Spirit Airlines 2Q2016 results in line with expectations despite pressure on yield

Spirit Airlines revenue up 6% - financial highlights:

• Three months ended 30-Jun-2016:
• • Total operating revenue: USD584.1 million, +5.5% year-on-year;
  • • Passenger: USD296.4 million, -3.9%;
    • Non-ticket: USD287.7 million, +17.5%;
  • Total operating costs: USD462.3 million, +7.2%;
  • • Fuel: USD113.2 million, -11.5%;
    • Labour: USD112.9 million, +16.4%;
  • Operating profit: USD121.8 million, -0.4%;
  • Net profit: USD73.1 million, -4.7%;
  • Passenger numbers: 5.6 million, +24.2%;
  • Load factor: 86.4%, +0.4 ppt;
  • Total operating revenue per ASM: USD 9.10 cents, -14.3%;
  • Average yield: USD 10.53 cents, -14.7%;
  • Cost per ASM: USD 7.20 cents, -12.9%;
  • Average stage length: 971 miles, -0.3%;
• Six months ended 30-Jun-2016:
• • Total operating revenue: USD1122 million, +7.2%;
  • • Passenger: USD569.0 million, -2.2%;
    • Non-ticket: USD553.2 million, +19.0%;
  • Total operating costs: USD899.1 million, +10.3%;
  • • Labour: USD229.3 million, +23.2%;
    • Fuel: USD199.2 million, -17.1%;
  • Operating profit: USD223.1 million, -3.6%;
  • Net profit: USD135.0 million, -7.3%;
  • Passenger numbers: 10.6 million, +24.7%;
  • Load factor: 85.6%, +0.1 ppt;
  • Total operating revenue per ASM: USD 9.05 cents, -14.1%;
  • Average yield: USD 10.57 cents, -14.2%;
  • Cost per ASM: USD 7.25 cents, -11.6%;
  • Average stage length: 983 miles, +0.1%;
  • Total assets: USD3030 million;
  • Cash and cash equivalents: USD1014 million;
  • Total liabilities: USD1731 million. [more - original PR]

Spirit Airlines: "While in line with our expectations, our second quarter 2016 financial results were negatively impacted by continued pressure on yields. Looking ahead, we see strong volumes for the peak summer leisure travel period but anticipate yield pressures will persist," Bob Fornaro, CEO. Source: Company statement, 29-Jul-2016.