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Frontier Group Holdings (Nasdaq: ULCC) posts record Q2 $1.3B revenue

Filing Impact
(High)
Filing Sentiment
(Neutral)
Form Type
8-K

Rhea-AI Filing Summary

Frontier Group Holdings, Inc. reported strong revenue growth but continued losses for the quarter ended June 30, 2026. Total operating revenue reached an all‑time quarterly record of approximately $1.3 billion ($1,279 million in the table), up 38% year over year, as revenue per available seat mile rose 28% to 11.52¢ on 8% higher capacity and load factor improved to 80.3%.

Higher fuel, aircraft rent and maintenance pushed total operating expenses to $1,376 million, resulting in a GAAP net loss of $90 million (‑$0.39 per diluted share). Results were heavily affected by a non‑recurring $70 million Early Return Agreement charge; excluding this, adjusted net loss narrowed to $22 million (‑$0.10 per share). Total liquidity was $1.16 billion, equal to 27% of trailing 12‑month adjusted revenue.

The company ended the quarter with a 165‑aircraft all‑Airbus fleet and highlighted ancillary initiatives, including extending its co‑branded Barclays credit card partnership through 2037 and planning Starlink onboard Wi‑Fi from 2027. Management guides adjusted diluted EPS of $(0.10) to $0.10 for Q3 2026 and breakeven to $0.20 for Q4, with capacity up 17–18% and about 7% year over year, respectively.

Positive

  • All-time record quarterly revenue of approximately $1.3 billion (38% year-over-year growth) with RASM up 28% to 11.52¢ and load factor improving to 80.3%.
  • Ended Q2 2026 with total liquidity of $1.16 billion, equal to 27% of trailing 12‑month adjusted revenue, providing a sizable financial buffer.
  • Guides adjusted diluted EPS to a range of $(0.10)–$0.10 for Q3 2026 and breakeven to $0.20 for Q4, indicating potential progress toward profitability.

Negative

  • Reported a Q2 2026 GAAP net loss of $90 million and first‑half 2026 net loss of $362 million, indicating the business remains unprofitable despite record revenue.
  • Non-recurring items tied to the Early Return Agreement and TSA Reserve drove pre-tax adjustments of $282 million in the first half of 2026, masking underlying performance.
  • Fuel costs rose sharply, with Q2 2026 fuel cost per gallon increasing to $4.17 from $2.36, contributing to a 27% rise in CASM to 12.39¢.

Filing Explained

For the first half ended June 30, the filing reports a GAAP loss after disclosed special-item adjustments.

As a Form 8-K, this July 29, 2026 disclosure reports a specified material event and furnishes Frontier’s second-quarter results and related guidance, including a first-half GAAP loss and aircraft lease-return accounting.

The report says the results and press-release exhibit are furnished rather than filed for purposes of Section 18 of the Exchange Act, so this filing records the company’s disclosure without making the exhibit subject to that section’s liabilities.

For the six months ended June 30, 2026, GAAP net loss was worse than in the prior-year period; the company’s adjusted net loss remained negative after excluding disclosed TSA Reserve and Early Return Agreement adjustments.

The Early Return Agreement is operationally reflected in the return of 24 A320neo aircraft and the early termination of their leases; the remaining fleet was 165 aircraft at June 30, 2026, with operating leases expiring between 2027 and 2038.

Full-year guidance says the company expects pre-delivery deposits, net of refunds, to decline, with a similar reduction in the related financing facility, while other capital expenditures are guided; these are estimates, not completed spending.

A specific near-term item to follow is the postponed delivery of one A321neo and the company’s stated expectation of six A320-family deliveries in the third quarter.

Item 2.02 Results of Operations and Financial Condition Financial
Disclosure of earnings results, typically an earnings press release or preliminary financials.
Item 9.01 Financial Statements and Exhibits Exhibits
Financial statements, pro forma financial information, and exhibit attachments filed with this report.
Q2 2026 Revenue $1,279 million Total operating revenues for the three months ended June 30, 2026
Q2 2026 GAAP Net Loss $90 million Net loss for the three months ended June 30, 2026
Q2 2026 Adjusted Net Loss $22 million Adjusted (non-GAAP) net loss excluding Early Return Agreement in Q2 2026
Q2 2026 RASM 11.52 ¢ Revenue per available seat mile for the three months ended June 30, 2026
Total Liquidity $1.16 billion Liquidity as of June 30, 2026, 27% of trailing 12-month adjusted revenue
Fleet Size 165 aircraft Airbus single-aisle aircraft in the fleet as of June 30, 2026
Q3 2026 Adjusted EPS Guidance $(0.10) to $0.10 Projected adjusted diluted earnings (loss) per share for Q3 2026
Q4 2026 Adjusted EPS Guidance Breakeven to $0.20 Projected adjusted diluted earnings per share for Q4 2026
Revenue per available seat mile financial
"Revenue per available seat mile (“RASM”) (¢) | 11.52 | 9.01"
Revenue per available seat mile (RASM) measures how much money an airline earns for each seat it offers to fly one mile, calculated by dividing total passenger revenue by the number of seats multiplied by miles flown. It matters to investors because it shows how well an airline turns its capacity into income—like measuring dollars earned per empty chair on a bus route—and helps compare pricing power and operational efficiency across carriers.
Cost per available seat mile financial
"Cost per available seat mile (“CASM”) (¢) | 12.39 | 9.73"
Cost per available seat mile (CASM) measures how much it costs an airline to fly one seat one mile, whether that seat is filled or empty. Think of it like the cost to keep one chair in a taxi running for one mile: lower CASM means the airline is operating more efficiently, which matters to investors because it directly affects profit margins, pricing flexibility and how well a carrier can compete or withstand downturns.
Early Return Agreement financial
"early lease termination of 24 aircraft (the “Early Return Agreement”)"
TSA Reserve financial
"resulted in a $73 million charge referred to as the TSA Reserve"
EBITDAR financial
"Earnings Before Interest, Taxes, Depreciation, Amortization and Rent (“EBITDAR”)"
EBITDAR stands for Earnings Before Interest, Taxes, Depreciation, Amortization, and Rent; it measures a company's operating profit before the cost of financing, taxes, accounting write-downs, and lease or rent payments. For investors, it reveals how much cash a business generates from its core activities without the effects of capital structure or rent commitments — similar to checking how much money a store makes from selling goods before paying for the building, loan interest, or taxes.
Q2 2026 revenue $1,279 million up from $929 million in Q2 2025
Q2 2026 GAAP net loss $90 million compared with a $70 million loss in Q2 2025
Q2 2026 adjusted net loss $22 million improved from a $70 million adjusted net loss in Q2 2025
Q2 2026 RASM 11.52 ¢ up from 9.01¢ in Q2 2025
First-half 2026 revenue $2,271 million up from $1,841 million in the first half of 2025
First-half 2026 GAAP net loss $362 million wider than the $113 million loss in the first half of 2025
Guidance

For Q3 2026, adjusted diluted EPS is guided to $(0.10) to $0.10 with capacity up 17–18% year over year; for Q4 2026, adjusted diluted EPS is guided to breakeven to $0.20 with capacity up about 7% versus the 2025 quarter.

