Sun Country Airlines Reports Second Quarter 2025 Results

Revenue of $264 million, highest second quarter on record⁽¹⁾GAAP diluted EPS of $0.12, operating income of $16 million and margin of 6.2%
Adj. diluted EPS⁽²⁾ of $0.14, adj. operating income⁽²⁾ of $18 million and margin⁽²⁾ of 6.8%

MINNEAPOLIS, July 31, 2025 (GLOBE NEWSWIRE) -- Sun Country Airlines Holdings, Inc. (“Sun Country Airlines,” “Sun Country,” the “Company”) (NASDAQ: SNCY) today reported financial results for its second quarter ended June 30, 2025.

“Sun Country is pleased to report our twelfth consecutive profitable quarter with GAAP EPS of $0.12 and adjusted diluted EPS of $0.14⁽²⁾,” said Jude Bricker, President and Chief Executive Officer of Sun Country. “We are steadily incorporating our eight additional cargo aircraft throughout the second and third quarters. As of the end of the second quarter, we had 15 cargo aircraft in service and expect all 20 freighters to be in-service by the end of the third quarter. As of today, all eight of the additional cargo aircraft have been delivered to us and five are in-service, bringing our in-service cargo aircraft to 17. To successfully accommodate this growth in cargo, we reduced our passenger service business as demonstrated by the 3.9% decline in total ASMs, with a notable reduction of our scheduled service business as demonstrated by the 6.2% decline in scheduled service ASMs. That being said, we have seen healthy demand with scheduled service TRASM⁽³⁾ increasing 3.7% and total fare increasing 6.5% versus the second quarter last year. This has contributed to a second quarter GAAP pre-tax margin of 3.2% and an adjusted pre-tax margin⁽²⁾ of 3.9%, which grew by 2.0 and 2.1 percentage points year-over-year respectively. This is another terrific result produced by our dedicated and hard-working employees who delivered in a challenging environment.”

Overview of Second Quarter

	Three Months Ended June 30,
(unaudited) (in millions, except per share amounts)	2025		2024		% Change
Total Operating Revenue	$	263.6	$	254.4	3.6
Operating Income		16.3		12.4	31.5
Income Before Income Tax		8.6		3.1	177.4
Net Income		6.6		1.8	263.0
Diluted earnings per share	$	0.12	$	0.03	300.0

	Three Months Ended June 30,
(unaudited) (in millions, except per share amounts)	2025		2024		% Change
Adjusted Operating Income⁽²⁾	$	17.9	$	13.9	28.2
Adjusted Income Before Income Tax⁽²⁾		10.2		4.7	118.4
Adjusted Net Income⁽²⁾		7.8		3.0	158.7
Adjusted diluted earnings per share⁽²⁾	$	0.14	$	0.06	133.3

	Six Months Ended June 30,
(unaudited) (in millions, except per share amounts)	2025		2024		% Change
Total Operating Revenue	$	590.3	$	565.9	4.3
Operating Income		72.5		67.5	7.4
Income Before Income Tax		56.7		49.6	14.2
Net Income		43.1		37.1	16.1
Diluted earnings per share	$	0.78	$	0.67	16.4

	Six Months Ended June 30,
(unaudited) (in millions, except per share amounts)	2025		2024		% Change
Adjusted Operating Income⁽²⁾	$	77.6	$	70.6	9.9
Adjusted Income Before Income Tax⁽²⁾		62.5		52.7	18.5
Adjusted Net Income⁽²⁾		47.6		39.5	20.4
Adjusted diluted earnings per share⁽²⁾	$	0.86	$	0.72	19.4

^{Amounts presented in the tables above may not recalculate due to rounding}

For the quarter ended June 30, 2025, Sun Country reported net income of approximately $7 million and income before income tax of $9 million, on $264 million of revenue. Adjusted income before income tax⁽²⁾ for the quarter was approximately $10 million. GAAP operating income during the quarter was $16 million, while adjusted operating income⁽²⁾ was $18 million, and GAAP operating margin was 6.2% and adjusted operating margin⁽²⁾ was 6.8%.

“Our second quarter shows tangible results of our diversified business model,” said Bill Trousdale, Interim Chief Financial Officer. “Cargo revenue increased 36.8% while charter revenue increased 6.4%. Cargo block hours were slightly lower than expected due to the timing of cargo aircraft deliveries, but we were able to offset the decrease in cargo block hours with an increase in charter flying. CASM grew by 6.3% while adjusted CASM⁽⁴⁾ increased 11.3% mostly due to the reduction of our scheduled service capacity to accommodate the planned growth of our cargo segment. We anticipate CASM and adjusted CASM⁽⁴⁾ to remain elevated until we begin growing our scheduled service business again in the second half of 2026.”

