Alaska Air reported earnings today and it seems its purchase of Virgin America is paying off! Revenue was up 40%! https://alphastreet.com/bite/b25cc10

Revenue is up 40% as the 2016 numbers do not include Virgin America. The 2017 numbers do include Virgin America, thereby a 40% increase.

http://investor.alaskaair.com/phoenix.z ... ID=2288913

Well, obviously revenue is going to be up. You're combining the revenue of Alaska with the revenue of Virgin America, and comparing it to the revenue of Alaska by itself the previous year.

That's about as non-story as it can be.

Question is, how much were expenses up? I'm guessing they'd also be in the range of 40% ish.

Will Alaska Airlines add nonstop service to TPA from LAX, SFO, and PDX? SFO-TPA and LAX-TPA are currently only served nonstop by a single legacy carrier with SFO-TPA only served nonstop by UA and LAX-TPA only served nonstop by DL. SFO-TPA and LAX-TPA are two of the largest routes within the contiguous U.S. that are only served nonstop by a single legacy airline. PDX does not see any nonstop service to TPA on any airline, but AS could add a nonstop to TPA from PDX as TPA is a major vacation destination in the contiguous U.S.

Will Virgin America or Alaska end up adding LAX-AUS nonstop service? Alaska currently has nonstop service to its SEA and PDX hubs from AUS, and Virgin America currently has nonstop service to its main SFO hub from AUS. Alaska will be adding nonstop service from AUS to San Diego on August 27th and to San Jose on August 28th, but Alaska has not announced any plans to serve LAX nonstop from AUS.

diverdave wrote:

Revenue is up 40% as the 2016 numbers do not include Virgin America. The 2017 numbers do include Virgin America, thereby a 40% increase.

http://investor.alaskaair.com/phoenix.z ... ID=2288913

Profits were NOT up 40%, BTW.

OP gets sent back to income-statement school.

jplatts wrote:

Will Alaska Airlines add nonstop service to TPA from LAX, SFO, and PDX? SFO-TPA and LAX-TPA are currently only served nonstop by a single legacy carrier with SFO-TPA only served nonstop by UA and LAX-TPA only served nonstop by DL. SFO-TPA and LAX-TPA are two of the largest routes within the contiguous U.S. that are only served nonstop by a single legacy airline. PDX does not see any nonstop service to TPA on any airline, but AS could add a nonstop to TPA from PDX as TPA is a major vacation destination in the contiguous U.S.

This is about earnings, why are you asking about every potential route?

jbs2886 wrote:

jplatts wrote:

Will Alaska Airlines add nonstop service to TPA from LAX, SFO, and PDX? SFO-TPA and LAX-TPA are currently only served nonstop by a single legacy carrier with SFO-TPA only served nonstop by UA and LAX-TPA only served nonstop by DL. SFO-TPA and LAX-TPA are two of the largest routes within the contiguous U.S. that are only served nonstop by a single legacy airline. PDX does not see any nonstop service to TPA on any airline, but AS could add a nonstop to TPA from PDX as TPA is a major vacation destination in the contiguous U.S.

This is about earnings, why are you asking about every potential route?

There were some destinations that Virgin America previously planned on serving prior to its merger with Alaska Airlines, including Atlanta, Houston, and Phoenix, even though neither AS nor VX have announced any plans to add nonstop service to California from ATL, IAH, or PHX.

jplatts wrote:

jbs2886 wrote:

jplatts wrote:

Will Alaska Airlines add nonstop service to TPA from LAX, SFO, and PDX? SFO-TPA and LAX-TPA are currently only served nonstop by a single legacy carrier with SFO-TPA only served nonstop by UA and LAX-TPA only served nonstop by DL. SFO-TPA and LAX-TPA are two of the largest routes within the contiguous U.S. that are only served nonstop by a single legacy airline. PDX does not see any nonstop service to TPA on any airline, but AS could add a nonstop to TPA from PDX as TPA is a major vacation destination in the contiguous U.S.

This is about earnings, why are you asking about every potential route?

There were some destinations that Virgin America previously planned on serving prior to its merger with Alaska Airlines, including Atlanta, Houston, and Phoenix, even though neither AS nor VX have announced any plans to add nonstop service to California from ATL, IAH, or PHX.

That has nothing to do with earnings. We know what VX said they were going to add but haven't.

jbs2886 wrote:

jplatts wrote:

Will Alaska Airlines add nonstop service to TPA from LAX, SFO, and PDX? SFO-TPA and LAX-TPA are currently only served nonstop by a single legacy carrier with SFO-TPA only served nonstop by UA and LAX-TPA only served nonstop by DL. SFO-TPA and LAX-TPA are two of the largest routes within the contiguous U.S. that are only served nonstop by a single legacy airline. PDX does not see any nonstop service to TPA on any airline, but AS could add a nonstop to TPA from PDX as TPA is a major vacation destination in the contiguous U.S.

This is about earnings, why are you asking about every potential route?

Because that's his sole contribution to this forum; weekly questionnaires as to which airline might add which routes on which dates.

On topic, the OP doesn't seem to understand airline business financials.
It's like me saying, after I got married, that occupancy of my house increased 50%.
Well, sure it did. I went from living alone to living with a spouse.

AA737-823 wrote:

It's like me saying, after I got married, that occupancy of my house increased 50%.
Well, sure it did. I went from living alone to living with a spouse.

Not sure your spouse would like be referred to as half a person!

MIflyer12 wrote:

Profits were NOT up 40%, BTW.

OP gets sent back to income-statement school.

Yes, revenue up 40% and operating expenses up 50%. That's not a good formula, though I expect the higher expenses are part of the merger plan and will eventually be reduced.

At least 2Q looks better than the first half 17 versus first half of 16. For that comparison, revenues were only up 36% with expenses up 50% - result was both income and operating income down somewhat for those six months.

So there's some progress on the revenue side, but the additional expenses are definitely hurting. It will hurt even more once the VX folks are brought up to the AS wage levels. Wonder when that happens (assuming it has not happened already)?

David