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FAQ

How did Frontier Group Holdings (ULCC) perform financially in Q2 2026?
Frontier posted Q2 2026 revenue of $1,279 million, up 38% year over year, but recorded a GAAP net loss of $90 million. Adjusted (non‑GAAP) net loss improved to $22 million, or $(0.10) per diluted share, excluding Early Return Agreement charges.

What earnings guidance did Frontier Group Holdings (ULCC) provide for late 2026?
Management projects adjusted diluted EPS of $(0.10) to $0.10 for Q3 2026 and breakeven to $0.20 for Q4 2026. Capacity is expected to grow 17–18% year over year in Q3 and about 7% in Q4, assuming continued strong demand and elevated fuel prices.

How strong is Frontier Group Holdings (ULCC)'s liquidity as of June 30, 2026?
As of June 30, 2026, Frontier had total liquidity of $1.16 billion, including cash and revolver availability. This represented 27% of trailing 12‑month adjusted revenue, offering flexibility to manage volatility, fleet actions, and planned capital spending.

What non-recurring items affected Frontier Group Holdings (ULCC)'s 2026 results?
Results were impacted by a $73 million TSA Reserve charge and $209 million of Early Return Agreement costs in the first half of 2026. These include lease termination costs, write-offs of capitalized maintenance, and accelerated depreciation related to early return of 24 A320neo aircraft.

What capacity growth is Frontier Group Holdings (ULCC) planning for Q3 and Q4 2026?
For Q3 2026, Frontier expects capacity growth of 17–18% versus the 2025 quarter and 2–3% sequentially. For Q4 2026, capacity is projected to increase by approximately 7% year over year, reflecting its fleet plan and network expansion.

What strategic initiatives did Frontier Group Holdings (ULCC) highlight in this update?
The company extended its co-branded credit card partnership with Barclays through 2037, enhancing expected program economics, and announced plans to launch Starlink onboard Wi‑Fi starting in early 2027, aiming to improve customer experience and operational connectivity.
0001670076FALSE00016700762026-07-292026-07-29

UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
___________________________________
FORM 8-K
___________________________________
CURRENT REPORT
PURSUANT TO SECTION 13 OR 15(d)
OF THE SECURITIES EXCHANGE ACT OF 1934

Date of Report (Date of earliest event reported): July 29, 2026
___________________________________
Frontier Group Holdings, Inc.
(Exact name of registrant as specified in its charter)
___________________________________

Delaware
001-40304
46-3681866
(State or other jurisdiction of
incorporation)
(Commission File Number)
(IRS Employer
Identification No.)
4545 Airport Way
Denver, CO 80239
(720) 374-4550
(Address of principal executive offices, including zip code, and Registrant's telephone number, including area code)
___________________________________
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

☐
Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
☐
Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
☐
Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
☐
Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))
Securities registered pursuant to Section 12(b) of the Act:
Title of each class
Trading Symbol
Name of each exchange on which registered
Common Stock, $0.001 par value per share
ULCC
The Nasdaq Stock Market LLC
Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).
Emerging growth company    ☐
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐




Item 2.02.    Results of Operations and Financial Condition.

On July 29, 2026, Frontier Group Holdings, Inc. (the “Company”) issued a press release announcing its financial results for the three months ended June 30, 2026. A copy of the press release is furnished as Exhibit 99.1 to this Current Report on Form 8-K and is incorporated by reference herein.
The Company makes reference to non-GAAP financial information in the press release. A reconciliation of these non-GAAP financial measures to their nearest GAAP equivalents is provided in the press release.
The information in this Current Report on Form 8-K, including Exhibit 99.1 attached hereto, is being furnished and shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), or otherwise subject to the liabilities of that section, nor shall it be deemed incorporated by reference in any filing under the Securities Act of 1933, as amended, or the Exchange Act, regardless of any general incorporation language in such filing, except as expressly set forth by specific reference in such filing.
Item 9.01.    Financial Statements and Exhibits.
(d) Exhibits.
Exhibit No.
Description
99.1
Press Release, dated July 29, 2026
104
Cover Page Interactive Data File (embedded within the Inline XBRL document)



SIGNATURE

Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.



FRONTIER GROUP HOLDINGS, INC.
Date: July 29, 2026
By:
/s/ Howard M. Diamond
Howard M. Diamond
Executive Vice President, Legal and Corporate Affairs


frontierlogo.jpg
Frontier Airlines Delivers Record Second Quarter 2026 Revenue of $1.3 billion, up 38 percent Year-over-Year and Significantly Beats Wall Street Estimates

DENVER - July 29, 2026 - Frontier Group Holdings, Inc. (Nasdaq: ULCC), parent company of Frontier Airlines, Inc., today reported financial results for the second quarter of 2026 and issued guidance for the third and fourth quarters of 2026, and select guidance for full-year 2026.
Second Quarter and Year-to-Date Select Financial Highlights
The following tables summarize select financial results for the three and six months ended June 30, 2026 and 2025, including both GAAP and adjusted (non-GAAP) metrics. Refer to “Reconciliations of Non-GAAP Financial Information” in the appendix of this release.
(unaudited, in millions, except for percentages and per share data)
Three Months Ended June 30,
2026
2025
As Reported (GAAP)
Adjusted
(Non-GAAP)
As Reported (GAAP)
Adjusted
(Non-GAAP)
Total operating revenues
$
1,279
$
1,279
$
929
$
929
Revenue per available seat mile (“RASM”) (¢)
11.52
11.52
9.01
9.01
Total operating expenses
$
1,376
$
1,306
$
1,004
$
1,004
Income (loss) before income taxes
$
(94)
$
(24)
$
(70)
$
(70)
Income (loss) before income taxes margin
(7.3)%
(1.9)%
(7.5)%
(7.5)%
Net income (loss)
$
(90)
$
(22)
$
(70)
$
(70)
Earnings (loss) per share, diluted
$
(0.39)
$
(0.10)
$
(0.31)
$
(0.31)
(unaudited, in millions, except for percentages and per share data)
Six Months Ended June 30,
2026
2025
As Reported (GAAP)
Adjusted
(Non-GAAP)
As Reported (GAAP)
Adjusted
(Non-GAAP)
Total operating revenues
$
2,271
$
2,344
$
1,841
$
1,841
Revenue per available seat mile (¢)
10.86
11.21
9.08
9.08
Total operating expenses
$
2,651
$
2,442
$
1,962
$
1,962
Income (loss) before income taxes
$
(375)
$
(93)
$
(110)
$
(110)
Income (loss) before income taxes margin
(16.5)%
(4.0)%
(6.0)%
(6.0)%
Net income (loss)
$
(362)
$
(90)
$
(113)
$
(113)
Earnings (loss) per share, diluted
$
(1.58)
$
(0.40)
$
(0.50)
$
(0.50)
1


