ALASKA AIR GROUP INC

For the period ended Mar 31, 2025. Filed May 8, 2025.

About this filing

A company's report for each of its first three quarters. The financial statements are not audited. It shows how the business has moved since the last annual report, and what management says changed.

Mar 31, 2025 · Filed May 8, 2025

ALK$41.54-0.4%Stored close · as of Nov 10, 2026

Extracted filing text, with the paragraph anchors used by the comparison.

See the whole filing, with its images and exhibits

Contents

ITEM 1. CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

CONDENSED CONSOLIDATED BALANCE SHEETS(unaudited)

(in millions)	March 31, 2025	December 31, 2024
ASSETS
Current Assets
Cash and cash equivalents	$1,044	$1,201
Restricted cash	28	29
Marketable securities	1,420	1,274
Total cash, restricted cash, and marketable securities	2,492	2,504
Receivables - net	569	558
Inventories and supplies - net	206	199
Prepaid expenses	281	307
Other current assets	173	192
Total Current Assets	3,721	3,760
Property and Equipment
Aircraft and other flight equipment	12,619	12,273
Other property and equipment	2,197	2,173
Deposits for future flight equipment	700	883
	15,516	15,329
Less accumulated depreciation and amortization	(4,649)	(4,548)
Total Property and Equipment - Net	10,867	10,781
Other Assets
Operating lease assets	1,313	1,296
Goodwill	2,724	2,724
Intangible assets - net	859	873
Other noncurrent assets	334	334
Total Other Assets	5,230	5,227
Total Assets	$19,818	$19,768

CONDENSED CONSOLIDATED BALANCE SHEETS(unaudited)

(in millions, except share amounts)	March 31, 2025	December 31, 2024
LIABILITIES AND SHAREHOLDERS' EQUITY
Current Liabilities
Accounts payable	$237	$186
Accrued wages, vacation and payroll taxes	749	1,001
Air traffic liability	2,204	1,712
Other accrued liabilities	1,042	997
Deferred revenue	1,727	1,592
Current portion of long-term debt	519	442
Current portion of operating lease liabilities	214	207
Current portion of finance lease liabilities	8	8
Total Current Liabilities	6,700	6,145
Noncurrent Liabilities
Long-term debt, net of current portion	4,290	4,491
Operating lease liabilities, net of current portion	1,200	1,198
Finance lease liabilities, net of current portion	45	47
Deferred income taxes	871	934
Deferred revenue	1,587	1,664
Obligation for pension and post-retirement medical benefits	457	460
Other liabilities	531	457
Total Noncurrent Liabilities	8,981	9,251
Commitments and Contingencies (Note 7)
Shareholders' Equity
Preferred stock, $0.01 par value, Authorized: 5,000,000 shares, none issued or outstanding	—	—
Common stock, $0.01 par value, Authorized: 400,000,000 shares, Issued: 2025 - 142,980,909 shares; 2024 - 141,449,174 shares, Outstanding: 2025 - 122,884,518 shares; 2024 - 123,119,199 shares	1	1
Capital in excess of par value	844	811
Treasury stock (common), at cost: 2025 - 20,096,391 shares; 2024 - 18,329,975 shares	(1,238)	(1,131)
Accumulated other comprehensive loss	(234)	(239)
Retained earnings	4,764	4,930
Total Shareholders' Equity	4,137	4,372
Total Liabilities and Shareholders' Equity	$19,818	$19,768

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS(unaudited)

	Three Months Ended March 31,
(in millions, except per share amounts)	2025	2024
Operating Revenue
Passenger revenue	$2,808	$2,004
Loyalty program other revenue	207	164
Cargo and other revenue	122	64
Total Operating Revenue	3,137	2,232
Operating Expenses
Wages and benefits	1,127	804
Variable incentive pay	62	44
Aircraft fuel, including hedging gains and losses	681	565
Aircraft maintenance	220	122
Aircraft rent	62	47
Landing fees and other rentals	242	165
Contracted services	145	97
Selling expenses	100	77
Depreciation and amortization	194	126
Food and beverage service	85	58
Third-party regional carrier expense	64	54
Other	261	205
Special items - operating	91	34
Total Operating Expenses	3,334	2,398
Operating Loss	(197)	(166)
Non-operating Income (Expense)
Interest income	26	17
Interest expense	(66)	(35)
Interest capitalized	12	6
Other - net	(8)	—
Total Non-operating Expense	(36)	(12)
Loss Before Income Tax	(233)	(178)
Income tax benefit	(67)	(46)
Net Loss	$(166)	$(132)
Basic Loss Per Share:	$(1.35)	$(1.05)
Diluted Loss Per Share:	$(1.35)	$(1.05)
Weighted Average Shares Outstanding used for computation:
Basic	123.134	125.970
Diluted	123.134	125.970

CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE OPERATIONS(unaudited)

	Three Months Ended March 31,
(in millions)	2025	2024
Net Loss	$(166)	$(132)
Other comprehensive income (loss), net of tax
Marketable securities	9	1
Employee benefit plans	2	3
Interest rate derivative instruments	(6)	1
Total other comprehensive income, net of tax	$5	$5
Total Comprehensive Loss, Net of Tax	$(161)	$(127)

CONDENSED CONSOLIDATED STATEMENTS OF SHAREHOLDERS' EQUITY(unaudited)

(in millions)	Common Stock Outstanding	Common Stock	Capital in Excess of Par Value	Treasury Stock	Accumulated Other Comprehensive Loss	Retained Earnings	Total
Balance at December 31, 2024	123.119	$1	$811	$(1,131)	$(239)	$4,930	$4,372
Net loss	—	—	—	—	—	(166)	(166)
Other comprehensive income	—	—	—	—	5	—	5
Common stock repurchase	(1.766)	—	—	(107)	—	—	(107)
Stock-based compensation	0.005	—	22	—	—	—	22
CARES Act warrants exercised	0.810	—	—	—	—	—	—
Stock issued under stock plans	0.717	—	11	—	—	—	11
Balance at March 31, 2025	122.885	$1	$844	$(1,238)	$(234)	$4,764	$4,137

(in millions)	Common Stock Outstanding	Common Stock	Capital in Excess of Par Value	Treasury Stock	Accumulated Other Comprehensive Loss	Retained Earnings	Total
Balance at December 31, 2023	126.090	$1	$695	$(819)	$(299)	$4,535	$4,113
Net loss	—	—	—	—	—	(132)	(132)
Other comprehensive income	—	—	—	—	5	—	5
Common stock repurchase	(0.561)	—	—	(21)	—	—	(21)
Stock-based compensation	—	—	15	—	—	—	15
Stock issued under stock plans	0.177	—	(3)	—	—	—	(3)
Balance at March 31, 2024	125.706	$1	$707	$(840)	$(294)	$4,403	$3,977

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS(unaudited)

	Three Months Ended March 31,
(in millions)	2025	2024
Cash Flows from Operating Activities:
Net Loss	$(166)	$(132)
Adjustments to reconcile net income to net cash provided by (used in) operating activities:
Depreciation and amortization	194	126
Stock-based compensation and other	20	19
Non-cash special items	52	23
Changes in certain assets and liabilities:
Changes in deferred income taxes	(65)	(47)
Increase in accounts receivable	(11)	(55)
Increase in air traffic liability	492	468
Increase in deferred revenue	58	30
Other - net	(115)	(140)
Net cash provided by operating activities	459	292
Cash Flows from Investing Activities:
Property and equipment additions
Aircraft and aircraft purchase deposits	(142)	31
Other flight equipment	(54)	(44)
Other property and equipment	(42)	(44)
Supplier proceeds	—	162
Purchases of marketable securities	(470)	(13)
Sales and maturities of marketable securities	336	133
Other investing activities	(9)	93
Net cash provided by (used in) investing activities	(381)	318
Cash Flows from Financing Activities:
Proceeds from issuance of long-term debt, net of issuance costs	—	149
Long-term debt payments	(156)	(102)
Common stock repurchases	(105)	(20)
Other financing activities	25	(32)
Net cash used in financing activities	(236)	(5)
Net increase (decrease) in cash and cash equivalents	(158)	605
Cash, cash equivalents, and restricted cash at beginning of period	1,257	308
Cash, cash equivalents, and restricted cash at end of the period	$1,099	$913
Supplemental disclosure:
Cash paid during the period for:
Interest, net of amount capitalized	$67	$35
Non-cash transactions:
Right-of-use assets acquired through operating leases	$62	$13
Property and equipment acquired through the issuance of debt	$23	$45
Reconciliation of cash, cash equivalents, and restricted cash:
Cash and cash equivalents	$1,044	$885
Restricted cash	28	—
Restricted cash included in Other noncurrent assets	27	28
Total cash, cash equivalents, and restricted cash at end of the period	$1,099	$913

ContentsView on SEC.gov

The text of this filing, as the company filed it with the SEC, without its images or exhibits. This is not investment advice.