share, beating the Zacks Consensus Estimate of $0.47 per share. This compares to earnings of $0.30 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of 106.38%. A quarter ago, it was expected that this airline would post earnings of $2.20 per share when it actually produced earnings of $2.25, delivering a surprise of 2.27%.Over the last four quarters, the company ...

Revenue and Earnings Performance - Record full year revenue of $11.7 billion in 2024[1] - Fourth quarter adjusted earnings per share of $0.97, exceeding guidance by $0.50 at the midpoint[5] - Full year adjusted pretax margin of 7.1%, among the highest in the industry[2] - Full year 2025 adjusted earnings per share guidance of >$5.75[10] - Total operating revenue increased by 38% to $3.534 billion in Q4 2024 compared to $2.553 billion in Q4 2023[22] - Passenger revenue grew by 37% to $3.178 billion in Q4 2024 from $2.326 billion in Q4 2023[22] - Cargo and other revenue surged by 113% to $132 million in Q4 2024 from $62 million in Q4 2023[22] - Operating income rose by 128% to $73 million in Q4 2024 compared to $32 million in Q4 2023[22] - Net income improved significantly to $71 million in Q4 2024 from a net loss of $2 million in Q4 2023[22] - Passenger revenue for Q4 2024 increased by 9% to $3.178 billion compared to the pro forma $2.928 billion in Q4 2023[57] - Total operating revenue for Q4 2024 grew by 10% to $3.534 billion from the pro forma $3.221 billion in Q4 2023[57] Cash Flow and Financial Position - Generated $1.5 billion in operating cash flow for the full year 2024[12] - Total assets increased to $19.768 billion as of December 31, 2024, up from $14.613 billion as of December 31, 2023[23] - Cash and cash equivalents grew substantially to $1.201 billion as of December 31, 2024, compared to $281 million as of December 31, 2023[23] - Net cash provided by operating activities was $1.464 billion for the full year 2024, with $274 million generated in Q4 2024[26] Share Repurchases and Capital Allocation - Repurchased $250 million in outstanding shares in Q4 2024, totaling $312 million for the year[16] Operational Metrics and Performance - Q4 2024 RASM increased by 7.0% compared to pro forma 2023[5] - Q4 2024 CASMex increased by 8.6% compared to pro forma 2023[5] - Revenue passengers increased by 32% to 14,339,000 in Q4 2024 compared to 10,903,000 in Q4 2023[36] - RPMs (traffic) grew by 35% to 19,068,000,000 in Q4 2024 from 14,153,000,000 in Q4 2023[36] - ASMs (capacity) rose by 33% to 22,744,000,000 in Q4 2024 from 17,077,000,000 in Q4 2023[36] - Load factor improved by 0.9 percentage points to 83.8% in Q4 2024 compared to 82.9% in Q4 2023[36] - Economic fuel cost per gallon decreased by 26% to $2.54 in Q4 2024 from $3.42 in Q4 2023[36] - Adjusted income before income tax increased to $137 million in Q4 2024 from $57 million in Q4 2023[40] - Adjusted pretax margin improved to 3.9% in Q4 2024 from 2.2% in Q4 2023[40] - Revenue passengers increased by 5.8% to 14.339 million in Q4 2024 from 13.559 million in Q4 2023[57] - RPMs (traffic) grew by 3.8% to 19.068 billion in Q4 2024 from 18.374 billion in Q4 2023[57] - ASMs (capacity) increased by 2.5% to 22.744 billion in Q4 2024 from 22.181 billion in Q4 2023[57] - Load factor improved by 1.0 percentage point to 83.8% in Q4 2024 from 82.8% in Q4 2023[57] - Yield increased by 4.7% to 16.67 cents in Q4 2024 from 15.92 cents in Q4 2023[57] - RASM grew by 7.0% to 15.54 cents in Q4 2024 from 14.52 cents in Q4 2023[57] - CASMex increased by 8.6% to 11.57 cents in Q4 2024 from 10.65 cents in Q4 2023[57] - Total operating expenses for Q4 2024 were $3,461 million, compared to $3,312 million in Q4 2023[59] - Aircraft fuel costs decreased to $702 million in Q4 2024 from $919 million in Q4 2023[59] - CASMex (operating costs excluding fuel, freighter costs, and special items per ASM) increased to 11.57¢ in Q4 2024 from 10.65¢ in Q4 2023[59] - ASMs (available seat miles) increased to 22,744 million in Q4 2024 from 22,181 million in Q4 2023[59] - Freighter costs increased to $37 million in Q4 2024 from $15 million in Q4 2023[59] - Special items - operating increased to $91 million in Q4 2024 from $15 million in Q4 2023[59] - Total operating expenses, excluding fuel, freighter costs, and special items, increased to $2,631 million in Q4 2024 from $2,363 million in Q4 2023[59] Strategic Initiatives and Future Plans - Announced plans to add 12 international widebody destinations by 2030[16] - Launched Huaka'i by Hawaiian, offering exclusive travel benefits to HawaiianMiles members[16] Debt and Leverage - Debt-to-capitalization ratio, including leases, increased to 58% in 2024 from 46% in 2023[47] - Adjusted net debt to EBITDAR ratio rose to 2.4x in 2024 from 1.4x in 2023[49] Integration and Transition Costs - Integration costs related to the acquisition of Hawaiian Airlines totaled $80 million in Q4 2024 and $208 million for the full year 2024[33] - Fleet transition costs resulted in a benefit of $40 million in Q4 2024 compared to an expense of $30 million in Q4 2023[33] Key Metrics and Management Focus - CASMex is a key metric used by management and the Air Group Board of Directors to assess cost performance[61] - Adjusted pretax income is a critical metric for the employee incentive plan, covering the majority of Air Group employees[61] - Fuel expense represents a significant percentage of total operating expenses, and fluctuations in fuel prices impact unit revenue in the mid-to-long term[61]

