Alaska Air Group Inc. (NYSE: ALK) announced Thursday it made a record quarterly revenue of nearly $2.9 billion, in the second quarter of 2024, showing that the company has been doing well during this tough period for aviation industry.
The Seattle-based airline reported a profit of $220 million for Q2 2023, an 8% decrease compared to last year due to the increased costs for salaries and wages as well as spending on premium amenities and frequent flier programs.
CEO Ben Minicucci said he is “cautiously optimistic” about his company’s future considering that one-third of their revenues came from such higher priced merchandise this quarter. Alaska Air Group would significantly increase these expenditures in the third quarter.
He added dramatically that Hawaiian Airlines proposed acquisition could get a regulatory okay within weeks. To date, Alaska Air Group has answered all information needs by the Department of Justice and who will give its decision on or before August 5th.
This week, further advances towards making the deal happened when both Alaska and Hawaiian Airlines submitted a joint application with DOT to operate under common control.
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Minicucci stressed that the likely acquisition of Hawaiian Airlines would confer strategic value. According to him, this will be followed by other investments in the future including any possible acquisition if approved which will leverage on these competitive advantages. He also pointed out that this would make it harder for competition to break into their domestic and international markets.
The leader also emphasized his desire for Alaska Airlines to continue being acknowledged as a stable performer. He further stated how Alaska Airlines is used to rising against challenges, thus upholding its historical consistency of daily successes.
As its acquisition of Hawaiian Airlines awaits regulatory decision, Alaska Air Group has concentrated on expanding its market share through strategic investments and operational excellence.