HONOLULU, April 8, 2019 /PRNewswire/ -- Hawaiian
Airlines, Inc., a subsidiary of Hawaiian Holdings, Inc. (NASDAQ:
HA) ("Hawaiian" or the "Company"), today announced its system-wide
traffic statistics for the month and quarter ended March 31, 2019. The Company also updated
its expectations for certain first quarter 2019 financial
metrics.
Hawaiian welcomed more than 993,000 guests in March 2019. Total traffic (revenue passenger
miles) increased 0.2 percent on an increase of 0.3 percent in
capacity (available seat miles) compared to March 2018. Load
factor decreased 0.1 points to 86.4 percent.
The table below summarizes March and year-to-date statistics
compared to the respective prior-year periods.
SYSTEM-WIDE OPERATIONS1
MARCH
|
2019
|
2018
|
% CHANGE
|
PAX
|
993,548
|
1,018,741
|
(2.5%)
|
RPMs (000)
|
1,439,227
|
1,436,004
|
0.2%
|
ASMs (000)
|
1,665,067
|
1,659,260
|
0.3%
|
LF
|
86.4%
|
86.5%
|
(0.1) pts
|
|
|
|
|
YEAR-TO-DATE
|
2019
|
2018
|
% CHANGE
|
PAX
|
2,822,634
|
2,891,522
|
(2.4%)
|
RPMS (000)
|
4,128,485
|
4,030,783
|
2.4%
|
ASMS (000)
|
4,851,921
|
4,731,498
|
2.5%
|
LF
|
85.1%
|
85.2%
|
(0.1) pts
|
PAX
|
Passengers
transported
|
RPM
|
Revenue Passenger
Mile; one paying passenger transported one mile
|
ASM
|
Available Seat
Mile; one seat transported one mile
|
LF
|
Load Factor;
percentage of seating capacity filled
|
|
1Includes the operations of
contract carriers under capacity purchase
agreements.
|
First Quarter 2019 Outlook
The Company has revised certain of its expectations for the
quarter ended March 31, 2019 that
were previously provided in its Fourth Quarter and Full Year 2018
Earnings Release on January 29,
2019.
Specifically, the Company:
- narrowed its estimates for operating revenue per ASM; and
- lowered its estimates for operating costs per ASM excluding
fuel primarily due to lower than expected expenses related to its
Neighbor Island freighter operation.
The table below summarizes the Company's revised expectations
for the quarter ended March 31, 2019
expressed as an expected percentage change compared to the results
for the quarter ended March 31,
2018.
Item
|
|
Prior First
Quarter 2019
Guidance
|
|
Revised First
Quarter 2019
Guidance
|
|
GAAP
Equivalent
|
|
Prior GAAP
First Quarter
2019
Guidance
|
|
Revised
GAAP First
Quarter 2019
Guidance
|
Operating revenue per
available seat mile (ASM)
|
|
Down 3.0 –
6.0%
|
|
Down 3.0 –
5.0%
|
|
|
|
|
|
|
Cost per ASM (CASM)
excluding aircraft fuel (a)
|
|
Up 1.0 –
4.0%
|
|
Up 0.5 –
2.5%
|
|
Cost per ASM
(a)
|
|
Down 3.8 –
7.1%
|
|
Down 4.8 –
7.7%
|
|
|
(a)
|
See Table 1 for a
reconciliation of GAAP operating expenses to operating expenses
excluding aircraft fuel.
|
Non-GAAP Financial Reconciliation
Table
1.
