Spirit Airlines reports first quarter 2021 results
Total operating income for Q1 was $ 461.3 million, a decrease of 40.2% year-on-year due to the impact of the COVID-19 pandemic
Spirit Airlines, Inc. (NYSE: SAVE) today reported financial results for the first quarter of 2021.
Ended the first quarter of 2021 with $ 1.9 billion of unrestricted cash, cash equivalents, short-term investment securities, and available liquidity under the Company's revolving credit facility.
"Estamos muy contentos de ver qué tan bien se desempeñó nuestra red nacional e internacional a medida que la demanda se fortaleció en las últimas semanas del trimestre. Esta fortaleza, junto con la mejora en las reservas a plazo, generó un efectivo positivo de las operaciones para todo el primer trimestre de 2021, incluso cuando se excluyen los fondos recibidos del programa de apoyo a la nómina. Suponiendo que continúen estas tendencias, creemos que podemos lograr un margen EBITDA ajustado positivo para todo el año 2021 ", dijo Ted Christie , presidente y director ejecutivo de Spirit. "Si bien reconocemos que la recuperación aún está en progreso y puede que no sea lineal, seguimos creyendo que estaremos entre los primeros operadores estadounidenses en alcanzar una rentabilidad sostenida".
Since its initial appearance in early 2020, the impact of the COVID-19 pandemic has evolved and remains fluid. Therefore, the financial and operating outlook of the Company remains subject to change. The Company continues to monitor the impact of the pandemic on its operations and financial condition, and adjusts its operational and mitigation strategies accordingly to protect the Company's long-term growth and sustainability. Spirit has implemented measures for the safety of its guests and team members, as well as to mitigate the impact of COVID-19 on its financial position and operations. Please refer to the Company's Quarterly Report on Form 10-Q for the period ending March 31, 2021 for additional information on these measures.
The capacity and operations load factor for the first quarter of 2021 was 72.1 percent on a year-over-year decrease in capacity of 26.9 percent. During the first quarter of 2021, the US government implemented negative COVID-19 testing requirements for all inbound international travelers entering the United States. Approximately 12 percent of Spirit's first quarter 2021 capacity was adversely affected by this new regulation.
Spirit continued to deliver strong operating results during the first quarter of 2021. As measured by the DOT, the completion factor 2 for the first quarter of 2021 was 98.6 percent and the on-time return 2 was 85.3 percent.
Total operating income for the first quarter of 2021 was $ 461.3 million, a decrease of 40.2 percent year-on-year as a result of continued negative impacts on air travel demand due to the COVID-19 pandemic. Early in the first quarter of 2021, the Company experienced another setback in demand as new international testing requirements were implemented and some states increased jurisdictional restrictions following spikes in COVID-19 case counts. However, in March 2021, when the launch of the vaccine gained traction and jurisdictional restrictions were eased, national and international demand recovered strongly.