Highlights:
•Delivered all-time record total revenue of approximately $1.3 billion, up 38 percent versus the corresponding 2025 quarter, reflecting strong demand and continued execution of the Company’s commercial strategy
•Exceeded RASM guidance, with RASM increasing 28 percent versus the corresponding 2025 quarter to 11.52 cents on 8 percent higher capacity
•Maintained cost discipline while executing fleet simplification actions, with cost per available seat mile (“CASM”) of 12.39 cents, including fuel expense at an average cost of $4.17 per gallon, and adjusted (non-GAAP) CASM of 7.42 cents, stage-adjusted to 1,000 miles and excluding fuel and a non-recurring charge related to the early lease termination of 24 aircraft (the “Early Return Agreement”)
•Reported an adjusted (non-GAAP) net loss of $22 million, or $0.10 per share, excluding the Early Return Agreement, significantly better than guidance
•Ended the second quarter with $1.16 billion of total liquidity, above the guidance range and equal to 27 percent of trailing 12-month adjusted (non-GAAP) revenue
•Strengthened a key ancillary revenue platform by extending and enhancing the co-branded credit card partnership with Barclays through 2037, improving expected program economics
•Announced plans to launch Starlink onboard Wi-Fi in 2027, supporting the Company's ongoing efforts to enhance the customer's onboard experience
•Generated 106 available seat miles (“ASMs”) per gallon in the second quarter of 2026, a fuel efficiency advantage of over 40 percent compared to the other major U.S. carriers1
•Expanded the network across key leisure and business markets, including Dallas-Fort Worth, Newark, Santa Ana, Fort Lauderdale, Washington Dulles, Nashville, Las Vegas, Boise and Oakland

“Our transformation plan is delivering meaningful results, reflecting our team’s relentless focus on execution. The strength of our second quarter revenue performance is a testament to the momentum we are building through our commercial initiatives, product investments and loyalty enhancements, as well as the continued resilience of the demand environment,” said Jimmy Dempsey, President and Chief Executive Officer. “As a result of this progress, we expect RASM to increase over 20 percent in the third quarter year-over-year, which would be our third consecutive quarter of double-digit growth. We are pleased to see macro conditions remain strong and I’m confident we have the right plan in place to restore sustainable earnings growth for the long term.”

Revenue and Cost Performance

Revenue was approximately $1.3 billion, an all-time Company record, driven by strong travel demand, favorable competitive capacity and the continued progression of the Company's revenue management initiatives. ASMs were 11.1 billion, 8 percent higher compared to the corresponding 2025 quarter on an average stage length of 897 miles.
RASM increased 28 percent over the corresponding 2025 quarter to 11.52 cents, significantly above the guidance range. Flown load factor was approximately one percentage point higher at 80.3 percent.

Total adjusted operating expenses were approximately $1.3 billion in the second quarter of 2026, or 11.77 cents per ASM, including $436 million of fuel expense at an average cost of $4.17 per gallon. Total adjusted (non-GAAP) operating expenses - excluding fuel and the Early Return Agreement - were $870 million, or 7.42 cents per ASM, stage-adjusted to 1,000 miles.
2



Liquidity
Total liquidity as of June 30, 2026 was $1.16 billion, consisting of unrestricted cash and cash equivalents and availability from the Company's revolving credit facility, representing 27 percent of trailing 12-month adjusted (non-GAAP) revenue.
Fleet

As of June 30, 2026, Frontier had a fleet of 165 Airbus single-aisle aircraft, as scheduled below, all financed through operating leases that expire between 2027 and 2038.
Equipment
Quantity
Seats
A320neo
72
186
A320ceo
6
180 - 186
A321ceo
21
230
A321neo
66
240
Total fleet
165
Frontier took delivery of two A320neo aircraft and four A321neo aircraft during the second quarter of 2026, and returned 24 A320neo aircraft pursuant to the Early Return Agreement. The delivery of one A321neo aircraft, originally scheduled for the second quarter of 2026, was postponed by Airbus to the third quarter. The Company expects to take delivery of six A320 family aircraft in the third quarter 2026, including five A321neo aircraft and one A320neo aircraft.
Frontier is “America's Greenest Airline,” producing 106 ASMs per gallon in the second quarter of 2026 and delivering a fuel-efficiency advantage of more than 40 percent versus the other major U.S. carriers1, as measured by available seat miles per fuel gallon consumed.
Starlink
On July 14, 2026, Frontier announced plans to transform its onboard experience by introducing Starlink, the fastest Wi-Fi in the sky. Engineered by SpaceX, Starlink delivers an unparalleled broadband experience in flight, with high-speed, low-latency Wi-Fi capable of HD streaming, online gaming, productivity and more.

The Company plans to launch its first Starlink-equipped aircraft by early 2027 and will be the first US airline to offer passengers access to Starlink’s high-speed internet through a new system managed directly by Starlink. Beyond enhancing the customer experience, Starlink will provide gate-to-gate connectivity for Frontier’s pilots, flight attendants, maintenance teams, and ground operations, enabling improved operational performance and more seamless customer service.

Forward Guidance

The guidance provided below is based on the Company's current estimates and is not a guarantee of future performance. This guidance is subject to significant risks and uncertainties that could cause actual results to differ materially, including the risk factors discussed in the Company's reports on file with the SEC. Frontier undertakes no duty to update any forward-looking statements or estimates, except as required by applicable law. Further, this guidance excludes special items and the reconciliation of non-GAAP measures to the comparable GAAP measures because such amounts cannot be determined at this time.

Adjusted (non-GAAP) diluted earnings per share guidance for the third and fourth quarters of 2026, as noted below, reflects continued progress across key commercial initiatives, underpinned by favorable competitive
3


capacity and strong travel demand, while elevated fuel prices continue to be a cost headwind. Third quarter capacity is expected to increase 17 to 18 percent versus the corresponding 2025 quarter, partially a function of lapping unproductive aircraft in the corresponding 2025 quarter, or 2 to 3 percent sequentially. Fourth quarter capacity is expected to increase approximately 7 percent versus the corresponding 2025 quarter.
Third Quarter
Fourth Quarter
2026
2026
Adjusted (non-GAAP) diluted earnings (loss) per share(a)(b)(c)
$(0.10) to $0.10
Breakeven to $0.20
Capacity growth (compared to corresponding 2025 quarter)(d)
17 to 18 percent
~7 percent
Full Year
2026
Pre-delivery deposits, net of refunds ($ millions)(e)
$(170) to $(210)
Other capital expenditures ($ millions)(f)
$170 to $220

_________________
(a)Includes guidance on certain non-GAAP measures which excludes, among other things, special items. The Company is unable to reconcile these forward-looking projections to GAAP as the nature or amount of such special items cannot be determined at this time.
(b)Average fuel cost (including fuel taxes and into-plane costs) is estimated to be $3.70 per gallon in the third quarter of 2026 and $3.50 per gallon in the fourth quarter of 2026.
(c)Based on estimated weighted average shares outstanding of 230 million (basic) to 234 million (diluted) shares in the third quarter of 2026 and 234 million diluted shares in the fourth quarter of 2026, and tax expense of approximately $1 million in each quarter. The Company's actual tax expense may be impacted by varying factors which may include, but are not limited to, the composition of items of income and expense recognized in the respective periods, including the amount of non-deductible or other similar items, the treatment of deferred tax assets and related valuation allowances.
(d)Given the volatile nature of jet fuel prices, actual capacity adjustments made by the Company may be materially different than what is currently expected.
(e)The Company expects its pre-delivery deposit balance to be reduced by $170 million to $210 million during the year, with a similar reduction expected in the related PDP financing facility balance.
(f)Includes capitalized heavy maintenance.

