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In the past week, Allegiant Travel Company ALGT and Copa Holdings CPA reported better-than-expected earnings as well as revenues for first-quarter 2025 despite the tariff-induced uncertainty. Delta Air Lines DAL was also in the news following its decision to fly nonstop to Copenhagen and Stockholm.
Ryanair Holdings RYAAY reported impressive traffic numbers for April, driven by upbeat air-travel demand. Mexican carrier Controladora Vuela Compañía de Aviación VLRS or Volaris reported a year-over-year increase in revenue passenger miles (RPMs: a measure of air traffic) for April.
Read the last Airline Roundup here.
Recap of the Most Recent Important Stories
1. Copa Holdings' first-quarter 2025 earnings per share of $4.28 surpassed the Zacks Consensus Estimate of $3.77 and improved 2.2% year over year. Revenues of $899.2 million beat the Zacks Consensus Estimate of $889.5 million and inched up 0.6% year over year due to an 8.7% increase in onboard passengers.
Passenger revenues (which contributed 95.6% to the top line) remained flat year over year at $859 million. Despite the increase in onboard passengers, a 9.1% decrease in yield hurt passenger revenues. CPA’s management expects consolidated capacity to grow 7-8% year over year.
2. Allegiant Travel reported first-quarter 2025 earnings per share (excluding 8 cents from non-recurring items) of $1.81, which surpassed the Zacks Consensus Estimate of $1.54. The company reported earnings of 57 cents per share in the year-ago quarter.
Operating revenues of $699.1 million surpassed the Zacks Consensus Estimate of $690.3 million and improved 6.5% on a year-over-year basis. For the second quarter of 2025, ASM (for scheduled service) is expected to increase 15.5% on a year-over-year basis.
ALGT currently carries a Zacks Rank #5 (Strong Sell).
You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
3. Ryanair reported solid traffic numbers for April 2025, driven by upbeat air travel demand. The number of passengers transported on Ryanair flights was 18.3 million in April 2025, reflecting a 6% year-over-year increase. The April load factor (percentage of seats filled by passengers) of 93% was higher than the year-ago reading of 92%, reflecting consistent passenger demand for the airline's services.
4. This summer, Delta plans to fly nonstop to Copenhagen and Stockholm, as well as to more than 35 destinations across Scandinavia, through its partnership with Scandinavian Airlines System ("SAS"), the flag carrier of Denmark, Norway and Sweden. We remind investors that DAL and SAS inked a codeshare agreement last year to improve connectivity between North America and Scandinavia.