Alaska Air Group

Alaska Air Group (ALK) Q3 2025 Earnings

Reported Oct 23, 2025 at 6:23 PM ET · SEC Source

Q3 25 EPS

$1.05

MISS 4.67%

Est. $1.10

Q3 25 Revenue

$3.77B

BEAT +0.24%

Est. $3.76B

vs S&P Since Q3 25

+0.1%

BEATING MARKET

ALK +10.1% vs S&P +10.0%

Market Reaction

Did ALK Beat Earnings? Q3 2025 Results

Alaska Air Group delivered a mixed third quarter, with adjusted earnings per share of $1.05 falling short of the $1.10 consensus estimate by 4.67%, even as revenue of $3.77 billion edged just above expectations and climbed 22.6% year over year. The p… Read more Alaska Air Group delivered a mixed third quarter, with adjusted earnings per share of $1.05 falling short of the $1.10 consensus estimate by 4.67%, even as revenue of $3.77 billion edged just above expectations and climbed 22.6% year over year. The profit shortfall traced largely to a summer IT outage that disrupted operations and drove elevated recovery costs, compounded by difficult West Coast jet fuel refining margins running roughly $0.75 above Gulf Coast benchmarks. On a pro forma basis that treats Hawaiian Airlines as fully consolidated in both periods, total operating revenue rose 1% with unit revenue up 1.4%, while premium revenue grew 5% and corporate travel rebounded 8% after softness in the prior quarter. A second IT outage on October 23 prompted the company to postpone its earnings conference call, adding fresh uncertainty around fourth-quarter costs. Management guided Q4 adjusted EPS to at least $0.40 and full-year 2025 adjusted EPS to at least $2.40, reiterating its longer-term target of $10.00 per share by 2027 through its Alaska Accelerate strategy.

Key Takeaways

  • Industry-leading unit revenue with RASM up 1.4% year-over-year on pro forma basis
  • Premium revenue increased 5% year-over-year
  • Cargo revenue increased 27% year-over-year (20% pro forma)
  • Corporate travel grew 8% year-over-year, rebounding from low single-digit declines in Q2
  • Loyalty program cash remuneration increased 8% year-over-year
  • Commercial initiatives and synergy capture remained on track for third consecutive quarter
24/7 Wall St

ALK YoY Financials

Q3 2025 vs Q3 2024, source: SEC Filings

24/7 Wall St

ALK Revenue by Segment

With YoY comparisons, source: SEC Filings

Q1 25 Q4 25

“Alaska's profitable quarter was powered by another period of industry-leading unit revenue. I'm proud of our people for taking care of our guests, executing major integration milestones and capturing synergies ahead of plan as we bring together Alaska and Hawaiian Airlines. Together we are delivering on our Alaska Accelerate vision, building our future as a global airline positioned to compete with greater scale, deeper relevance and stronger loyalty in the places we fly.”

— Ben Minicucci, Q3 2025 Earnings Press Release