Conference Call
The Company will host a conference call to discuss second quarter 2026 results today, July 29, 2026, at 11:00 a.m. Eastern Time (USA). Investors may listen to a live, listen-only webcast available on the investor relations section of the Company's website at https://ir.flyfrontier.com/news-and-events/events. The call will also be archived and available for at least 90 days on the investor relations section of the Company's website.
About Frontier Airlines
Frontier Airlines, Inc., a subsidiary of Frontier Group Holdings, Inc. (NASDAQ: ULCC), is a value-focused airline operating one of the youngest and most fuel-efficient fleets in the United States. With a growing network and continued investment in product upgrades, including the introduction of First Class seating, onboard Wi-Fi and enhanced loyalty benefits, Frontier is giving customers more comfort, flexibility, and rewards while keeping fares low.
End Notes
1 Industry average weighted by ASMs in FY2025 to include DAL, UAL, AAL, LUV, JBLU, ALK, and ALGT. Fuel efficiency is measured by ASMs per fuel gallon consumed.

4


Cautionary Statement Regarding Forward-Looking Statements and Information

Certain statements in this release should be considered forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, Section 21E of the Securities Exchange Act of 1934, as amended, and the Private Securities Litigation Reform Act of 1995. These forward-looking statements are based on the Company's current expectations and beliefs with respect to certain current and future events and anticipated financial and operating performance. Words such as “expects,” “will,” “plans,” “intends,” “anticipates,” “indicates,” “remains,” “believes,” “estimates,” “forecast,” “guidance,” “outlook,” “goals,” “targets” and similar expressions are intended to identify forward-looking statements. Additionally, forward-looking statements include statements that do not relate solely to historical facts, such as statements which identify uncertainties or trends, discuss the possible future effects of current known trends or uncertainties, or which indicate that the future effects of known trends or uncertainties cannot be predicted, guaranteed or assured. All forward-looking statements in this release are based upon information available to the Company on the date of this report. The Company undertakes no obligation to publicly update or revise any forward-looking statement, whether as a result of new information, future events, changed circumstances or otherwise, except as required by applicable law.
Actual results could differ materially from these forward-looking statements due to numerous risks and uncertainties relating to the Company's operations and business environment including, without limitation, the following: unfavorable economic and political conditions in the states where the Company operates and globally, including tariffs and other trade protection measures, an inflationary environment and potential recession, weakened demand environment, and the resulting impact on cost inputs and/or consumer demand for air travel; the highly competitive nature of the global airline industry and susceptibility of the industry to price discounting and changes in capacity; disruptions to the Company's flight operations, including due to factors beyond the Company's control, such as adverse weather events or air traffic controller staffing shortages and facility and infrastructure constraints (including as a result of federal government shutdowns); the Company's ability to attract and retain qualified personnel at reasonable costs; high and/or volatile fuel prices or significant disruptions in the supply of aircraft fuel, including as a result of the war between Russia and Ukraine and the conflict in the Middle East; the Company's reliance on technology and automated systems to operate its business and the impact of any significant failure or disruption of, or failure to effectively integrate and implement, the technology or systems; the Company's reliance on third-party service providers and the impact of any failure of these parties to perform as expected, or interruptions in the Company's relationships with these providers or their provision of services; adverse publicity and/or harm to the Company's brand or reputation; reduced travel demand and potential tort liability as a result of an accident, catastrophe or incident involving the Company, its codeshare partners or another airline; terrorist attacks, international hostilities or other security events, or the fear of terrorist attacks or hostilities, even if not made directly on the airline industry; increasing privacy and data security obligations or a significant data breach; further changes to the airline industry with respect to alliances and joint business arrangements or due to consolidations; changes in the Company's network strategy or other factors outside its control resulting in less economic aircraft orders, costs related to modification or termination of aircraft orders or entry into less favorable aircraft orders; the Company's reliance on a single supplier for its aircraft and two suppliers for its engines, and the impact of any failure to obtain timely deliveries, additional equipment or support from any of these suppliers; expanded inspection programs and/or heightened maintenance requirements imposed on the Company's aircraft or engines; the impacts of union disputes, employee strikes or slowdowns, and other labor-related disruptions on the Company's operations; extended interruptions or disruptions in service at major airports where the Company operates; the impacts of seasonality and other factors associated with the airline industry; the Company's failure to realize the full value of its intangible assets or its long-lived assets, causing the Company to record impairments; the costs of compliance with extensive government regulation of the airline industry; costs, liabilities and risks associated with environmental regulation and climate change; the Company's inability to accept or integrate new aircraft into the Company's fleet as planned; the impacts of the Company's significant amount of financial leverage from fixed obligations, the possibility the Company may seek material amounts of additional financial liquidity in the short-term and the impacts of insufficient liquidity on the Company's financial condition and business; failure to comply with the covenants in the Company's financing agreements or failure to comply with financial and other covenants governing the Company's other debt; changes in, or failure to retain, the Company's senior management team or other key employees; current or future litigation and regulatory actions, or failure to comply with the terms of any settlement, order or arrangement relating to these actions; increases in insurance costs or inadequate insurance coverage; and other risks and uncertainties set forth from time to time under sections captioned “Risk Factors” in the Company's reports and other documents filed with the SEC, including the Company's Annual Report on Form 10-K for the fiscal year ended December 31, 2025, which was filed with the SEC on February 18, 2026.
5


Frontier Group Holdings, Inc.
Condensed Consolidated Statements of Operations
(unaudited, in millions, except share and per share data)
Three Months Ended June 30,
Percent Change
Six Months Ended June 30,
Percent Change
2026
2025
2026
2025
Operating revenues:
Passenger
$
1,235
$
898
38%
$
2,187
$
1,782
23%
Other
44
31
42%
84
59
42%
Total operating revenues
1,279
929
38%
2,271
1,841
23%
 
Operating expenses:
Aircraft fuel
436
230
90%
704
468
50%
Salaries, wages and benefits
266
254
5%
537
503
7%
Aircraft rent
266
194
37%
531
355
50%
Station operations
197
178
11%
389
358
9%
Maintenance, materials and repairs
64
47
36%
206
98
110%
Sales and marketing
48
39
23%
91
80
14%
Depreciation and amortization
56
21
167%
118
41
188%
Other operating
43
41
5%
75
59
27%
Total operating expenses
1,376
1,004
37%
2,651
1,962
35%
Operating income (loss)
(97)
(75)
29%
(380)
(121)
214%
Other income (expense):
Interest expense
(10)
(10)
—%
(22)
(19)
16%
Capitalized interest
6
8
(25)%
14
16
(13)%
Interest income and other
7
7
—%
13
14
(7)%
Total other income (expense)
3
5
(40)%
5
11
(55)%
Income (loss) before income taxes
(94)
(70)
34%
(375)
(110)
241%
Income tax expense (benefit)
(4)
—
N/M
(13)
3
N/M
Net income (loss)
$
(90)
$
(70)
29%
$
(362)
$
(113)
220%
Earnings (loss) per share:
Basic (a)
$
(0.39)
$
(0.31)
26%
$
(1.58)
$
(0.50)
216%
Diluted (a)
$
(0.39)
$
(0.31)
26%
$
(1.58)
$
(0.50)
216%
Weighted-average common shares outstanding:
Basic (a)
229,978,266
227,941,534
1%
229,698,938
227,307,480
1%
Diluted (a)
229,978,266
227,941,534
1%
229,698,938
227,307,480
1%
__________________
N/M = Not meaningful
(a)In periods of net income, the dilutive impact of the outstanding warrants relating to funding provided pursuant to the CARES Act and related legislation, any non-participating options and unvested performance and restricted stock units are included in the diluted earnings per share calculations. In addition, most of the outstanding options are participating securities and are therefore not expected to be part of the Company's diluted share count under the two-class method until they are exercised, but, in periods of net income, are included as an adjustment to the numerator of the Company's earnings per share calculation as they are eligible to participate in the Company's earnings.
6


