Companies /Industrials

Frontier Group Holdings Inc

NASDAQ: ULCC Airlines
$5.96
▲ $0.22 (+3.83%) today
Markets closed · 7:43pm ET

Q2 2026 Earnings

Reported Jul 29, 2026, 8:01am ET · SEC source
$-0.10
Beat +78.77%
EPS · est. $-0.47
$1.3B
Beat +4.75%
Revenue · est. $1.2B
−15.6%
Trailing market
ULCC vs S&P since report
4 quarters
Consecutive EPS beats

Market Reaction

% change · around the report
−4%0+4%Jul 29Jul 30report 8:01am ETearnings−0.3%+4.7%
−4%0+4%Jul 29Jul 30earnings−0.3%+4.7%
ULCC +4.7%S&P 500 −0.3%
−4%0+4%Jul 29Jul 30report 8:01am ETearnings+0.8%+4.7%
−4%0+4%Jul 29Jul 30earnings+0.8%+4.7%
ULCC +4.7%NASDAQ +0.8%
0+10%+20%+30%Jul 28Aug 6report 8:01am ETearnings+4.1%+22.2%
0+10%+20%+30%Jul 28Aug 6earnings+4.1%+22.2%
ULCC +22.2%S&P 500 +4.1%
0+10%+20%+30%Jul 28Aug 6report 8:01am ETearnings+5.9%+22.2%
0+10%+20%+30%Jul 28Aug 6earnings+5.9%+22.2%
ULCC +22.2%NASDAQ +5.9%
+4.33%
Day of report
+7.38%
Next session
+22.38%
One week
−10.15%
30 days

S&P 500 over the same 30 days: +5.47%.

Did ULCC Beat Earnings? Q2 2026 Results

Frontier Group Holdings delivered a sharply better-than-expected second quarter, with the ultra-low-cost carrier posting an adjusted loss of just $0.10 per share against a consensus estimate of $0.47, a 78.77% beat, while revenue climbed 37.7% year-over-year to a record $1.28 billion, topping forecasts by 4.75%. The outperformance was driven primarily by a 28% surge in revenue per available seat mile to 11.52 cents, reflecting strong leisure travel demand and favorable competitive capacity dynamics following consolidation in the low-fare market. Passenger revenue reached $1.24 billion, with fare revenue per passenger jumping 54% to $63.04 as 9.73 million travelers flew on 8% more capacity. The quarter was not without headwinds; a $70 million charge tied to early lease terminations on 24 aircraft pushed the GAAP net loss to $90 million, and fuel costs per gallon surged 77% to $4.17. Looking ahead, Frontier guided Q3 adjusted EPS to a range of $0.10 loss to $0.10 gain on 17-18% capacity growth, with RASM expected to rise more than 20% year-over-year for a third consecutive quarter of double-digit unit revenue growth.

Key Takeaways
  • Strong travel demand and favorable competitive capacity environment
  • 28% RASM increase year-over-year to 11.52 cents, exceeding guidance
  • Fare revenue per passenger increased 54% to $63.04
  • Load factor improved approximately 1 percentage point to 80.3%
  • 8% higher capacity with 11.1 billion ASMs
  • 14% increase in passengers to 9.73 million
  • Revenue management initiative execution

“Our transformation plan is delivering meaningful results, reflecting our team's relentless focus on execution. The strength of our second quarter revenue performance is a testament to the momentum we are building through our commercial initiatives, product investments and loyalty enhancements, as well as the continued resilience of the demand environment.”

Frontier Group Holdings CEO, on the earnings call

Forward Guidance & Outlook

For Q3 2026, Frontier guides adjusted (non-GAAP) diluted EPS of $(0.10) to $0.10 with capacity growth of 17-18% year-over-year, and expects RASM to increase over 20% year-over-year. Average fuel cost is estimated at $3.70 per gallon. For Q4 2026, adjusted diluted EPS is guided at breakeven to $0.20 with approximately 7% capacity growth and average fuel cost of $3.50 per gallon. Full-year 2026 pre-delivery deposits are expected to decline by $170-$210 million, with other capital expenditures of $170-$220 million. The company expects to take delivery of six aircraft in Q3 2026. Management noted elevated fuel prices continue as a cost headwind, while favorable competitive capacity and strong travel demand underpin the revenue outlook.

ULCC YoY Financials

Q2 2026 vs Q2 2025 · SEC filings Q2 2025 Q2 2026
$0$400.0M$800.0M$1.2B$929.0M$1.3BRevenue$-137,257,677$-97,000,000Operating Income$-125,997,480$-90,000,000Net Income
$0$400.0M$800.0M$1.2BRevenueOperating IncomeNet Income

ULCC Revenue by Segment

Passenger Revenue$1.2B+38.0%
Other Revenue$44.0M+42.0%

Figures from SEC filings and company reports. Not investment advice.