SkyWest Q2 net income up 13% on fleet renewal, ExpressJet divestiture

Utah-based regional carrier SkyWest Airlines boosted its net income in the 2019 Q2, aided by its ongoing fleet transition initiatives and the divestiture of ExpressJet Airlines in January 2019. The company recorded 2Q net income of $88m, up 13% from $76m in the year-ago quarter. Revenue totaled $744m, down 7.6% from $806m in Q2 2018, and related to the sale of ExpressJet in January. Excluding ExpressJet revenue in Q2 2018, SkyWest’s Q2 2019 revenue increased by $82m, mainly because of the addition of 36 new aircraft since the year-ago quarter. Excluding ExpressJet, the company’s Q2 operating expenses increased $70m, because of the additional aircraft and higher labor costs. Block hours rose 7.7% to 370,800 hours. “The January closing of the ExpressJet sale, combined with these latest fleet announcements, reduces our overall enterprise risk and will help us drive a healthy balance of earnings growth and cash flow generation,” SkyWest president and CEO Chip Childs said. “We remain very focused on sustainable opportunities that position us for long-term success.”<br/>