Frontier Group Holdings, Inc.
Comparative Operating Statistics
(unaudited)
Three Months Ended June 30,
Percent Change
Six Months Ended June 30,
Percent Change
2026
2025
2026
2025
Operating statistics(a)
Available seat miles (“ASMs”) (millions)
11,103
10,313
8%
20,912
20,262
3%
Departures
58,271
52,147
12%
110,164
103,505
6%
Average stage length (miles)
897
942
(5)%
898
933
(4)%
Block hours
151,888
140,149
8%
288,036
276,885
4%
Average aircraft in service
172
163
6%
175
158
11%
Aircraft – end of period
165
164
1%
165
164
1%
Average daily aircraft utilization (hours)
9.7
9.7
—%
9.1
9.7
(6)%
Passengers (thousands)
9,730
8,499
14%
18,054
16,338
11%
Average seats per departure
212
208
2%
211
208
1%
Revenue passenger miles (“RPMs”) (millions)
8,915
8,182
9%
16,601
15,636
6%
Load factor
80.3 
%
79.3 
%
1.0 pts
79.4 
%
77.2 
%
2.2 pts
Fare revenue per passenger ($)
63.04
40.94
54%
58.84
42.70
38%
Non-fare passenger revenue per passenger ($)
63.87
64.77
(1)%
62.29
66.39
(6)%
Other revenue per passenger ($)
4.55
3.56
28%
4.66
3.57
31%
Total ancillary revenue per passenger ($)
68.42
68.33
—%
66.95
69.96
(4)%
Total revenue per passenger ($)
131.46
109.27
20%
125.79
112.66
12%
Total revenue per available seat mile (“RASM”) (¢)
11.52
9.01
28%
10.86
9.08
20%
RASM, stage-length adjusted to 1,000 miles (¢) (c)
10.91
8.74
25%
10.29
8.78
17%
Adjusted fare revenue per passenger ($)(b)
63.04
40.94
54%
59.54
42.70
39%
Adjusted non-fare passenger revenue per passenger ($)(b)
63.87
64.77
(1)%
65.64
66.39
(1)%
Adjusted other revenue per passenger ($)(b)
4.55
3.56
28%
4.66
3.57
31%
Adjusted total ancillary revenue per passenger ($)(b)
68.42
68.33
—%
70.30
69.96
—%
Adjusted total revenue per passenger ($)(b)
131.46
109.27
20%
129.84
112.66
15%
Adjusted RASM (¢)(b)
11.52
9.01
28%
11.21
9.08
23%
Adjusted RASM, stage-length adjusted to 1,000 miles (¢)(b)(c)
10.91
8.74
25%
10.62
8.78
21%
Cost per available seat mile (“CASM”) (¢)
12.39
9.73
27%
12.68
9.68
31%
CASM (excluding fuel) (¢) (b)
8.46
7.50
13%
9.31
7.37
26%
CASM + net interest (¢) (b)
12.37
9.68
28%
12.65
9.62
31%
Adjusted CASM (¢) (b)
11.77
9.73
21%
11.68
9.68
21%
Adjusted CASM (excluding fuel) (¢) (b)
7.84
7.50
5%
8.31
7.37
13%
Adjusted CASM (excluding fuel), stage-length adjusted to 1,000 miles (¢) (b)(c)
7.42
7.28
2%
7.88
7.12
11%
Adjusted CASM + net interest (¢) (b)
11.74
9.68
21%
11.66
9.62
21%
Adjusted CASM + net interest, stage-length adjusted to 1,000 miles (¢) (b)(c)
11.12
9.40
18%
11.04
9.30
19%
Fuel cost per gallon ($)
4.17
2.36
77%
3.56
2.45
45%
Fuel gallons consumed (thousands)
104,789
97,427
8%
197,751
190,639
4%
Full-time equivalent employees
8,352
7,766
8%
8,352
7,766
8%
____________________
(a)Figures may not recalculate due to rounding.
(b)These metrics are not calculated in accordance with GAAP. For the reconciliation to corresponding GAAP measures, see section “Reconciliations of Non-GAAP Financial Information.”
(c)Stage-Length Adjusted (SLA) to 1,000 miles: Applicable Operating Statistic * Square root (stage length / 1,000).
7


Reconciliations of Non-GAAP Financial Information
The Company is providing below a reconciliation of GAAP financial information to the non-GAAP financial information provided. The non-GAAP financial information is included to provide supplemental disclosures because the Company believes they are useful additional indicators of, among other things, its operating and cost performance. These non-GAAP financial measures have limitations as analytical tools. Because of these limitations, determinations of the Company's operating performance, RASM or CASM excluding unrealized gains and losses, special items or other items should not be considered in isolation or as a substitute for performance measures calculated in accordance with GAAP. These non-GAAP financial measures may be presented on a different basis than other companies using similarly titled non-GAAP financial measures.
Reconciliation of Net Income (Loss) to Adjusted Net Income (Loss) and Income (Loss) Before Income Taxes to Adjusted Income (Loss) Before Income Taxes
($ in millions) (unaudited)
Three Months Ended June 30,
Six Months Ended June 30,
2026
2025
2026
2025
Net income (loss), as reported
$
(90)
$
(70)
$
(362)
$
(113)
Non-GAAP Adjustments:
TSA Reserve(a)
— 
— 
73 
— 
Early Return Agreement(b)
70 
— 
209 
— 
Pre-tax impact
70 
— 
282 
— 
Tax benefit (expense), related to non-GAAP adjustments
(2)
— 
(10)
— 
Net income (loss) impact
$
68 
$
— 
$
272 
$
— 
 
Adjusted net income (loss)(c)
$
(22)
$
(70)
$
(90)
$
(113)
Income (loss) before income taxes, as reported
$
(94)
$
(70)
$
(375)
$
(110)
Pre-tax impact
70 
— 
282 
— 
Adjusted income (loss) before income taxes(c)
$
(24)
$
(70)
$
(93)
$
(110)
____________________
(a)The Company received a court ruling relating to the remittance of TSA fees for unused travel covering the 2016 to 2018 audit period that resulted in a $73 million charge that covers probable losses in prior years subject to audit that were recorded during the six months ended June 30, 2026.

