SkyWest, Inc. (NASDAQ: SKYW) (“SkyWest”) has reported financial and operating results for Q1 2018, including net income of USD 54 million, or USD 1.03 per diluted share, compared to net income of USD 35 million, or USD 0.65 per diluted share for Q1 2017.
First quarter highlights include:
Net income of USD 54 million, or USD 1.03 per diluted share, up 56% from USD 35 million or USD 0.65 per diluted share in Q1 2017;
Pre-tax income of USD 67 million, up 28% from USD 52 million in Q1 2017;
Revenue of USD 783 million, up 5% from USD 747 million in Q1 2017 on improving fleet mix.
The improvement in Q1 2018 pre-tax income from Q1 2017 was primarily due to SkyWest´s ongoing fleet transition. Since Q1 2017 19 new E175 aircraft have been added and 46 CRJ and ERJ 50-seat aircraft and 25 CRJ700/CRJ900 aircraft have been removed.
Revenue was USD 783 million in Q1 2018, up from USD 747 million in Q1 2017. The increase in revenue included the net impact of adding new E175 aircraft and improvement in the economics of SkyWest´s fleet mix since Q1 2017, partially offset by the removal of unprofitable or less profitable aircraft over the same period.
Operating expenses were USD 695 million in Q1 2018, up from USD 671 million in Q1 2017. The increase in operating expenses included additional labor, engine maintenance and fuel costs.
The effective tax rate for Q1 2018 was 19% compared to 34% in Q1 2017. The lower tax rate in Q1 2018 was primarily due to the reduced federal rate under the new tax law enacted in Q4 2017 and additional discrete tax benefits from stock compensation in Q1 2018.
Based in St. George, Utah, SkyWest, Inc. is the holding company for two scheduled passenger airline operations and an aircraft leasing company with more than 17,000 employees. SkyWest´s airline companies provide commercial air service in cities throughout North America with nearly 3,000 daily flights carrying more than 50 million passengers annually. SkyWest Airlines operates through partnerships with United Airlines, Delta Air Lines, American Airlines and Alaska Airlines.