We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
SkyWest (SKYW - Free Report) delivered better-than-expected fourth-quarter 2019 results. The company’s earnings of $1.43 per share surpassed the Zacks Consensus Estimate of $1.41. Also, the bottom line improved 11.7% on a year-over-year basis. Results benefited from the company’s fleet-transition initiatives. Notably, SkyWest added 10 E175 aircraft and seven CRJ900 aircraft to its fleet since the fourth quarter of 2018.
Quarterly revenues came in at $743.6 million, which beat the Zacks Consensus Estimate of $737.1 million. However, the top line declined 7.45% year over year due to the sale of ExpressJet Airlines in January 2019. The carrier reported a 4.7% increase in block hours (a measure of aircraft utilization) during the reported quarter. Operating expenses declined 9.4% to $618 million owing to the sale of ExpressJet Airlines. Expenses on salaries, wages and benefits declined 16.7% to $249 million.
The company, carrying a Zacks Rank #3 (Hold), exited 2019 with cash and marketable securities of $520 million, down 24.5% year over year. Long-term debt (net of current maturities) fell 7.14% year over year to $2.6 billion. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
We are optimistic about the company’s efforts to reward shareholders. Evidently, the company bought back shares worth $10 million under its $250-million buyback program during the quarter under review.
Apart from the earnings report, SkyWest was also in the news regarding the deal signed with Brazil-based aerospace company — Embraer — as part of its fleet modernization exercise. SkyWest inked a firm order for 20 E175 jets. The contract is valued at $972 million, based on 2019 list prices. Embraer is expected to start delivering the jets from the second half of 2020.
Upcoming Releases
Investors interested in the broader Transportation sector are awaiting fourth-quarter 2019 earnings reports from key players like Air Lease Corporation (AL - Free Report) , Expeditors International of Washington (EXPD - Free Report) and Hertz Global Holdings (HTZ - Free Report) .
Air Lease and Expeditors will announce fourth-quarter results on Feb 14 and Feb 18, respectively. Hertz will release fourth-quarter results on Feb 24.
Free: Zacks’ Single Best Stock Set to Double
Today you are invited to download our latest Special Report that reveals 5 stocks with the most potential to gain +100% or more in 2020. From those 5, Zacks Director of Research, Sheraz Mian hand-picks one to have the most explosive upside of all.
This pioneering tech ticker had soared to all-time highs and then subsided to a price that is irresistible. Now a pending acquisition could super-charge the company’s drive past competitors in the development of true Artificial Intelligence. The earlier you get in to this stock, the greater your potential gain.
Image: Bigstock
SkyWest's (SKYW) Q4 Earnings Beat Estimates, Increase Y/Y
SkyWest (SKYW - Free Report) delivered better-than-expected fourth-quarter 2019 results. The company’s earnings of $1.43 per share surpassed the Zacks Consensus Estimate of $1.41. Also, the bottom line improved 11.7% on a year-over-year basis. Results benefited from the company’s fleet-transition initiatives. Notably, SkyWest added 10 E175 aircraft and seven CRJ900 aircraft to its fleet since the fourth quarter of 2018.
Quarterly revenues came in at $743.6 million, which beat the Zacks Consensus Estimate of $737.1 million. However, the top line declined 7.45% year over year due to the sale of ExpressJet Airlines in January 2019. The carrier reported a 4.7% increase in block hours (a measure of aircraft utilization) during the reported quarter. Operating expenses declined 9.4% to $618 million owing to the sale of ExpressJet Airlines. Expenses on salaries, wages and benefits declined 16.7% to $249 million.
SkyWest, Inc. Price, Consensus and EPS Surprise
SkyWest, Inc. price-consensus-eps-surprise-chart | SkyWest, Inc. Quote
The company, carrying a Zacks Rank #3 (Hold), exited 2019 with cash and marketable securities of $520 million, down 24.5% year over year. Long-term debt (net of current maturities) fell 7.14% year over year to $2.6 billion. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
We are optimistic about the company’s efforts to reward shareholders. Evidently, the company bought back shares worth $10 million under its $250-million buyback program during the quarter under review.
Apart from the earnings report, SkyWest was also in the news regarding the deal signed with Brazil-based aerospace company — Embraer — as part of its fleet modernization exercise. SkyWest inked a firm order for 20 E175 jets. The contract is valued at $972 million, based on 2019 list prices. Embraer is expected to start delivering the jets from the second half of 2020.
Upcoming Releases
Investors interested in the broader Transportation sector are awaiting fourth-quarter 2019 earnings reports from key players like Air Lease Corporation (AL - Free Report) , Expeditors International of Washington (EXPD - Free Report) and Hertz Global Holdings (HTZ - Free Report) .
Air Lease and Expeditors will announce fourth-quarter results on Feb 14 and Feb 18, respectively. Hertz will release fourth-quarter results on Feb 24.
Free: Zacks’ Single Best Stock Set to Double
Today you are invited to download our latest Special Report that reveals 5 stocks with the most potential to gain +100% or more in 2020. From those 5, Zacks Director of Research, Sheraz Mian hand-picks one to have the most explosive upside of all.
This pioneering tech ticker had soared to all-time highs and then subsided to a price that is irresistible. Now a pending acquisition could super-charge the company’s drive past competitors in the development of true Artificial Intelligence. The earlier you get in to this stock, the greater your potential gain.
See 5 Stocks Set to Double>>.