Alaska Air Q4, full-year profit down
Alaska Air reported its Q4 and full year 2016 results, with net profit falling in both periods. In the quarter to end December 2016, net income fell 40% to US$114m, with operating revenue up 11% at $1.52b, but expenses were up 14% to $1.28b. Major cost increases were wages and benefits, up 13%, and aircraft fuel costs which rose 12% in the quarter. Alaska Air Group carried 8.75m passengers in Q4, a 10.4% increase from the prior year period. Traffic in revenue passenger miles rose 13.1% on an ASM capacity increase of 10.3%. Load factor came in at 84.5%, a 2 percentage point increase. For the full year 2016, net income dropped 4% to $814m on an operating revenue increase of 6% at $5.93b. Expenses came in at $4.58b, a 7% rise. Alaska Air spent $123m less on fuel and hedging costs in 2016, a 13% drop to $831m, but wages grew 10% to $1.38b. “2016 was an incredible year for Alaska in almost every way, and we are even more excited as we look forward to 2017 and beyond,” Alaska Air CE Brad Tilden said.<br/>
https://portal.staralliance.com/cms/news/hot-topics/2017-02-09/unaligned/alaska-air-q4-full-year-profit-down
https://portal.staralliance.com/cms/logo.png
Alaska Air Q4, full-year profit down
Alaska Air reported its Q4 and full year 2016 results, with net profit falling in both periods. In the quarter to end December 2016, net income fell 40% to US$114m, with operating revenue up 11% at $1.52b, but expenses were up 14% to $1.28b. Major cost increases were wages and benefits, up 13%, and aircraft fuel costs which rose 12% in the quarter. Alaska Air Group carried 8.75m passengers in Q4, a 10.4% increase from the prior year period. Traffic in revenue passenger miles rose 13.1% on an ASM capacity increase of 10.3%. Load factor came in at 84.5%, a 2 percentage point increase. For the full year 2016, net income dropped 4% to $814m on an operating revenue increase of 6% at $5.93b. Expenses came in at $4.58b, a 7% rise. Alaska Air spent $123m less on fuel and hedging costs in 2016, a 13% drop to $831m, but wages grew 10% to $1.38b. “2016 was an incredible year for Alaska in almost every way, and we are even more excited as we look forward to 2017 and beyond,” Alaska Air CE Brad Tilden said.<br/>
