F9 Driver
Wear The Fox Hat
- Joined
- Dec 15, 2001
- Posts
- 515
At least its in BLACK ink this time
For all the numbers:
http://www.frontierairlines.com/frontier/who-we-are/news-media/press-releases.do
Frontier Airlines Reports Fiscal First Quarter 2007 Results
DENVER, July 27 /PRNewswire-FirstCall/ -- Frontier Airlines Holdings, Inc. (NASDAQ: FRNT) today reported net income of $4.0 million, or $.10 per diluted common share, for the airline's fiscal first quarter ended June 30, 2006 compared to a net loss of $2.7 million, or $0.08 per diluted common share, for the same period last year. Included in the net loss for the quarter ended June 30, 2005 were the following items before the effect of income taxes: a charge of $3.3 million relating to three leased Boeing 737-300 aircraft the Company ceased using during the quarter and a non-cash mark to market derivative loss on fuel hedges of $1.0 million.
Chief Executive Officer's Comments
Frontier President and CEO Jeff Potter said, "Despite significantly intensified competition at our Denver hub, and in the face of an average fuel cost per gallon that was substantially higher on a year-over-year basis, Frontier returned to profitability this quarter. My heartfelt thanks and appreciation goes out to everyone at Frontier who contributed to a great quarter. But as our employees well know, it doesn't end with one good quarter. Rather, it is only the beginning as we put forth every effort possible to return to sustained profitability in Fiscal Year 2007.
"We can, however, take a few minutes to reflect on the great results we achieved over the past three months. In the midst of a challenging Denver fare environment that runs counter to the national trend, our mainline revenue per available seat mile (RASM) improved 8.5 percent. However, as good as our unit revenue improvement was, it tells only part of the story. A large part of our success in the past quarter lies in our achievements on non-fuel cost-containment. With higher passenger numbers, it is a great compliment to this company and our employees that we were able to achieve a strong 6.1 percent year-over-year decline in mainline cost per available seat mile (CASM) excluding fuel."
Operating Highlights
Mainline passenger revenue increased 29.0 percent as mainline revenue passenger miles (RPMs) grew at a rate of 24.2 percent during the fiscal first quarter, while mainline capacity growth as measured by mainline ASMs increased 18.9 percent from the same quarter last year. As a result, the airline's mainline load factor was 81.9 percent for its fiscal first quarter of 2007, 3.5 load factor points more than the airline's mainline load factor of 78.4 percent during the same quarter last year. The airline's mainline break-even load factor for the fiscal first quarter 2007 increased 0.9 load factor points from 78.0 percent to 78.9 percent. Frontier's mainline break-even load factor, excluding special items, increased from the prior comparable period principally as a result of the increase in fuel costs on a year-over-year basis.
During the fiscal first quarter 2007, the airline's mainline RASM increased 8.5 percent to 9.57 cents from the same quarter last year. The increase in mainline RASM was due to the combination of a 4.0 percent mainline yield per RPM increase on a year-over-year basis and the 3.5 point load factor increase. Mainline average length of haul decreased 2.8 percent on a year-over-year basis.
Mainline fuel cost per gallon, excluding unrealized fuel hedges, during the quarter increased 29.7 percent to $2.27 compared to $1.75 for the same period last year. The airline's mainline CASM excluding fuel for the fiscal first quarter was 6.15 cents compared to 6.55 cents for the same quarter last year, a decrease of 6.1 percent. CASM excluding fuel decreased as a result of a decrease of 0.11 cents per ASM in maintenance expenses primarily due to the absence of expenses associated with the return costs of three Boeing leased aircraft and the related 0.14 cents of aircraft lease and facility exit costs, which occurred in the quarter ended June 30, 2005.
Senior Vice President and Chief Financial Officer Paul Tate discussed the airline's year-over-year unit cost comparatives stating, "The year-over-year decrease in mainline CASM excluding fuel was achieved despite a 2.5 percent decrease in average aircraft stage length. We continue to see the unit cost benefits of operating a single mainline fleet type of modern Airbus aircraft."
The airline's fleet in service on June 30, 2006 consisted of 16 owned Airbus A319 and A318 aircraft and 37 leased Airbus A319 and A318 aircraft.
