ALK - Alaska Air Gets $162M In Initial Compensation From Boeing For January Incident Issues Robust Q2 Outlook | Benzinga
Alaska Air Group, Inc (NYSE:ALK) reported first-quarter 2024 total operating revenue growth of 2% year-over-year to $2.232 billion, beating the consensus of $2.19 billion.
Adjusted EPS stood at $(0.92), down from $(0.62) a year ago, beating the consensus of $(1.05).
The airline stated that its first quarter operation and results were significantly impacted by Flight 1282 in January and the Boeing 737-9 MAX grounding, which extended into February.
Alaska Air received $162 million in initial cash compensation from Boeing to address the financial damages incurred.
Revenue passengers declined 1% Y/Y, traffic was flat, capacity fell 2% Y/Y, and load factor expanded from 79.9% to 81.1%.
Economic fuel cost per gallon for the quarter declined by 10% Y/Y to $3.08.
During the quarter, ALK inked an agreement to purchase Hawaiian Airlines for $18 per share and ratified a five-year collective bargaining ...