Alaska Airlines said Wednesday that it is expecting an impact to its revenues in the second quarter due to softening demand.
The carrier added that it would not release a 2025 outlook due to “recent economic uncertainty and volatility.”
Multiple airlines have started to pull their forecasts for the year as some of the policies of the Trump administration have shaken consumer confidence. Delta Air Lines and Frontier Airlines also said they would not be able to release a 2025 outlook.
Alaska said bookings had stabilized, but that the second quarter faces “the most cost pressure.”
However, Alaska said it still expected to be profitable for the year.
Alaska, which recently merged with Hawaiian Airlines, reported a net loss $166 million and revenues of $3.1 billion, a 41% increase compared to last year. Premium revenues were up 10% and renumeration from Alaska’s loyalty program was up 12%.
For the second quarter, Alaska expected capacity per available seat mile to be up 2% to 3%.
“Alaska is built for times like these with our relentless focus on safety, care and performance,” CEO Ben Minicucci said in a statement. “Amid the economic uncertainty, our teams controlled what they can control and delivered results that strengthen our foundation for the long term.”
Airlines Sector Stock Index Performance Year-to-Date
What am I looking at? The performance of airline sector stocks within the ST200. The index includes companies publicly traded across global markets including network carriers, low-cost carriers, and other related companies.
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