Alaska Air Group reports Q2 2026 results: net loss, revenue growth despite fuel costs
Alaska Air Group reported a net loss for the second quarter of 2026, impacted by higher-than-expected fuel costs. The airline expanded its international routes and saw revenue grow.
Seattle, WA – Alaska Air Group (NYSE: ALK) reported its second quarter financial results for the period ending June 30, 2026. The company posted a GAAP pretax margin of (5.3)% and a GAAP net loss of $76 million, or $0.68 per share. Adjusted pretax margin was (4.3)% and adjusted net loss was $102 million, or $0.92 per share.
Total revenue increased 10% year-over-year to $4.1 billion, driven by a 1% capacity growth and an 8.6% rise in unit revenue (RASM). This performance occurred despite an 85% year-over-year increase in economic fuel cost, which added $600 million in incremental costs. To manage the volatile fuel environment, the company secured $1 billion in financing to bolster its liquidity.
The airline expanded its international service by launching transatlantic flights from Seattle to Rome, London, and Reykjavik. CEO Ben Minicucci stated that while fuel costs were a significant headwind, the company executed strongly, leading the industry in year-to-date on-time performance.
For the third quarter of 2026, Alaska Air Group forecasts capacity to increase by 2% to 3% and RASM to achieve low double-digit growth year-over-year. The company also anticipates a slowdown in non-fuel unit cost increases to low to mid-single digits, as one-time costs from the prior year are lapped.