Notable Highlights

Took delivery of all eight cargo aircraft under the new agreement signed in June 2024. Five of those eight are currently in service, and the other three are expected to be in service by the end of the third quarter. By the end of the third quarter, we will operate 20 cargo aircraft.
Extended leases on two of the five passenger aircraft that are on lease to other operators. The current expected re-delivery schedule of the five leased aircraft includes two in the fourth quarter of 2025, one in the second quarter of 2026, one in the third quarter of 2026, and one in the fourth quarter of 2026.
In May, took re-delivery of one of the Boeing 737-900ER aircraft that was previously on lease. This aircraft is expected to enter service by the end of the third quarter.
Retired one 737-800 in the second quarter. The Company currently expects to end 2025 with 45 passenger aircraft and 20 cargo aircraft.
Extended the selling schedule through April 28, 2026.

Capacity

System block hours flown during the second quarter of 2025 declined by 0.5% year-over-year. This was mainly due to the 6.2% decrease in scheduled service ASMs to support the 9.5% increase in cargo block hours and the 7.9% increase in charter block hours. Scheduled service ASMs are expected to decline again in the third quarter 2025 by approximately 10% to allow for planned cargo segment growth.

Revenue

Scheduled service demand remained robust during the quarter, which helped to offset the decline in scheduled service capacity. The Company reported total revenue of $264 million for the second quarter, which was 3.6% greater than the second quarter of 2024. Scheduled service TRASM⁽³⁾ of 10.40 cents increased 3.7% year-over-year, while scheduled service ASMs decreased 6.2%. The second quarter 2025 total fare per scheduled passenger of $151 was higher than second quarter 2024 by 6.5%, partially offset by a 1.3 percentage point decline in load factor year-over-year. The Company’s second quarter charter revenue was $54 million, an increase of 6.4% year-over-year, slightly below charter block hour growth of 7.9%. This variance was mainly driven by lower fuel cost reimbursements from Sun Country charter customers, resulting from lower fuel prices in the current year.

In the second quarter of 2025, cargo revenue was $35 million, a 36.8% increase versus the second quarter of 2024, on a 9.5% increase in cargo block hours. This improvement was primarily driven by the increase in the number of cargo aircraft in service and the new Amazon contract rates which went into effect in June 2024.

Cost

Second quarter CASM increased 6.3%, while adjusted CASM⁽⁴⁾ was up 11.3% year-over-year. Total GAAP operating expenses increased 2.2% year-over-year on a 0.5% decrease in total block hours. Costs are expected to remain elevated throughout the remainder of this year due to the reduction of scheduled service flying to allow for increased cargo flying. This will continue to put pressure on costs until the Company adds back scheduled service later in 2026. During the quarter, landing fees and airport rent increased 9.1% due to rate increases at airports, while the 14.0% increase in other operating expense was primarily the result of an increase in operations and decreased activity from our engine part sales programs.

Balance Sheet and Liquidity

Total liquidity⁽⁵⁾ was $207 million on June 30, 2025, while the Company’s net debt⁽⁶⁾ was $431 million.

(in millions - amounts may not recalculate due to rounding)	June 30, 2025		December 31, 2024
	(Unaudited)
Cash and Cash Equivalents	$	37.0	$	83.2
Available-for-Sale Securities		94.6		97.6
Amount Available Under Revolving Credit Facility		75.0		24.7
Total Liquidity	$	206.6	$	205.6

(in millions - amounts may not recalculate due to rounding)	June 30, 2025		December 31, 2024
	(Unaudited)
Total Debt, net	$	282.1	$	327.1
Finance Lease Obligations		261.3		271.3
Operating Lease Obligations		19.0		20.7
Total Debt, net, and Lease Obligations		562.4		619.0
Cash and Cash Equivalents		37.0		83.2
Available-for-Sale Securities		94.6		97.6
Net Debt	$	430.8	$	438.2

Fleet

As of June 30, 2025, the Company had 45 aircraft in its passenger service fleet, 19 freighter aircraft in its cargo fleet and five aircraft on lease to unaffiliated airlines.

Guidance for Third Quarter 2025

	Q3 2025	H/(L) vs Q3 2024
Total revenue - millions	$250 to $260	0 to 4%
Economic fuel cost per gallon	$2.61	(3)%
Operating income margin - percentage	3% to 6%	(2.6)pp to 0.4pp
Effective tax rate	23%
Total system block hours - thousands	38 to 39	5% to 8%

Conference Call & Webcast Details

Sun Country Airlines will host a conference call to discuss its second quarter 2025 results at 10:00 a.m. Eastern Time on Friday, August 1, 2025. A live broadcast of the conference call will be available via the investor relations section of Sun Country Airlines’ website at https://ir.suncountry.com/news-events/events-and-presentations. The online replay will be available on the same website approximately one hour after the call.

About Sun Country Airlines

Sun Country Airlines is a new breed of hybrid low-cost air carrier, whose mission is to connect guests to their favorite people and places, to create lifelong memories and transformative experiences. Sun Country dynamically and synergistically deploys shared resources for our passenger service (including scheduled service and charter) and cargo service segments. Based in Minnesota, we focus on serving leisure and visiting friends and relatives (“VFR”) passengers and charter customers and providing cargo service to Amazon, with flights throughout the United States and to destinations in Mexico, Central America, Canada, and the Caribbean. For photos, b-roll and additional company information, visit https://www.stories.suncountry.com/multimedia.

