LONDON – Last week, Hawaiian Airlines published its third quarter (Q3) 2022 financial standings, posting an adjusted net loss for the period.
The Q3 Results
For their Q3 2022 results, Hawaiian Airlines has reported an unfortunate GAAP net loss of $9.3 million with an adjusted net loss of $7.7 million. This GAAP net loss is a significant decrease compared to Q3 in 2021’s GAAP net profit of $14.7 million.
Alongside their net loss, Hawaiian’s GAAP EPS also dropped significantly to loss of $0.18 per share with an adjusted EPS loss of $0.15 per share, compared to Q3 in 2021’s GAAP EPS income of $0.29 per share. Both of these figures resulted in an EBITDA of $46.8 million with an adjusted EBITDA of $47.9 million.
However, its not all doom and gloom for Hawaiian Airlines as their operating revenues had interestingly increase by quite some margin when compared to 2021’s Q3 with passenger revenue rising from $454,044 to $663,107 for this quarter, which is a 46% increase.
Their other operating revenue also raised to $78,047 from $54,804 in Q3 2021 which is a 42.4% increase. In total, their operating revenues for 2022’s Q3 stood at $741,154 which is a 45.7% increase compared to 2021’s Q3 operating revenues of $508,848.
Looking ahead, Hawaiian Airlines is anticipating that their Q4 2022 total revenue will be up by 5.5% with an adjusted EBIDTA of $35 million. With these changes, they are expecting their full year (FY) 2022 results capital expenditure to rise to $135 million.
For their current liquidity position, Hawaiian Airlines has an unrestricted cash, cash equivalents and short-term investments of $1.4 billion with $1.7 billion in liquidity including their undrawn $235 million credit facility. They also have outstanding debt and finance lease payments of $1.7 billion as well as an air traffic liability and frequent flyer deferred revenue of $700 million.
In terms of their route network, Hawaiian operated at 93% of its 2019 Q3 capacity which is broken down as 116% for North America, 82% to Neighbour Islands and 52% on International destinations.
It is also worth pointing out that very recently that Hawaiian Airlines and Amazon signed an eight-year agreement here Amazon will provide 10 Airbus A330-300 Passenger to Freighter (P2F) aircraft and Hawaiian Airlines will provide crew and line maintenance for the aircraft. The first aircraft are due to enter service during the second half of 2023.
Hawaiian Airlines senior comments
Hawaiian Airlines’ President and Chief Executive Officer, Peter Ingram, has commented on their Q3 financial results for 2022, saying, “We enjoyed strong demand for travel to Hawai’i this summer led by our North America routes and are encouraged to see these trends continue into the fall, while the relaxation of travel restrictions in Japan sets the stage for full restoration of our network in the months ahead.”
“Our competitive position is strong. And above all else we continue to have the best team in the business that has taken on every challenge over the last few years and continues to deliver outstanding service and hospitality.”
It is evident that Hawaiian Airlines still has some work to do, however, with strong demand still flowing and more restrictions being lifted enabling them to restore the remainder of their network, they should certainly have a much more promising remainder of the year.