ALK Earnings Prediction
The chart below shows how ALK performed 10 days before and after its earnings report, based on data from the past quarters. Typically, ALK sees a +0.84% change in stock price 10 days leading up to the earnings, and a +1.22% change 10 days following the report. On the earnings day itself, the stock moves by -0.90%. This data can give you a slight idea of what to expect for the next quarter's release.
ALK Key Earning Data
2024/Q4
Year Over Year
Quarter Over Quarter
Total Revenue
3.53B
38.43%
15.04%
Gross Margin
51.25%
12.89%
-6.61%
Operating Margin
4.19%
32.18%
-68.68%
Net Margin
2.01%
2612.50%
-73.83%
EPS
0.55
2850.00%
-70.11%
No Data Available
ALK Earnings Analysis
Alaska Air Group Inc Corporation (ALK.N) Earnings Conference Call
Positive
Strong Financial Performance: Alaska Air Group reported a Q4 GAAP net income of $71 million and a full year net income of $395 million, showcasing strong financial performance.
Earnings Per Share Performance: The company achieved an adjusted EPS of $0.97 for Q4 and $4.87 for the full year 2024, both exceeding guidance expectations.
Share Repurchase Confidence: In December, Alaska Air Group repurchased $248 million in shares, bringing total repurchases for the year to over $300 million, reflecting confidence in the business.
Loyalty Program Success: The loyalty programs generated $2.1 billion in cash remuneration in 2024, with strong Q4 results driven by promotions and new offerings, indicating robust customer engagement.
Record Revenue Achievement: Alaska Air Group's revenue reached a record $3.5 billion in Q4, up nearly 10% year-over-year, driven by strong demand and effective capacity management.
Negative
Decline in Net Income: 4th quarter results showed a GAAP net income of $71 million, a significant decline compared to the previous year's performance, indicating potential operational challenges.
Projected Q1 Earnings Loss: The adjusted earnings per share for Q1 are projected to be a loss of $0.50 to $0.70, reflecting seasonal pressures and a challenging market environment.
Rising Operational Costs: Unit costs increased by 8.6% year over year in Q4, driven by higher performance-based pay accruals, indicating rising operational costs that could impact profitability.
737 MAX Grounding Impact: The grounding of the 737 MAX aircraft negatively impacted results by approximately $200 million, highlighting vulnerabilities in operational capacity and fleet management.
Flight Attendant Contract Impact: The anticipated new flight attendant contract is expected to add approximately 1.5 points of unit cost pressure for the year, further straining cost management efforts.
ALK FAQs
How does ALK typically perform around its earnings report dates?
Is Earnings call transcript: Alaska Air Q4 2024 beats forecasts, stock rises positive or negative?
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ALK Earning Call Sentiment
Earnings call transcript: Alaska Air Q4 2024 beats forecasts, stock rises
ALK.N
-6.87%Positive
The earnings call summary presents strong financial performance with record-high EPS and improved margins. The Q&A session highlights positive corporate travel trends and integration synergies, despite some management evasiveness. The guidance for 2025 EPS is optimistic, and the shareholder return plan includes significant share repurchases. While unit costs have risen, the overall sentiment is positive, suggesting a likely stock price increase in the short term.