|
Operating Costs
per Available Seat Mile (CASM)
|
(in thousands,
except CASM data) (unaudited)
|
|
|
|
Estimated three
months ended March 31, 2019
|
GAAP operating
expenses
|
|
$
|
595,664
|
|
to
|
$
|
614,147
|
|
Less: aircraft fuel,
including taxes and delivery
|
|
|
(121,212)
|
|
to
|
|
(130,253)
|
|
Adjusted operating
expenses - excluding aircraft fuel
|
|
$
|
474,452
|
|
to
|
$
|
483,894
|
|
Available Seat
Miles
|
|
|
4,851,921
|
|
to
|
|
4,851,921
|
|
CASM –
GAAP
|
|
|
12.28
|
¢
|
to
|
|
12.66
|
¢
|
Less: aircraft fuel,
including taxes and delivery
|
|
|
(2.50)
|
|
to
|
|
(2.68)
|
|
CASM - excluding
aircraft fuel
|
|
|
9.78
|
¢
|
To
|
|
9.98
|
¢
|
Forward-Looking Statements
This press release contains "forward-looking statements" within
the meaning of the Private Securities Litigation Reform Act of 1995
that reflect the Company's current views with respect to certain
current and future events and financial performance. Such
forward-looking statements include, without limitation, the
Company's expectations regarding operating revenue per available
seat mile, cost per available seat mile, and cost per available
seat mile excluding fuel for the quarter ended March 31, 2019; and statements as to other
matters that do not relate strictly to historical facts or
statements of assumptions underlying any of the foregoing.
Words such as "expects," "anticipates," "projects," "intends,"
"plans," "believes," "estimates," variations of such words, and
similar expressions are also intended to identify such
forward-looking statements. These forward-looking statements
are and will be, as the case may be, subject to many risks,
uncertainties and assumptions relating to the Company's operations
and business environment, all of which may cause the Company's
actual results to be materially different from any future results,
expressed or implied, in these forward-looking statements.
These risks and uncertainties include, without limitation, the
Company's ability to accurately forecast quarterly results;
economic volatility; macroeconomic developments; political
developments; the price and availability of aircraft fuel;
fluctuations in demand for transportation in the markets in which
the Company operates, including due to the occurrence of natural
disasters, such as hurricanes, earthquakes and tsunamis; the
Company's dependence on tourist travel; labor negotiations and
related developments; competitive pressures, including the impact
of rising industry capacity between North
America and Hawai'i; the Company's ability to continue to
generate sufficient cash flow to support the payment of a quarterly
dividend; changes in the Company's future capital needs; foreign
currency exchange rate fluctuations; and the Company's ability to
implement its growth strategy.
The risks, uncertainties and assumptions referred to above that
could cause the Company's results to differ materially from the
results expressed or implied by such forward-looking statements
also include the risks, uncertainties and assumptions discussed
from time to time in the Company's other public filings and public
announcements, including the Company's Annual Report on Form 10-K
and the Company's Quarterly Reports on Form 10-Q, as well as other
documents that may be filed by the Company from time to time with
the Securities and Exchange Commission. All forward-looking
statements included in this document are based on information
available to the Company on the date hereof. The Company does
not undertake to publicly update or revise any forward-looking
statements to reflect events or circumstances that may arise after
the date hereof even if experience or future changes make it clear
that any projected results expressed or implied herein will not be
realized.
About Hawaiian Airlines
Hawaiian® has led all U.S. carriers in on-time performance for
each of the past 15 years (2004-2018) as reported by the U.S.
Department of Transportation. Consumer surveys by Condé Nast
Traveler, Travel + Leisure and TripAdvisor have
placed Hawaiian among the top of all domestic airlines serving
Hawai'i.
Now in its 90th year of continuous service, Hawaiian is
Hawaii's biggest and
longest-serving airline. Hawaiian offers non-stop service to
Hawai'i from more U.S. gateway cities (13) than any other airline,
along with service from Japan,
South Korea, Australia, New
Zealand, American Samoa and
Tahiti. Hawaiian also provides, on average, more than 170 jet
flights daily between the Hawaiian Islands, and over 260 daily
flights system-wide.
Hawaiian Airlines, Inc. is a subsidiary of Hawaiian Holdings,
Inc. (NASDAQ: HA). Additional information is available at
HawaiianAirlines.com. Follow Hawaiian's Twitter updates
(@HawaiianAir), become a fan on Facebook (Hawaiian Airlines),
and follow us on Instagram (hawaiianairlines). For career postings
and updates, follow Hawaiian's LinkedIn page.
For media inquiries, please visit Hawaiian Airlines' online
newsroom.
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SOURCE Hawaiian Airlines, Inc.