The airline's current unrestricted cash and working capital position as of June 30, 2006 was $276.5 million and $90.6 million, respectively. This compares to the Company's unrestricted cash and working capital position for the same period last year of $174.3 million and $36.7 million, respectively.
Business developments during the quarter included:
* Announced an agreement with Denver International Airport that calls for
Frontier to take possession of 6 additional Concourse A gates on the
east side of Concourse A by mid- 2007. These additional gates relieve
the pressure of Frontier's current operation while preparing the
Company for future growth at DIA and beyond.
* Announced and subsequently began new service with five flights a day
between Los Angeles (LAX) and San Francisco (SFO), bringing low fares
and great customer service back to San Francisco on the Bay to the
Basin route.
* Became the first American low cost carrier to fly to Canada with the
start of new twice-daily regional jet service to Calgary. Canada also
became the third country in which Frontier offers service.
* Received tentative approval from the U.S. Department of Transportation
(DOT) for authorization to expand Mexico service by offering daily
non-stop service to Cabo San Lucas (SJD) from Los Angeles (LAX). In
addition, Frontier also filed with the DOT for authorization to fly
non-stop from Denver (DEN) to Guadalajara, Mexico (GDL) four times per
week; to fly seasonally from San Diego (SAN) to Cancun, Mexico (CUN)
once a week; and to fly seasonally from Kansas City (MCI) to Cabo San
Lucas once a week. Since the quarter ended, approval has been granted
for Denver to Guadalajara, San Diego to Cancun and Kansas City to Cabo
San Lucas service.
* Launched a new website that was over a year in the making, and based
upon extensive research and feedback sessions with its customers.
Frontier expects the new site to become the primary driver of its
ticket sales.
* Entered an exclusive three year agreement with Marriott International,
Inc.'s award-winning guest loyalty program, Marriott
Rewards®, in conjunction with the EarlyReturns® frequent flyer
program. In addition to providing both organizations with a platform
for joint marketing opportunities throughout the nation, the
partnership will provide EarlyReturns® members more ways to earn
miles as well as providing additional exposure across Frontier's
growing network.
For all the numbers:
http://www.frontierairlines.com/frontier/who-we-are/news-media/press-releases.do
Frontier Airlines Reports Fiscal First Quarter 2007 Results
DENVER, July 27 /PRNewswire-FirstCall/ -- Frontier Airlines Holdings, Inc. (NASDAQ: FRNT) today reported net income of $4.0 million, or $.10 per diluted common share, for the airline's fiscal first quarter ended June 30, 2006 compared to a net loss of $2.7 million, or $0.08 per diluted common share, for the same period last year. Included in the net loss for the quarter ended June 30, 2005 were the following items before the effect of income taxes: a charge of $3.3 million relating to three leased Boeing 737-300 aircraft the Company ceased using during the quarter and a non-cash mark to market derivative loss on fuel hedges of $1.0 million.
Chief Executive Officer's Comments
Frontier President and CEO Jeff Potter said, "Despite significantly intensified competition at our Denver hub, and in the face of an average fuel cost per gallon that was substantially higher on a year-over-year basis, Frontier returned to profitability this quarter. My heartfelt thanks and appreciation goes out to everyone at Frontier who contributed to a great quarter. But as our employees well know, it doesn't end with one good quarter. Rather, it is only the beginning as we put forth every effort possible to return to sustained profitability in Fiscal Year 2007.
"We can, however, take a few minutes to reflect on the great results we achieved over the past three months. In the midst of a challenging Denver fare environment that runs counter to the national trend, our mainline revenue per available seat mile (RASM) improved 8.5 percent. However, as good as our unit revenue improvement was, it tells only part of the story. A large part of our success in the past quarter lies in our achievements on non-fuel cost-containment. With higher passenger numbers, it is a great compliment to this company and our employees that we were able to achieve a strong 6.1 percent year-over-year decline in mainline cost per available seat mile (CASM) excluding fuel."
