NASDAQ$SNCY

Sun Country Airlines Holdings Inc · Q2 2022 earnings

Q2 2022 earnings · · Investor relations

Briefing

Reported financial results for the second quarter ended June 30, 2022.

Sun Country Airlines reported a net loss of $4 million on $219 million of revenue. GAAP operating income during the quarter was $3 million, producing an operating margin of 1.5%, while adjusted operating income was $4 million, resulting in an adjusted operating income margin of 1.8%.

  • Scheduled service TRASM in the quarter was up 29% versus the second quarter 2019 and 13% sequentially versus first quarter 2022.
  • Generated a positive operating profit of $3.4 million and an adjusted operating profit of $4 million despite fuel prices averaging $4.39 per gallon during the quarter.
  • Scheduled service TRASM was 44% higher than in 2019 and generated a GAAP operating margin of almost 8% during the month of June.
  • Adding a third aircraft to its charter service for Caesars Entertainment in October 2022

Headline financials

Total Revenue

$219M

Previous: $149M+46.8%
EPS (adj)

-$0.03

Previous: $0.07-142.9%
Fuel Cost Per Gallon

$4.39

No prior period
Capital Expenditures

-$138M

Previous: -$66.7M-106.3%
Free Cash Flow

-$142M

Previous: -$15M-844.9%
Net Income

-$3.92M

Previous: $51.8M-107.6%
Operating Income

$3.37M

Previous: $49.2M-93.2%
Gross Profit

-$88.7M

Previous: -$42.3M-109.7%
Cash & Equivalents

$213M

Previous: $311M-31.5%
Total Assets

$1.51B

Previous: $1.31B+15.0%
Stock-Based Comp

$575K

Previous: $743K-22.6%

Revenue & EPS history

Sun Country Airlines · Revenue · Quarterly

$219M

Q2 2022+46.8%vs Q2 2021
Beat estimate in 7 of 16 quarters(44%)
ActualEstimate

Revenue by segment

Sun Country Airlines · $219M total across 5 segments · Q2 2022

  • Scheduled Service
    $108M
  • Ancillary
    $44.2M
  • Charter Service
    $42.7M
  • Cargo
    $21.2M
  • Other
    $2.52M

Forward guidance

Guidance for Third Quarter 2022

Tailwinds

  • Total revenue - millions: $215 to $220
  • Total revenue H/(L) vs Q3 2019: 25% to 28%
  • Economic fuel cost per gallon: $3.84
  • Operating income margin - percentage: 3% - 5%
  • Total system block hours - thousands: 31 to 32

Headwinds

  • Effective tax rate: 23%
  • Total system block hours H/(L) vs Q3 2019: 17% to 21%

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 19 quarterly earnings reports · overlaid with Q2 2022

Historical avgQ2 2022

-0.5%

Avg return

Earnings day

-0.2%

Avg return

5 days after

-1.7%

Avg return

30 days after

65%

17 / 26 earnings

Positive

+13.3%

Q3 2022

Best reaction

-22.0%

Q2 2023

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+1.4%+6.8%
Q4 2025+12.6%+7.6%-16.3%
Q3 2025+6.5%+12.4%+29.1%
Q2 2025-11.0%-8.9%+14.3%
Q1 2025+0.3%+14.7%+18.2%
Q4 2024-0.9%+8.3%-8.0%
Q3 2024+11.7%+14.6%+14.4%
Q2 2024-15.8%-18.0%-16.2%
Q1 2024-19.3%-18.1%-25.3%
Q4 2023+6.3%+1.0%+8.8%
Q3 2023-3.6%-2.9%+32.3%
Q2 2023-22.0%-24.8%-29.1%
Q1 2023+8.1%-2.6%+0.7%
Q4 2022+12.5%+13.1%+8.3%
Q3 2022+13.3%+16.3%+24.1%
Q2 2022-10.9%-4.9%+0.4%
Q1 2022-11.5%-15.8%-26.2%
Q4 2021+4.2%+8.6%-7.9%
Q3 2020+1.0%+8.2%-15.6%
Q3 2021+1.0%+8.2%-15.6%
Q2 2020+0.4%-4.8%-4.3%
Q2 2021+0.4%-4.8%-4.3%
Q1 2020+1.9%-5.9%-6.5%
Q4 2020+1.9%-5.9%-6.5%
Q4 2019+1.9%-5.9%-6.5%
Q1 2021-4.5%-2.0%-3.5%
Q1 2019
Q1 2018

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