SKYW Earnings Prediction
The chart below shows how SKYW performed 10 days before and after its earnings report, based on data from the past quarters. Typically, SKYW sees a -2.63% change in stock price 10 days leading up to the earnings, and a +2.57% change 10 days following the report. On the earnings day itself, the stock moves by +1.42%. This data can give you a slight idea of what to expect for the next quarter's release.
SKYW Key Earning Data
2024/Q4
Year Over Year
Quarter Over Quarter
Total Revenue
944.40M
25.62%
3.46%
Gross Margin
63.45%
12.90%
-1.46%
Operating Margin
15.26%
315.80%
5.97%
Net Margin
10.31%
342.49%
4.88%
EPS
2.34
457.14%
8.33%
No Data Available
SKYW Earnings Analysis
SkyWest Inc Corporation (SKYW.O) Earnings Conference Call
Positive
Strong Profitability Results: SkyWest reported a net income of $97 million or $2.34 per diluted share for the fourth quarter, and $323 million or $7.77 per diluted share for the full year 2024, showcasing strong profitability.
Revenue Increase Highlights: Total revenue reached $944 million, up 3% sequentially and 26% year-over-year, driven by a 27% increase in contract revenue to $786 million.
Flight Completion Efficiency: The company completed nearly 30,000 more flights compared to the same quarter last year, achieving a 99.9% adjusted completion rate, indicating operational efficiency.
Pilot Staffing Improvement: SkyWest's pilot staffing balance has improved significantly, with an increase of approximately 700 pilots compared to the previous year, aligning well with robust demand.
Free Cash Flow Utilization: The company generated over $500 million in free cash flow in 2024, primarily used for debt repayment and share repurchases, enhancing shareholder value.
Negative
Net Income Decline: Net income for the fourth quarter was reported at $97 million, a significant decrease from $134 million in the previous quarter, indicating a decline in profitability.
Cash Decrease Analysis: Total cash decreased to $802 million from $836 million in the previous quarter, reflecting a cash outflow due to debt repayment and share buybacks.
Projected Maintenance Expenses Increase: Maintenance expenses are projected to average $200 million per quarter in 2025, which is a substantial increase as the company brings aircraft out of long-term storage.
Deferred Revenue Impact: The company deferred recognizing $63 million of revenue in 2024, which may impact future earnings and cash flow.
Operational Efficiency Challenges: Despite a 12% expected increase in block hours for 2025, challenges in the third-party MRO network, including labor and parts shortages, could hinder operational efficiency.
