Core Viewpoint - The airline sector experienced a collective rise, with significant gains in stock prices for major airlines following the release of U.S. CPI data indicating an increase in ticket prices [1] Group 1: Airline Stock Performance - American Airlines (AAL.US) and Alaska Airlines (ALK.US) saw stock increases of over 6% [1] - United Airlines (UAL.US) and Delta Airlines (DAL.US) experienced stock increases of over 5% [1] Group 2: CPI Data Impact - The U.S. Consumer Price Index (CPI) reported a 4% increase in ticket prices for July, contrasting with a 0.1% decrease in the previous month [1]

Core Insights - Andrew R. Harrison, EVP and chief commercial officer of Alaska Air Group, sold 7,600 shares on July 28, 2025, for a total value of $404,501 [1][2]. Transaction Summary - The transaction involved 7,600 shares with a total value of $404,501, leaving Harrison with 18,930 shares valued at approximately $1,017,198 post-transaction [2]. - The sale represented a negligible portion of Alaska Air Group's trailing-12-month revenue of $13.4 billion [4]. Company Overview - Alaska Air Group has a market capitalization of $5.92 billion, trailing-12-month revenue of $13.45 billion, and a net income of $313 million [6]. - The company experienced a one-year price change of 48.77% as of August 2 [6]. - Alaska Air operates a diversified route network across approximately 120 destinations in North America, serving both passenger and cargo transportation [7][9]. Market Context - The stock sale occurred after a strong one-year share price appreciation of 37.68%, but there is no direct linkage to material company disclosures or market-moving events around the transaction date [5]. - Harrison's sale during the summer travel season raises concerns, as he is closely involved in the airline's commercial operations [8]. - Despite the sale, Alaska Air's premium cabin revenue is outperforming, while main cabin revenue was softer than anticipated in the second quarter [10]. Future Considerations - The stability of the premium and main cabin revenue dynamic remains uncertain, but no major airline has reported weakness in premium sales thus far [11].

PART I. FINANCIAL INFORMATION [ITEM 1. CONDENSED CONSOLIDATED FINANCIAL STATEMENTS](index=4&type=section&id=ITEM%201.%20CONDENSED%20CONSOLIDATED%20FINANCIAL%20STATEMENTS) This section presents the unaudited condensed consolidated financial statements for Alaska Air Group, Inc., including balance sheets, statements of operations, and cash flows, reflecting the company's financial position and performance after the Hawaiian Holdings acquisition Condensed Consolidated Balance Sheet Highlights (in millions) | Account | June 30, 2025 | December 31, 2024 | | :--- | :--- | :--- | | **Total cash, restricted cash, and marketable securities** | $2,152 | $2,504 | | **Total Current Assets** | $3,507 | $3,760 | | **Total Property and Equipment - Net** | $11,215 | $10,781 | | **Total Assets** | **$19,885** | **$19,768** | | **Total Current Liabilities** | $6,709 | $6,145 | | **Total Liabilities** | $15,943 | $15,396 | | **Total Shareholders' Equity** | $3,942 | $4,372 | | **Total Liabilities and Shareholders' Equity** | **$19,885** | **$19,768** | Condensed Consolidated Statements of Operations Highlights (in millions, except per share amounts) | Metric | Q2 2025 | Q2 2024 | H1 2025 | H1 2024 | | :--- | :--- | :--- | :--- | :--- | | **Total Operating Revenue** | $3,704 | $2,897 | $6,841 | $5,129 | | **Operating Income** | $277 | $322 | $80 | $156 | | **Net Income** | $172 | $220 | $6 | $88 | | **Diluted Earnings Per Share** | $1.42 | $1.71 | $0.05 | $0.69 | Condensed Consolidated Statements of Cash Flows Highlights (Six Months Ended June 30, in millions) | Cash Flow Activity | 2025 | 2024 | | :--- | :--- | :--- | | **Net cash provided by operating activities** | $835 | $872 | | **Net cash used in investing