(b)The Company entered into an Early Return Agreement to early terminate the leases associated with 24 A320neo aircraft and as a result incurred non-recurring charges of $70 million and $209 million during the three and six months ended June 30, 2026, respectively. The $70 million includes $44 million of lease return costs recorded in aircraft rent and $26 million of accelerated depreciation expense related to the remeasurement of useful lives of capitalized maintenance during the three months ended June 30, 2026. The $209 million includes $79 million of lease return costs recorded in aircraft rent; $73 million related to the write-off of non-recoverable capitalized prepaid maintenance balances recorded in maintenance, materials and repairs; $63 million of accelerated depreciation expense related to the remeasurement of useful lives of capitalized maintenance and $(6) million of a reversal of previously accrued lease return costs during the six months ended June 30, 2026.
(c)Adjusted net income (loss) and adjusted income (loss) before income taxes are included as a supplemental disclosure because the Company believes they are useful indicators of its operating performance. Derivations of net income (loss) and income (loss) before income taxes are well-recognized performance measurements in the airline industry that are frequently used by the Company's management, as well as by investors, securities analysts and other interested parties, in comparing the operating performance of companies in the airline industry.
Adjusted net income (loss) and adjusted income (loss) before income taxes have limitations as analytical tools. Adjusted net income (loss) and adjusted income (loss) before income taxes do not reflect the impact of certain cash charges resulting from matters the Company considers not to be indicative of the Company's ongoing operations and do not reflect the Company's cash expenditures, or future requirements, for capital expenditures or contractual commitments, and other companies in the industry may calculate adjusted net income (loss) and adjusted income (loss) before income taxes differently than the Company does, limiting their usefulness as comparative measures. Because of these limitations, adjusted net income (loss) and adjusted income (loss) before income taxes should not be considered in isolation from or as a substitute for performance measures calculated in accordance with GAAP. In addition, because derivations of adjusted net income (loss) and adjusted income (loss) before income taxes, including adjusted income (loss) before income taxes margin, are not determined in accordance with GAAP, such measures are susceptible to varying calculations and not all companies calculate the measures in the same manner. As a result, derivations of net income, including adjusted net income (loss) and adjusted income (loss) before income taxes, as presented may not be directly comparable to similarly titled measures presented by other companies. For the foregoing reasons, adjusted net income (loss) and adjusted income (loss) before income taxes have significant limitations which affect their use as indicators of the Company's profitability. Accordingly, you are cautioned not to place undue reliance on this information.
8


Reconciliation of Net Income (Loss) to Earnings Before Interest, Taxes, Depreciation and Amortization (“EBITDA”) and Earnings Before Interest, Taxes, Depreciation, Amortization and Rent (“EBITDAR”), Adjusted EBITDA and Adjusted EBITDAR
($ in millions) (unaudited)
Three Months Ended June 30,
Six Months Ended June 30,
2026
2025
2026
2025
Net income (loss)
$
(90)
$
(70)
$
(362)
$
(113)
Plus (minus):
Interest expense
10 
10 
22 
19 
Capitalized interest
(6)
(8)
(14)
(16)
Interest income and other
(7)
(7)
(13)
(14)
Income tax expense (benefit)
(4)
— 
(13)
3 
Depreciation and amortization
56 
21 
118 
41 
EBITDA(a)
(41)
(54)
(262)
(80)
Plus: Aircraft rent
266 
194 
531 
355 
EBITDAR(b)
$
225 
$
140 
$
269 
$
275 
EBITDA(a)
$
(41)
$
(54)
$
(262)
$
(80)
Plus (minus)(c):
TSA Reserve
— 
— 
73 
— 
Early Return Agreement(d)
44 
— 
146 
— 
Adjusted EBITDA(a)
3 
(54)
(43)
(80)
Plus: Aircraft rent
266 
194 
531 
355 
Minus: Early Return Agreement(e)
(44)
— 
(73)
— 
Adjusted EBITDAR(b)
$
225 
$
140 
$
415 
$
275 
__________________
(a)EBITDA and adjusted EBITDA are included as supplemental disclosures because the Company believes they are useful indicators of its operating performance. Derivations of EBITDA are well-recognized performance measurements in the airline industry that are frequently used by the Company's management, as well as by investors, securities analysts and other interested parties, in comparing the operating performance of companies in the industry.
EBITDA and adjusted EBITDA do not reflect the impact of certain cash charges resulting from matters the Company considers not to be indicative of its ongoing operations; the Company's cash expenditures, or future requirements, for capital expenditures or contractual commitments; changes in, or cash requirements for, the Company's working capital needs; or the interest expense, or the cash requirements necessary to service interest or principal payments, on the Company's indebtedness. Further, although depreciation and amortization are non-cash charges, the assets being depreciated and amortized will often have to be replaced in the future, and EBITDA and adjusted EBITDA do not reflect any cash requirements for such replacements. Other companies in the airline industry may calculate EBITDA and adjusted EBITDA differently than the Company does, limiting their usefulness as comparative measures. Because of these limitations, EBITDA and adjusted EBITDA should not be considered in isolation from or as a substitute for performance measures calculated in accordance with GAAP. In addition, because derivations of EBITDA and adjusted EBITDA are not determined in accordance with GAAP, such measures are susceptible to varying calculations and not all companies calculate the measures in the same manner. As a result, derivations of EBITDA, including adjusted EBITDA, as presented may not be directly comparable to similarly titled measures presented by other companies.
For the foregoing reasons, each of EBITDA and adjusted EBITDA have significant limitations which affect its use as an indicator of the Company's profitability. Accordingly, you are cautioned not to place undue reliance on this information.
(b)EBITDAR and adjusted EBITDAR are included as supplemental disclosures because the Company believes they are useful solely as valuation metrics for airlines as their calculations isolate the effects of financing in general, the accounting effects of capital spending and acquisitions (primarily aircraft, which may be acquired directly, directly subject to acquisition debt, by capital lease or by operating lease, each of which is presented differently for accounting purposes), and income taxes, which may vary significantly between periods and for different airlines for reasons unrelated to the underlying value of a particular airline. However, EBITDAR and adjusted EBITDAR are not determined in accordance with GAAP, are susceptible to varying calculations and not all companies calculate the measures in the same manner. As a result, EBITDAR and adjusted EBITDAR, as presented, may not be directly comparable to similarly titled measures presented by other companies. In addition, EBITDAR and adjusted EBITDAR should not be viewed as measures of overall performance since they exclude aircraft rent, which is a normal, recurring cash operating expense that is necessary to operate the business. Accordingly, you are cautioned not to place undue reliance on this information.
(c)See “Reconciliation of Net Income (Loss) to Adjusted Net Income (Loss) and Income (Loss) Before Income Taxes to Adjusted Income (Loss) Before Income Taxes” above for discussion on adjusting items.
(d)Represents lease termination costs and write-off of non-recoverable capitalized maintenance costs associated with the Early Return Agreement.
9


(e)Represents lease termination costs related to aircraft rent associated with the Early Return Agreement.

