Frontier Group Holdings

Frontier Group Holdings (ULCC) Q4 2024 Earnings

Reported Feb 7, 2025 at 7:59 AM ET · SEC Source

Q4 24 EPS

$0.23

BEAT +82.68%

Est. $0.13

Q4 24 Revenue

$1.00B

BEAT +1.57%

Est. $986.5M

vs S&P Since Q4 24

-43.7%

TRAILING MARKET

ULCC -19.7% vs S&P +24.0%

Full Year 2024 Results

FY 24 EPS

$0.37

FY 24 Revenue

$3.78B

Market Reaction

Did ULCC Beat Earnings? Q4 2024 Results

Frontier Group Holdings capped 2024 with a sharply stronger fourth quarter, posting adjusted diluted EPS of $0.23 against a consensus estimate of $0.13, a beat of roughly 82.68%, while revenue of $1.00 billion edged past the $986.50 million consensus… Read more Frontier Group Holdings capped 2024 with a sharply stronger fourth quarter, posting adjusted diluted EPS of $0.23 against a consensus estimate of $0.13, a beat of roughly 82.68%, while revenue of $1.00 billion edged past the $986.50 million consensus and climbed 12.5% from the year-ago period. The turnaround was most visible on the bottom line, where the carrier swung to GAAP net income of $54.00 million from a net loss of $37.00 million in Q4 2023, driven largely by a 15% year-over-year surge in RASM to 10.23 cents as Frontier concentrated capacity on peak travel days rather than chasing volume. That disciplined approach helped lift total revenue per passenger 6% to $117, even as average daily aircraft utilization fell 15% and CASM edged up to 9.78 cents. Looking ahead, management guided full-year 2025 adjusted EPS of at least $1.00, targeting double-digit adjusted pre-tax margins by summer, supported by continued RASM growth and a cost structure it says runs roughly 48% below the industry average on a stage-adjusted basis.

Key Takeaways

  • RASM increased 15% YoY to 10.23 cents driven by disciplined capacity deployment on peak days
  • Revenue and network initiatives contributing to record quarterly revenue
  • Moderation in industry capacity growth benefiting pricing
  • Total revenue per passenger increased 6% to $117
  • Fare revenue per passenger increased 26% to $48.40
  • Fuel cost decreased 22% YoY to $2.48 per gallon
  • A320neo family aircraft now comprise 82% of fleet, highest among major U.S. carriers
  • Record fuel efficiency at 106 ASMs per gallon
24/7 Wall St

ULCC YoY Financials

Q4 2024 vs Q4 2023, source: SEC Filings

24/7 Wall St

ULCC Revenue by Segment

With YoY comparisons, source: SEC Filings

Q4 24 Q2 26

“Our revenue and network initiatives contributed to record fourth quarter revenue, setting us on a trajectory for significant year-over-year RASM growth in 2025 which underpins our target of achieving double-digit adjusted pre-tax margins in the summer of 2025.”

— Barry Biffle, Q4 2024 Earnings Press Release