activities** | ($747) | ($135) | | **Net cash provided by (used in) financing activities** | ($544) | $87 | | **Net (decrease) increase in cash and cash equivalents** | ($456) | $824 | [NOTES TO THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS](index=10&type=section&id=NOTES%20TO%20THE%20CONDENSED%20CONSOLIDATED%20FINANCIAL%20STATEMENTS) These notes detail accounting policies and financial items, including the Hawaiian Holdings acquisition, revenue recognition, fair value measurements, debt, aircraft commitments, legal contingencies, and segment performance - The company completed its acquisition of Hawaiian Holdings, Inc. on September 18, 2024, for a total consideration of **$977 million**[30](index=30&type=chunk) - Merger-related costs amounted to **$53 million** for the three months and **$93 million** for the six months ended June 30, 2025, classified under Special items[33](index=33&type=chunk) Total Revenue Breakdown (in millions) | Revenue Category | Q2 2025 | Q2 2024 | H1 2025 | H1 2024 | | :--- | :--- | :--- | :--- | :--- | | **Passenger revenue** | $3,355 | $2,651 | $6,163 | $4,655 | | **Loyalty program other revenue** | $210 | $174 | $417 | $338 | | **Cargo and other revenue** | $139 | $72 | $261 | $136 | - As of June 30, 2025, the company had total debt of **$4.95 billion**, with a weighted-average interest rate of **4.0%** for fixed-rate debt and **6.0%** for variable-rate debt[58](index=58&type=chunk) - The company has firm orders for **86 aircraft** (75 B737s, 8 B787-9s, 3 E175s) for delivery between 2025-2029, with total aircraft-related commitments of **$4.53 billion**[69](index=69&type=chunk)[71](index=71&type=chunk) - A **$1 billion** share repurchase program was authorized in December 2024. During the first six months of 2025, the company repurchased **10.5 million shares** for **$535 million**, with **$465 million** remaining under the program[75](index=75&type=chunk) Segment Pretax Income (Loss) - Q2 2025 (in millions) | Segment | Pretax Income (Loss) | | :--- | :--- | | Alaska Airlines | $267 | | Hawaiian Airlines | $1 | | Regional | $7 | [ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS](index=27&type=section&id=ITEM%202.%20MANAGEMENT%27S%20DISCUSSION%20AND%20ANALYSIS%20OF%20FINANCIAL%20CONDITION%20AND%20RESULTS%20OF%20OPERATIONS) Management analyzes financial performance, comparing Q2 and H1 2025 results to pro forma 2024 figures, covering revenue, expenses, segment performance, liquidity, capital resources, and future outlook, noting a non-material cybersecurity incident [Second Quarter Review and Outlook](index=28&type=section&id=Second%20Quarter%20Review%20and%20Outlook) The company reported Q2 2025 GAAP income before tax of $238 million, with a positive full-year 2025 outlook projecting 2% capacity growth and flat to low single-digit unit revenue increase on a pro forma basis - A cybersecurity incident was identified at Hawaiian Airlines on June 23, 2025, but it is not expected to have a material impact on business, operations, or financial condition[99](index=99&type=chunk)[100](index=100&type=chunk) - New collective bargaining agreements were ratified for Hawaiian flight attendants and Horizon technicians in Q2 2025[104](index=104&type=chunk) - **Full Year 2025 Outlook (Pro Forma):** - Capacity: **Up 2% YoY** - Unit Revenue (RASM): **Flat to up low single digits** - Unit Cost (CASMex): **Up mid single digits**[107](index=107&type=chunk) [Results of Operations](index=29&type=section&id=Results%20of%20Operations) This section details pro forma operating results for Q2 and H1 2025 versus 2024, showing Q2 revenue growth of 2% to **$3.7 billion** and a 2% rise in operating expenses, with segment performance analysis Q2 2025 vs Q2 2024 Pro Forma Operating Metrics | Metric | Q2 2025 | Q2 2024 Pro Forma | % Change | | :--- | :--- | :--- | :--- | | **Total Operating Revenue (millions)** | $3,704 | $3,629 | 2% | | **RASM (unit revenue)** | 15.39¢ | 15.49¢ | (0.6)% | | **CASMex (unit cost ex-fuel)** | 10.90¢ | 10.23¢ | 6.5% | | **Economic fuel cost per gallon** | $2.39 | $2.81 | (14.9)% | H1 2025 vs H1 2024 Pro Forma Operating Metrics | Metric | H1 2025 | H1 2024 Pro Forma | % Change | | :--- | :--- | :--- | :--- | | **Total Operating Revenue (millions)** | $6,841 | $6,506 | 5% | | **RASM (unit revenue)** | 15.11¢ | 14.84¢ | 1.8% | | **CASMex (unit cost ex-fuel)** | 11.36¢ | 10.89¢ | 4.3% | | **Economic fuel cost per gallon** | $2.49 | $2.88 | (13.4)% | - On a pro forma basis, Q2 2025 wages and benefits increased **12%** to **$1.165 billion**, driven by higher headcount and wage rates[126](index=126&type=chunk) - Hawaiian Airlines' Q2 2025 pretax profit improved significantly to **$1 million** from a pro forma loss of **$83 million** in Q2 2024, driven by a **$125 million** revenue increase from network optimization and recovery from the 2023 Maui wildfires[137](index=137&type=chunk) [Liquidity and Capital Resources](index=41&type=section&id=Liquidity%20and%20Capital%20Resources) As of June 30, 2025, the company maintained strong liquidity with **$2.2 billion** in cash, a 60% debt-to-capitalization ratio, and planned 2025 capital expenditures of **$1.4 to $1.6 billion** for aircraft, projecting a 2027 fleet of **464 aircraft** Key Financial Condition Indicators (in millions) | Indicator | June 30, 2025 | December 31, 2024 | | :--- | :--- | :--- | | **Cash, marketable securities, and unused lines of credit** | $2,974 | $3,325 | | **Liquidity as a % of trailing twelve months' revenue** | 22% | 28% | | **Debt-to-capitalization ratio, including leases** | 60% | 58% | - Planned capital expenditures for 2025 are estimated to be between **$1.4 billion** and **$1.6 billion**[175](index=175&type=chunk) - The company sold **four B737-900 aircraft** in Q2 2025 for proceeds of approximately **$53 million**, recognizing a gain of **$25 million**. The remaining **eight B737-900s** are expected to be sold by the end of 2025[173](index=173&type=chunk) Anticipated Total Fleet Count | Year-End | Total Air Group Fleet | | :--- | :--- | | **June 30, 2025 (Actual)** | 409 | | **2025 (Projected)** | 414 | | **2026 (Projected)** | 425 | | **2027 (Projected)** | 464 | [ITEM 3. QUANTITATIVE AND QUALITATIVE DISCLOSURE ABOUT MARKET RISK](index=49&type=section&id=ITEM%203.%20QUANTITATIVE%20AND%20QUALITATIVE%20DISCLOSURE%20ABOUT%20MARKET%20RISK) No material changes in market risk were reported since the Annual Report on Form 10-K for the year ended December 31, 2024 - No material changes in market risk were reported since the last annual report[200](index=200&type=chunk) [ITEM 4. CONTROLS AND PROCEDURES](index=50&type=section&id=ITEM%204.%20CONTROLS%20AND%20PROCEDURES) Management concluded disclosure controls and procedures were effective as of June 30, 2025, with ongoing integration of Hawaiian Holdings' internal controls and implementation of alternative controls post-cybersecurity incident - The company's certifying officers concluded that disclosure controls and procedures were effective as of June 30, 2025[201](index=201&type=chunk) - The integration of Hawaiian Holdings' internal controls is ongoing. Alternative and compensating controls were used following the Hawaiian Airlines cybersecurity incident to ensure the accuracy of financial reporting[202](index=202&type=chunk)[203](index=203&type=chunk) PART II. OTHER INFORMATION [ITEM 1. LEGAL PROCEEDINGS](index=51&type=section&id=ITEM%201.%20LEGAL%20PROCEEDINGS) This section refers to Note 7 for ongoing legal proceedings, primarily detailing litigation with Virgin Group over a trademark license agreement, for which a **$61 million** accrual is held - The company is involved in a dispute with Virgin Group over a trademark license agreement. An appellate court affirmed a lower court ruling in favor of Virgin Group. The company has accrued **$61 million** for this matter as of June 30, 2025[73](index=73&type=chunk)[206](index=206&type=chunk) [ITEM 1A. RISK FACTORS](index=51&type=section&id=ITEM%201A.