Reconciliation of GAAP to Non-GAAP Financial Data
(unaudited)
Three Months Ended June 30,
2026
2025
($ in millions)
Per ASM (¢)
($ in millions)
Per ASM (¢)
Non-GAAP financial data:(a)
CASM
12.39
9.73
Aircraft fuel
(436)
(3.93)
(230)
(2.23)
CASM (excluding fuel)(b)
8.46
7.50
Early Return Agreement(c)
(70)
(0.62)
—
— 
Adjusted CASM (excluding fuel)(b)
7.84
7.50
Aircraft fuel
436
3.93 
230
2.23 
Adjusted CASM(d)
11.77
9.73
Net interest expense (income)
(3)
(0.03)
(5)
(0.05)
Adjusted CASM + net interest(e)
11.74
9.68
CASM
12.39
9.73
Net interest expense (income)
(3)
(0.02)
(5)
(0.05)
CASM + net interest(e)
12.37
9.68
_______________________
(a)Cost per ASM figures may not recalculate due to rounding.
(b)CASM (excluding fuel) and adjusted CASM (excluding fuel) are included as supplemental disclosures because the Company believes that excluding aircraft fuel is useful to investors as it provides an additional measure of management 's performance excluding the effects of a significant cost item over which management has limited influence. The price of fuel, over which the Company has limited control, impacts the comparability of period-to-period financial performance, and excluding allows management an additional tool to understand and analyze the Company's non-fuel costs and core operating performance, and increases comparability with other airlines that also provide a similar metric. CASM (excluding fuel) and adjusted CASM (excluding fuel) are not determined in accordance with GAAP and should not be considered in isolation or as a substitute for performance measures calculated in accordance with GAAP.
(c)See “Reconciliation of Net Income (Loss) to Adjusted Net Income (Loss) and Income (Loss) Before Income Taxes to Adjusted Income (Loss) Before Income Taxes” above for discussion on adjusting items.
(d)Adjusted CASM is included as supplemental disclosure because the Company believes it is a useful metric to properly compare the Company's cost management and performance to other peers, as derivations of adjusted CASM are well-recognized performance measurements in the airline industry that are frequently used by the Company's management, as well as by investors, securities analysts and other interested parties in comparing the operating performance of companies in the airline industry. Additionally, the Company believes this metric is useful because it removes certain items that may not be indicative of base operating performance or future results. Adjusted CASM is not determined in accordance with GAAP, may not be comparable across all carriers and should not be considered in isolation or as a substitute for performance measures calculated in accordance with GAAP.
(e)Adjusted CASM including net interest and CASM including net interest are included as supplemental disclosures because the Company believes they are useful metrics to properly compare its cost management and performance to other peers that may have different capital structures and financing strategies, particularly as it relates to financing primary operating assets such as aircraft and engines. Additionally, the Company believes these metrics are useful because they remove certain items that may not be indicative of base operating performance or future results. Adjusted CASM including net interest and CASM including net interest are not determined in accordance with GAAP, may not be comparable across all carriers and should not be considered in isolation or as a substitute for performance measures calculated in accordance with GAAP.
10


Reconciliation of GAAP to Non-GAAP Financial Data
(unaudited)
Six Months Ended June 30,
2026
2025
($ in millions)
Per ASM (¢)
($ in millions)
Per ASM (¢)
Non-GAAP financial data:(a)
RASM
10.86
9.08
TSA Reserve(b)
73
0.35 
—
— 
Adjusted RASM (¢)(c)
11.21
9.08
CASM
12.68
9.68
Aircraft fuel
(704)
(3.37)
(468)
(2.31)
CASM (excluding fuel)(d)
9.31
7.37
Early Return Agreement(b)
(209)
(1.00)
—
— 
Adjusted CASM (excluding fuel)(d)
8.31
7.37
Aircraft fuel
704
3.37 
468
2.31 
Adjusted CASM(e)
11.68
9.68
Net interest expense (income)
(5)
(0.02)
(11)
(0.06)
Adjusted CASM + net interest(f)
11.66
9.62
CASM
12.68
9.68
Net interest expense (income)
(5)
(0.03)
(11)
(0.06)
CASM + net interest(f)
12.65
9.62
_______________________
(a)Revenue and cost per ASM figures may not recalculate due to rounding.
(b)See “Reconciliation of Net Income (Loss) to Adjusted Net Income (Loss) and Income (Loss) Before Income Taxes to Adjusted Income (Loss) Before Income Taxes” above for discussion on adjusting items.
(c)Adjusted RASM is included as a supplemental disclosure because the Company believes it is a useful metric to properly compare its revenue performance to its peers, as RASM metrics are well-recognized performance measurements in the airline industry that are frequently used by the Company's management, as well as by investors, securities analysts and other interested parties in comparing the operating performance of companies in the airline industry. Additionally, the Company believes this metric is useful because it removes certain items that may not be indicative of base operating performance or future results. Adjusted RASM is not determined in accordance with GAAP, may not be comparable across all carriers and should not be considered in isolation or as a substitute for performance measures calculated in accordance with GAAP.
(d)CASM (excluding fuel) and adjusted CASM (excluding fuel) are included as supplemental disclosures because the Company believes that excluding aircraft fuel is useful to investors as it provides an additional measure of management's performance excluding the effects of a significant cost item over which management has limited influence. The price of fuel, over which the Company has limited control, impacts the comparability of period-to-period financial performance, and excluding fuel allows management an additional tool to understand and analyze the Company's non-fuel costs and core operating performance, and increases comparability with other airlines that also provide a similar metric. CASM (excluding fuel) and adjusted CASM (excluding fuel) are not determined in accordance with GAAP and should not be considered in isolation or as a substitute for performance measures calculated in accordance with GAAP.
(e)Adjusted CASM is included as supplemental disclosure because the Company believes it is a useful metric to properly compare the Company's cost management and performance to other peers, as derivations of adjusted CASM are well-recognized performance measurements in the airline industry that are frequently used by the Company's management, as well as by investors, securities analysts and other interested parties in comparing the operating performance of companies in the airline industry. Additionally, the Company believes this metric is useful because it removes certain items that may not be indicative of base operating performance or future results. Adjusted CASM is not determined in accordance with GAAP, may not be comparable across all carriers and should not be considered in isolation or as a substitute for performance measures calculated in accordance with GAAP.
(f)Adjusted CASM including net interest and CASM including net interest are included as supplemental disclosures because the Company believes they are useful metrics to properly compare its cost management and performance to other peers that may have different capital structures and financing strategies, particularly as it relates to financing primary operating assets such as aircraft and engines. Additionally, the Company believes these metrics are useful because they remove certain items that may not be indicative of base operating performance or future results. Adjusted CASM including net interest and CASM including net interest are not determined in accordance with GAAP, may not be comparable across all carriers and should not be considered in isolation or as a substitute for performance measures calculated in accordance with GAAP.
11



