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Frontier Group Holdings

Frontier Group Holdings (ULCC) Q2 2026 Earnings

Reported May 5, 2026 at 8:03 AM ET · SEC Source

Q2 26 EPS

$-0.30

BEAT +16.94%

Est. $-0.36

Q2 26 Revenue

$992.0M

MISS 5.46%

Est. $1.05B

vs S&P Since Q2 26

+72.8%

BEATING MARKET

ULCC +74.3% vs S&P +1.5%

Market Reaction

Did ULCC Beat Earnings? Q2 2026 Results

Frontier Group Holdings delivered a mixed first quarter for fiscal 2026, posting an adjusted loss of $0.30 per share that cleared the $0.36 consensus estimate by 16.94%, even as reported revenue of $992.00 million fell 5.46% short of the $1.05 billio… Read more Frontier Group Holdings delivered a mixed first quarter for fiscal 2026, posting an adjusted loss of $0.30 per share that cleared the $0.36 consensus estimate by 16.94%, even as reported revenue of $992.00 million fell 5.46% short of the $1.05 billion analysts had expected, despite growing 8.8% year over year. The headline results were heavily distorted by two significant non-recurring charges, most notably a $139.00 million hit tied to the early termination of leases on 24 A320neo aircraft and a $73.00 million reserve stemming from a court ruling on TSA fee remittances, which together swelled the GAAP net loss to $272.00 million from just $43.00 million a year ago. Strip out those items, and adjusted revenue reached nearly $1.06 billion, up 17% on 1% lower capacity, with load factor climbing roughly 3.5 percentage points to 78.4%. Shares retreated on concerns that rising cost pressures could erode those revenue gains. Looking ahead, Frontier guided Q2 adjusted loss per share of $0.45 to $0.60, projecting RASM growth of over 20% as the airline navigates a fleet transition and fuel costs estimated at $4.25 per gallon.

Key Takeaways

  • • Strong travel demand and moderating competitive capacity drove adjusted RASM up 17% year-over-year
  • • Flown load factor improved approximately 3.5 percentage points to 78.4%
  • • Fare revenue per passenger increased 21% to $53.93
  • • Fuel efficiency advantage of over 40% versus other major U.S. carriers helped mitigate elevated fuel prices
  • • Revenue management initiatives contributed to record adjusted RASM levels

ULCC Forward Guidance & Outlook

For Q2 2026, Frontier guides adjusted diluted loss per share of $(0.45) to $(0.60), with capacity growth of 6-8% year-over-year. RASM is expected to increase over 20% and RASM stage-length adjusted to 1,000 miles is expected to rise high-teens versus Q2 2025. Average fuel cost is estimated at $4.25 per gallon. The company expects $75-$100 million of additional Early Return Agreement charges in Q2. Total liquidity at end of Q2 is expected to be $900-$950 million. For full year 2026, pre-delivery deposits are expected to be reduced by $170-$210 million, and other capital expenditures (including capitalized heavy maintenance) are projected at $170-$220 million.

24/7 Wall St

ULCC YoY Financials

Q2 2026 vs Q2 2025, source: SEC Filings

24/7 Wall St

ULCC Revenue by Segment

With YoY comparisons, source: SEC Filings

Q4 24 Q2 26

“Our ability to deliver strong top-line results and increase our liquidity despite a rapidly rising fuel cost environment validates our strategy and the resilience of our operating model. We remain focused on our four key strategic priorities centered around rightsizing the fleet, strengthening our cost discipline, improving operational reliability and driving customer loyalty, with significant progress achieved on these priorities during the quarter. By staying aligned with our framework and focusing on items we can control, we believe we are well positioned to navigate near-term volatility while emerging stronger as macro conditions normalize.”

— Jimmy Dempsey, Q2 2026 Earnings Press Release

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