%20RISK%20FACTORS) The company refers to its 2024 Form 10-K for a detailed discussion of risk factors affecting its business - There are no new risk factors disclosed; the company refers to its 2024 Annual Report on Form 10-K for a comprehensive list[207](index=207&type=chunk) [ITEM 2. UNREGISTERED SALES OF EQUITY SECURITIES AND USE OF PROCEEDS](index=51&type=section&id=ITEM%202.%20UNREGISTERED%20SALES%20OF%20EQUITY%20SECURITIES%20AND%20USE%20OF%20PROCEEDS) This section details the company's Q2 2025 common stock repurchases, where over **8.7 million shares** were bought back under a **$1 billion** plan authorized in December 2024 Share Repurchases in Q2 2025 | Period | Total Shares Purchased | Average Price Paid per Share | | :--- | :--- | :--- | | **April 2025** | 2,521,296 | $44.02 | | **May 2025** | 4,531,750 | $50.99 | | **June 2025** | 1,667,963 | $51.05 | | **Total Q2** | **8,721,009** | **$48.99** | - As of June 30, 2025, **$465 million** remained available for future repurchases under the current plan[209](index=209&type=chunk) [ITEM 5. OTHER INFORMATION](index=51&type=section&id=ITEM%205.%20OTHER%20INFORMATION) No director or officer adopted, modified, or terminated Rule 10b5-1 or non-Rule 10b5-1 trading arrangements during Q2 2025 - No director or officer made changes to their Rule 10b5-1 trading plans during the three months ended June 30, 2025[212](index=212&type=chunk)

Core Insights - Alaska Airlines is launching transatlantic flights for the first time, marking a significant expansion in its international routes following a $1.9 billion acquisition of Hawaiian Airlines [1][2] - The airline has introduced a new livery for its Boeing 787s, described as its "first-ever global livery," inspired by the northern lights and reflecting its transition to a global airline [9][10] Fleet Expansion - The acquisition of Hawaiian Airlines has added four Boeing 787 Dreamliners to Alaska Airlines' fleet, with an additional 13 on order, transitioning from single-aisle jets to wide-body aircraft [2] - The first Dreamliner flights will commence from Seattle to Seoul on September 12, with additional routes to Tokyo and Rome planned for early 2024 [2][4] New Routes - Alaska Airlines will begin service to Reykjavík, Iceland from Seattle in May, utilizing the Boeing 737 Max, marking it as the longest route operated by a US airline with such an aircraft [3] - By next spring, the airline will also offer daily, non-stop flights to London Heathrow using the Boeing 787, catering to a high-demand international market [4] Customer Experience - The Boeing 787's business class will feature fully lie-flat seats with privacy doors, enhancing the premium travel experience, which has become increasingly important post-pandemic [4][8] - The airline aims to attract new customers with its updated premium offerings, despite a slow recovery in overall travel demand [8] Livery Redesign - The new livery for the Boeing 787s features blue and cyan colors inspired by the northern lights, marking the first update since 2016 [9] - The redesign has led to the removal of the smiling Inuit character, Chester, from the livery of the Dreamliners, although he will still appear on most other Alaska Airlines jets [11]

