On Tuesday, Spirit Airlines Inc. (NYSE:SAVE) disclosed preliminary financial estimates for the second quarter of 2024, emphasizing that the figures are not final and may change upon completion of their financial statements. The airline, which is yet to finalize its unaudited interim consolidated financial statements, released this information in an Investor Update attached to its latest SEC Form 8-K filing.
Spirit Airlines, based in Dania Beach, Florida, provided non-GAAP financial measures in addition to the standard GAAP metrics, which the company believes offer a clearer perspective of its operating performance. These measures are common in the airline industry, aiding analysts and investors in making comparative evaluations. However, Spirit cautioned that such non-GAAP measures should not be viewed in isolation or as a replacement for GAAP-compliant performance metrics. The Investor Update includes a reconciliation of non-GAAP measures to their GAAP equivalents.
The company also posted the Investor Update on its investor relations website, which includes preliminary estimates for Q2 2024 and projections for the full year. While Spirit Airlines encourages investors to review the update, it also reserves the right to remove the document from its website at any time.
Spirit's announcement is a regulatory disclosure and not an admission of the materiality of the information. It is not intended for filing purposes under the Securities Exchange Act of 1934 or for incorporation into future filings under the Securities Act of 1933.
In other recent news, Spirit Airlines has seen several significant developments. The company has expanded its board of directors with the appointment of Richard F. Wallman, a seasoned financial expert with past roles at Honeywell International Inc (NASDAQ:HON)., IBM (NYSE:IBM), and Chrysler Corporation. Spirit Airlines has also refined its financial strategy, extending its revolving credit facility's maturity to September 30, 2026, and adjusting its agreement with U.S. Bank National Association for credit card payment processing until at least December 31, 2025.
Susquehanna downgraded the company's share price target amid a challenging outlook. Factors such as an excess of U.S. domestic capacity, an expected plateau in leisure demand, and a shift towards premium products were cited. The company also faces growth challenges, including aircraft delivery delays and labor shortages.
In other company news, Spirit Airlines shareholders approved the company's 2024 Incentive Award Plan, aimed at enhancing the compensation framework for executives and key employees. The U.S. Treasury Department raised $556.7 million from the sale of warrants in major U.S. airlines, including Spirit Airlines, as part of the government's COVID-19 relief efforts. Amid these developments, TD Cowen and Deutsche Bank have adjusted their financial outlook for Spirit Airlines. These are recent developments in the company's operations.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.