When deciding whether to buy, sell, or hold a stock, investors often rely on analyst recommendations. Media reports about rating changes by these brokerage-firm-employed (or sell-side) analysts often influence a stock's price, but are they really important?Let's take a look at what these Wall Street heavyweights have to say about Alaska Air Group (ALK) before we discuss the reliability of brokerage recommendations and how to use them to your advantage.Alaska Air currently has an average brokerage recommenda ...

Alaska Air Group (ALK) shares have performed exceedingly well on the bourse in 2024. Shares of this Seattle, WA-based carrier have surged 65.8% in 2024, outperforming its industry’s 30.3% growth.Image Source: Zacks Investment ResearchGiven the impressive price performance, let's take a deeper dive to identify the factors driving this low-cost carrier’s growth, which currently sports a Zacks Rank #1 (Strong Buy), and assess whether there is potential for continued gains.ALK's top line is benefiting from the ...

Alaska Air Group (ALK) is scheduled to report fourth-quarter 2024 results on Jan. 23, 2025 before market open.Find the latest EPS estimates and surprises on Zacks Earnings Calendar.The Zacks Consensus Estimate for ALK’s fourth-quarter 2024 earnings per share has been revised downward by 26.6% in the past 60 days to 47 cents. However, the consensus mark implies a 56.7% rise from the year-ago actuals. The Zacks Consensus Estimate for ALK’s fourth-quarter 2024 revenues is pegged at $3.51 billion, indicating 37 ...

The upcoming report from Alaska Air Group (ALK) is expected to reveal quarterly earnings of $0.47 per share, indicating an increase of 56.7% compared to the year-ago period. Analysts forecast revenues of $3.51 billion, representing an increase of 37.6% year over year.The consensus EPS estimate for the quarter has undergone a downward revision of 26.1% in the past 30 days, bringing it to its present level. This represents how the covering analysts, as a whole, have reassessed their initial estimates during t ...

Company Performance - Alaska Airlines has shown a strong return to profitability post-COVID, with a focus on improving winter profitability [1] - The company experienced a significant milestone on September 18, 2024, marking a key achievement in its recovery [1] Industry Context - The airline industry continues to recover from the impacts of the COVID-19 pandemic, with companies like Alaska Airlines leading the way in profitability improvements [1] Analyst Perspective - The analysis provided is based on the author's independent research and opinions, without any financial interest in the mentioned companies [1]

Alaska Airlines, a subsidiary of Alaska Air Group, Inc. (ALK) , is gearing up to increase the connectivity of Oregon flyers. To this end, the airline company announced the addition of three new nonstop routes – Portland, OR - Houston, TX; Portland-Eugene, OR; and Medford, OR-San Diego, CA. All three routes will fly year-round and will be effective from May 15, 2025. Tickets for these are now available at alaskaair.com.The route specifications are mentioned below:Portland-Houston: With Houston being the curr ...

Wall Street expects a year-over-year increase in earnings on higher revenues when Alaska Air Group (ALK) reports results for the quarter ended December 2024. While this widely-known consensus outlook is important in gauging the company's earnings picture, a powerful factor that could impact its near-term stock price is how the actual results compare to these estimates.The stock might move higher if these key numbers top expectations in the upcoming earnings report, which is expected to be released on Januar ...