Summary of Alkane Resources (ALK) 2025 Conference Call Company Overview - Alkane Resources has recently completed a merger with Mandalay Resources, with the court in British Columbia ratifying the merger [2][3] - The new board has been formed, and the first board meeting is scheduled [3] Financial Performance - The combined market capitalization is approaching AUD 1 billion, with expectations to enter the ASX 300 and double the share in the GDXJ index [4][36] - As of June 30, the company has AUD 219 million in cash, indicating strong financial health [5] - Last year, the company produced approximately 161,000 ounces of gold equivalent and anticipates increased production this year [3][34] Production and Assets - The company operates three mines: Costerfield (Victoria), Tomingley (New South Wales), and Bjorkdal (Sweden) [3][7] - Production breakdown: - Tomingley: Over 70,000 ounces of gold last year [7] - Costerfield: Just under 50,000 ounces equivalent [7] - Bjorkdal: Just under 40,000 ounces [7] - The company aims to increase production across all three assets [7][34] Growth Opportunities - Significant drilling programs are planned, with an investment of AUD 40-50 million across the group [19] - The Bodder Kaiser project is highlighted as a large undeveloped resource with an estimated 15 million ounces equivalent, making it the second-largest undeveloped deposit in Australia [30][31] - The company is focused on internal growth options before pursuing further acquisitions [10] Market Position and Strategy - Alkane Resources is positioned as the largest Western producer of antimony and is looking to capitalize on market opportunities [20][21] - The company emphasizes the stability and profitability of mining operations in New South Wales and Victoria, countering negative perceptions [29] Conclusion - Alkane Resources is poised for growth with a solid financial foundation, a strong production outlook, and significant exploration and development plans [34][36] - The company encourages stakeholders to reassess its value in light of recent developments and market positioning [36]

Company Overview - Alkane Resources Limited completed a merger with Mandalay, becoming a growing gold and antimony producer[11, 12] - The combined company has a market capitalization of approximately A$1 billion[21] - The company anticipates a valuation re-rate driven by GDXJ and ASX 300 index inclusion[21] - Alkane had a combined cash and bullion balance of A$218 million as of June 30, 2025, with approximately A$60 million in debt[20, 22] Production and Growth - Diversified production of 161,000 AuEq ounces in FY2025, with further growth expected in FY2026[15] - Tomingley produced 70,100 ounces of gold, Björkdal produced 41,400 ounces of gold, and Costerfield produced 49,400 AuEq ounces in the period from July 2024 to June 2025[25] - The company is targeting approximately 40,000 AuEq ounces produced per quarter[29] Resource and Reserve Highlights - Boda-Kaiser has approximately 14.7 million AuEq ounces in resources[87] - Tomingley Gold Mine has total ore reserves of 674,000 tonnes at a grade of 1.6 g/t Au, containing 34,000 ounces of gold[98] - Tomingley Gold Extension Project has total ore reserves of 11,082,000 tonnes at a grade of 1.9 g/t Au, containing 663,000 ounces of gold[101]

Group 1 - Alaska Airlines is expanding its global reach by starting new flights from Seattle to London and Reykjavik, Iceland, in May [1] - The airline will operate daily flights between Seattle and London's Heathrow Airport using Boeing 787-9 Dreamliners, targeting both business and leisure travelers [1] - Seasonal service from Seattle to Reykjavik will be provided by a 737 Max 8 during spring and summer [1] Group 2 - In June, Alaska Airlines announced plans to initiate nonstop flights between Seattle and Rome next year [2] - Delta Air Lines, a competitor, also revealed plans to offer flights between Seattle and Rome, as well as Barcelona [2]