Reconciliation of Revenue to Adjusted Revenue (unaudited)
Six Months Ended June 30,
2026
2025
($ in millions)
Per Passenger $
($ in millions)
Per Passenger $
Non-GAAP financial data:(a)(b)
Fare revenue:
1,062
58.84
698
42.70
TSA Reserve
13 
0.70 
— 
— 
Adjusted fare revenue:(c)
1,075
59.54
698
42.70
Non-fare passenger revenue:
1,125
62.29
1,084
66.39
TSA Reserve
60
3.35 
—
— 
Adjusted non-fare revenue:(c)
1,185
65.64
1,084
66.39
Other revenue:
84
4.66
59
3.57
TSA Reserve
—
— 
—
— 
Adjusted other revenue:(c)
84
4.66
59
3.57
Total ancillary revenue:
1,209
66.95
1,143
69.96
TSA Reserve
60
3.35 
—
— 
Adjusted total ancillary revenue:(c)
1,269
70.30
1,143
69.96
Total revenue:
2,271
125.79
1,841
112.66
TSA Reserve
73
4.05 
—
— 
Adjusted total revenue:(c)
2,344
129.84
1,841
112.66
_______________________
(a)Revenue per passenger figures may not recalculate due to rounding.
(b)See “Reconciliation of Net Income (Loss) to Adjusted Net Income (Loss) and Income (Loss) Before Income Taxes to Adjusted Income (Loss) Before Income Taxes” above for discussion on adjusting items.
(c)Adjusted fare revenue, adjusted non-fare revenue, adjusted other revenue, adjusted total ancillary revenue and adjusted total revenue, and respective metrics per passenger, (collectively, “revenue per passenger”) are included as supplemental disclosures because the Company believes they are useful metrics to properly compare its revenue performance to its peers, as revenue per passenger metrics are well-recognized performance measurements in the airline industry that are frequently used by the Company's management, as well as by investors, securities analysts and other interested parties in comparing the operating performance of companies in the airline industry. Additionally, the Company believes these metrics are useful because they remove certain items that may not be indicative of base operating performance or future results. These metrics are not determined in accordance with GAAP, may not be comparable across all carriers and should not be considered in isolation or as a substitute for performance measures calculated in accordance with GAAP.
12


Reconciliation of Earnings (Loss) per Share, Diluted to Adjusted Earnings (Loss) per Share, Diluted
(unaudited)
Three Months Ended June 30,
Six Months Ended June 30,
2026
2025
2026
2025
Earnings (loss) per share, diluted, as reported(a)(b)
$
(0.39)
$
(0.31)
$
(1.58)
$
(0.50)
TSA Reserve
— 
— 
0.32 
— 
Early Return Agreement
0.30 
— 
0.91 
— 
Tax benefit (expense), related to non-GAAP adjustments
(0.01)
— 
(0.05)
— 
Adjusted earnings (loss) per share, diluted(c)
$
(0.10)
$
(0.31)
$
(0.40)
$
(0.50)
______________________
(a)Cost per share figures may not recalculate due to rounding.
(b)See “Reconciliation of Net Income (Loss) to Adjusted Net Income (Loss) and Income (Loss) Before Income Taxes to Adjusted Income (Loss) Before Income Taxes” above for discussion on adjusting items.
(c)Adjusted earnings (loss) per share is included as a supplemental disclosure because the Company believes it is a useful indicator of operating performance. Derivations of net income are well-recognized performance measurements in the airline industry that are frequently used by management, as well as by investors, securities analysts and other interested parties in comparing the operating performance of companies in the industry.
Adjusted earnings (loss) per share has limitations as an analytical tool. Adjusted earnings (loss) per share does not reflect the impact of certain cash charges resulting from matters the Company considers not to be indicative of ongoing operations and does not reflect the cash expenditures, or future requirements, for capital expenditures or contractual commitments, and other companies in the industry may calculate Adjusted earnings (loss) per share differently than the Company does, limiting its usefulness as a comparative measure. Because of these limitations, Adjusted earnings (loss) per share should not be considered in isolation from or as a substitute for performance measures calculated in accordance with GAAP. In addition, because derivations of adjusted net income are not determined in accordance with GAAP, such measures are susceptible to varying calculations and not all companies calculate the measures in the same manner. As a result, derivations of net income, including Adjusted earnings (loss) per share, as presented may not be directly comparable to similarly titled measures presented by other companies. For the foregoing reasons, Adjusted earnings (loss) per share has significant limitations which affect its use as an indicator of profitability. Accordingly, you are cautioned not to place undue reliance on this information.
Reconciliation of Total Operating Expenses to Total Operating Expenses (excluding fuel), Adjusted Total Operating Expenses and Adjusted Total Operating Expenses (excluding fuel)
($ in millions) (unaudited)
Three Months Ended June 30,
Six Months Ended June 30,
2026
2025
2026
2025
Total operating expense, as reported(a)
$
1,376 
$
1,004 
$
2,651 
$
1,962 
Early Return Agreement
(70)
— 
(209)
— 
Adjusted total operating expenses(b)
1,306 
1,004 
2,442 
1,962 
Aircraft fuel
(436)
(230)
(704)
(468)
Adjusted total operating expenses (excluding fuel)(b)
$
870 
$
774 
$
1,738 
$
1,494 
Total operating expenses, as reported
$
1,376 
$
1,004 
$
2,651 
$
1,962 
Aircraft fuel
(436)
(230)
(704)
(468)
Total operating expense (excluding fuel)(b)
$
940 
$
774 
$
1,947 
$
1,494 
____________________
(a)See “Reconciliation of Net Income (Loss) to Adjusted Net Income (Loss) and Income (Loss) Before Income Taxes to Adjusted Income (Loss) Before Income Taxes” above for discussion on adjusting items.
(b)Total operating expenses (excluding fuel), adjusted total operating expenses and adjusted total operating expenses (excluding fuel) are included as supplemental disclosures because the Company believes they are useful indicators of its operating performance. Derivations of total operating expenses are well-recognized performance measurements in the airline industry that are frequently used by the Company's management, as well as by investors, securities analysts and other interested parties, in comparing the operating performance of companies in the airline industry.
Total operating expenses (excluding fuel), adjusted total operating expenses and adjusted total operating expenses (excluding fuel) have limitations as analytical tools and other companies in the industry may calculate total operating expenses (excluding fuel), adjusted total operating expenses and adjusted total operating expenses (excluding fuel) differently than the Company does, limiting their usefulness as comparative measures. Because of these limitations, total operating expenses (excluding fuel), adjusted total operating expenses and adjusted total operating expenses (excluding fuel) should not be considered in isolation from or as a substitute for performance measures calculated in accordance with GAAP. In
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addition, because derivations of total operating expenses (excluding fuel), adjusted total operating expenses and adjusted total operating expenses (excluding fuel) are not determined in accordance with GAAP, such measures are susceptible to varying calculations and not all companies calculate the measures in the same manner. As a result, derivations of total operating expenses, including total operating expenses (excluding fuel), adjusted total operating expenses and adjusted total operating expenses (excluding fuel) as presented may not be directly comparable to similarly titled measures presented by other companies. For the foregoing reasons, total operating expenses (excluding fuel), adjusted total operating expenses and adjusted total operating expenses (excluding fuel) have significant limitations which affect their use as an indicator of the Company's profitability. Accordingly, you are cautioned not to place undue reliance on this information.
Contacts:
Jennifer F. de la Cruz
Corporate Communications
Email: JenniferF.DeLaCruz@flyfrontier.com
Phone: 720.374.4207
David Erdman
Investor Relations
Email: David.Erdman@flyfrontier.com
Phone: 720.798.5886
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