Alaska Airlines Sees a Strong Rebound Ahead
Alaska Air (NYSE: ALK) didn't manage to turn a profit last quarter. However, the West Coast airline generated positive cash flow and has started to benefit from a rising tide of bookings by leisure travelers. That has put it on a path back to profitability. In fact, the Alaska Airlines parent has a good chance of emerging from the pandemic as an even more profitable company than it was in 2019. Let's take a look.
Alaska Air's revenue fell 51% year over year to $797 million in the first quarter. The company lost $131 million under generally accepted accounting principles (GAAP).
Excluding a $411 million pre-tax benefit from the federal government's airline payroll support program and other special items, Alaska logged an adjusted net loss of $436 million ($3.51 per share). This roughly matched the Wall Street consensus, which had called for a loss of $3.63 per share.
Source Fool.com