Core Insights - Alaska Air Group, Inc. (ALK) reported Q2 2025 earnings of $1.78 per share, exceeding the Zacks Consensus Estimate of $1.56 but down 30.2% year over year [1][9] - Operating revenues reached $3.70 billion, surpassing the Zacks Consensus Estimate of $3.65 billion, and increased by 27.8% year over year, with passenger revenues contributing 90.5% of the total [1][9] Financial Performance - Passenger revenues totaled $3.35 billion, while cargo and other revenues grew 93% year over year to $139 million, and loyalty program revenues increased by 21% to $210 million [2] - Revenue per available seat mile (RASM) decreased by 3.3% to 15.39 cents, and yield fell by 4% to 16.62 cents [3] - Consolidated traffic grew 31.8% to 20.17 billion revenue passenger miles, while capacity increased by 32.2% to 24.05 billion average seat miles, leading to a slight drop in load factor to 83.9% from 84.1% [4] Operating Expenses - Total operating expenses rose by 33% to $3.42 billion, with economic fuel prices per gallon decreasing by 15.8% to $2.39 [5] - Consolidated operating costs per available seat mile (excluding fuel and special items) increased by 10.2% [5] Liquidity and Capital Structure - As of June 30, 2025, Alaska Air had $750 million in cash and cash equivalents, down from $1.04 billion in the previous quarter, with long-term debt increasing to $4.44 billion [6] - The debt-to-capitalization ratio stood at 60% at the end of the reported quarter, and the company repurchased 8.7 million shares for $428 million during Q2 [6] Future Outlook - For Q3 2025, ALK anticipates adjusted earnings per share between $1.00 and $1.40, with the Zacks Consensus Estimate at $1.55 [7] - The company expects available seat miles to decrease by 1% year over year, with RASM projected to remain flat or increase by low single digits, while CASM is expected to rise by mid to high single digits [7] - For the full year 2025, ALK expects adjusted earnings per share to exceed $3.25, with the Zacks Consensus Estimate at $3.33 [8][10]

Core Viewpoint - Alaska Air Group (ALK) has been trending in stock searches, with a recent performance of +4.8% over the past month, outperforming the S&P 500's +2.7% and the airline industry’s +9.2% [1] Earnings Estimate Revisions - Alaska Air is expected to report earnings of $1.59 per share for the current quarter, reflecting a year-over-year decline of -29.3%, with a consensus estimate change of -34% over the last 30 days [4] - For the current fiscal year, the consensus earnings estimate is $3.34, indicating a -31.4% change from the previous year, with a recent estimate change of -7.3% [4] - The next fiscal year's consensus earnings estimate is $6.19, suggesting an increase of +85.3% compared to the previous year, although it has changed -5.1% in the past month [5] - The Zacks Rank for Alaska Air is 4 (Sell), indicating potential underperformance in the near term based on earnings estimate revisions [6] Projected Revenue Growth - The consensus sales estimate for the current quarter is $3.74 billion, representing a year-over-year increase of +21.9% [10] - For the current fiscal year, the revenue estimate is $14.22 billion, indicating a +21.2% change, while the next fiscal year's estimate is $15.2 billion, reflecting a +6.9% change [10] Last Reported Results and Surprise History - In the last reported quarter, Alaska Air achieved revenues of $3.7 billion, a year-over-year increase of +27.9%, with an EPS of $1.78 compared to $2.55 a year ago [11] - The company surpassed consensus EPS estimates three times and revenue estimates three times over the last four quarters [12] Valuation - Alaska Air is graded A on the Zacks Value Style Score, indicating it is trading at a discount compared to its peers [16]

Our new nonstop routes SEATTLE, July 31, 2025 /PRNewswire/ -- Alaska Airlines is further expanding our network between California and the Pacific Northwest with seven new routes starting this October. Alaska Airlines announces new routes connecting the Pacific Northwest and California. Alaska Airlines announces new routes connecting the Pacific Northwest and California. We've added three new flights from Hollywood Burbank Airport, located north of downtown Los Angeles, to destinations in Oregon and Washingt ...