Operating Highlights
Mainline passenger revenue increased 29.0 percent as mainline revenue passenger miles (RPMs) grew at a rate of 24.2 percent during the fiscal first quarter, while mainline capacity growth as measured by mainline ASMs increased 18.9 percent from the same quarter last year. As a result, the airline's mainline load factor was 81.9 percent for its fiscal first quarter of 2007, 3.5 load factor points more than the airline's mainline load factor of 78.4 percent during the same quarter last year. The airline's mainline break-even load factor for the fiscal first quarter 2007 increased 0.9 load factor points from 78.0 percent to 78.9 percent. Frontier's mainline break-even load factor, excluding special items, increased from the prior comparable period principally as a result of the increase in fuel costs on a year-over-year basis.
During the fiscal first quarter 2007, the airline's mainline RASM increased 8.5 percent to 9.57 cents from the same quarter last year. The increase in mainline RASM was due to the combination of a 4.0 percent mainline yield per RPM increase on a year-over-year basis and the 3.5 point load factor increase. Mainline average length of haul decreased 2.8 percent on a year-over-year basis.
Mainline fuel cost per gallon, excluding unrealized fuel hedges, during the quarter increased 29.7 percent to $2.27 compared to $1.75 for the same period last year. The airline's mainline CASM excluding fuel for the fiscal first quarter was 6.15 cents compared to 6.55 cents for the same quarter last year, a decrease of 6.1 percent. CASM excluding fuel decreased as a result of a decrease of 0.11 cents per ASM in maintenance expenses primarily due to the absence of expenses associated with the return costs of three Boeing leased aircraft and the related 0.14 cents of aircraft lease and facility exit costs, which occurred in the quarter ended June 30, 2005.
Senior Vice President and Chief Financial Officer Paul Tate discussed the airline's year-over-year unit cost comparatives stating, "The year-over-year decrease in mainline CASM excluding fuel was achieved despite a 2.5 percent decrease in average aircraft stage length. We continue to see the unit cost benefits of operating a single mainline fleet type of modern Airbus aircraft."
The airline's fleet in service on June 30, 2006 consisted of 16 owned Airbus A319 and A318 aircraft and 37 leased Airbus A319 and A318 aircraft.
The airline's current unrestricted cash and working capital position as of June 30, 2006 was $276.5 million and $90.6 million, respectively. This compares to the Company's unrestricted cash and working capital position for the same period last year of $174.3 million and $36.7 million, respectively.
Business developments during the quarter included:
* Announced an agreement with Denver International Airport that calls for
Frontier to take possession of 6 additional Concourse A gates on the
east side of Concourse A by mid- 2007. These additional gates relieve
the pressure of Frontier's current operation while preparing the
Company for future growth at DIA and beyond.
* Announced and subsequently began new service with five flights a day
between Los Angeles (LAX) and San Francisco (SFO), bringing low fares
and great customer service back to San Francisco on the Bay to the
Basin route.
* Became the first American low cost carrier to fly to Canada with the
start of new twice-daily regional jet service to Calgary. Canada also
became the third country in which Frontier offers service.
* Received tentative approval from the U.S. Department of Transportation
(DOT) for authorization to expand Mexico service by offering daily
non-stop service to Cabo San Lucas (SJD) from Los Angeles (LAX). In
addition, Frontier also filed with the DOT for authorization to fly
non-stop from Denver (DEN) to Guadalajara, Mexico (GDL) four times per
week; to fly seasonally from San Diego (SAN) to Cancun, Mexico (CUN)
once a week; and to fly seasonally from Kansas City (MCI) to Cabo San
Lucas once a week. Since the quarter ended, approval has been granted
for Denver to Guadalajara, San Diego to Cancun and Kansas City to Cabo
San Lucas service.
* Launched a new website that was over a year in the making, and based
upon extensive research and feedback sessions with its customers.
Frontier expects the new site to become the primary driver of its
ticket sales.
* Entered an exclusive three year agreement with Marriott International,
Inc.'s award-winning guest loyalty program, Marriott
Rewards®, in conjunction with the EarlyReturns® frequent flyer
program. In addition to providing both organizations with a platform
for joint marketing opportunities throughout the nation, the
partnership will provide EarlyReturns® members more ways to earn
miles as well as providing additional exposure across Frontier's
growing network.