End Notes

1 -		Records begin in January 2017
2 -		See additional details, including reconciliations to the most comparable GAAP measures, in the section titled “Non-GAAP financial measures”
3 -		Scheduled Service TRASM includes Schedule Service revenue, Ancillary revenue, and ASM generating revenue classified within Other Revenue on the Condensed Consolidated Statement of Operations / Scheduled Service ASMs. Other Revenue includes rental revenue associated with certain assets that generate lease income of approximately $11.0 million and $9.9 million in the three months ended June 30, 2025 and 2024 and $19.6 million and $19.1 million in the six months ended June 30, 2025 and 2024, respectively, which is not included.
4 -		Adjusted CASM is a non-GAAP measure derived from CASM by excluding fuel costs, non-cash management stock compensation expense, costs arising from its cargo operations, depreciation and amortization recognized on certain assets that generate lease income, certain commissions, and other costs of selling its vacations product from this measure. See table titled “Reconciliation of CASM to Adjusted CASM”
5 -		Total liquidity = cash and cash equivalents + available-for-sale securities + amount available under revolver
6 -		Net debt = current portion of long-term debt + long-term debt + finance lease obligations + operating lease obligations – cash and cash equivalents - available-for-sale securities

Forward Looking Statements

This press release contains forward-looking statements, which involve risks and uncertainties. These forward-looking statements are generally identified by the use of forward-looking terminology, including the terms “anticipate,” “believe,” “continue,” “could,” “estimate,” “expect,” “intend,” “likely,” “may,” “plan,” “possible,” “potential,” “predict,” “project,” “should,” “target,” “will,” “would” and, in each case, their negative or other various or comparable terminology. All statements other than statements of historical facts contained in this press release, including statements regarding our strategy, future operations, future financial position, future revenue, projected costs, prospects, plans, objectives of management, and expected market growth are forward-looking statements. The forward-looking statements could relate to the following, among other items:

our strategy, outlook and growth prospects;
our operational and financial targets and dividend policy;
general economic trends and trends in the industry and markets;
potential repurchases of our common stock; and
the competitive environment in which we operate.

These statements involve known and unknown risks, uncertainties and other important factors that may cause our actual results, performance, or achievements to be materially different from any future results, performance, or achievements expressed or implied by the forward-looking statements.

These forward-looking statements reflect our views with respect to future events as of the date of this press release and are based on assumptions and subject to risks and uncertainties. Given these uncertainties, you should not place undue reliance on these forward-looking statements. These forward-looking statements represent our estimates and assumptions only as of the date of this press release and, except as required by law, we undertake no obligation to update or review publicly any forward-looking statements, whether as a result of new information, future events or otherwise after the date of this press release. We anticipate that subsequent events and developments will cause our views to change. You should read this press release completely and with the understanding that our actual future results may be materially different from what we expect. Our forward-looking statements do not reflect the potential impact of any future acquisitions, mergers, dispositions, joint ventures, or investments we may undertake. We qualify all of our forward-looking statements by these cautionary statements. Additional information concerning certain factors is contained in the Company’s Securities and Exchange Commission filings, including but not limited to the Company’s Annual Reports on Form 10-K, Quarterly Reports on Form 10-Q, and Current Reports on Form 8-K.

Non-GAAP Financial Measures

We sometimes use information that is derived from the Condensed Consolidated Financial Statements, but that is not presented in accordance with GAAP. We believe these non-GAAP measures provide a meaningful comparison of our results to others in the airline industry and our prior year results. Investors should consider these non-GAAP financial measures in addition to, and not as a substitute for, our financial performance measures prepared in accordance with GAAP. Further, our non-GAAP information may be different from the non-GAAP information provided by other companies. We believe certain charges included in our operating expenses on a GAAP basis make it difficult to compare our current period results to prior periods as well as future periods and guidance. The tables below show a reconciliation of non-GAAP financial measures used in this document to the most directly comparable GAAP financial measures.

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(Dollars in thousands, except per share amounts)
(Unaudited- amounts may not recalculate due to rounding)

	Three Months Ended June 30,
	2025			2024			% Change
Operating Revenues:
Scheduled Service	$	88,138		$	88,078		0.1
Charter		54,271			51,009		6.4
Ancillary		72,259			77,308		(6.5	)
Passenger		214,668			216,395		(0.8	)
Cargo		34,803			25,447		36.8
Other		14,150			12,539		12.8
Total Operating Revenue		263,621			254,381		3.6

Operating Expenses:
Aircraft Fuel		50,536			62,188		(18.7	)
Salaries, Wages, and Benefits		89,557			79,359		12.9
Maintenance		18,250			17,339		5.3
Sales and Marketing		8,001			8,392		(4.7	)
Depreciation and Amortization		24,972			23,631		5.7
Ground Handling		11,353			11,368		(0.1	)
Landing Fees and Airport Rent		14,971			13,723		9.1
Special Items, net⁽¹⁾		49			—		NM
Other Operating, net		29,670			26,016		14.0
Total Operating Expenses		247,359			242,016		2.2
Operating Income		16,262			12,365		31.5

Non-operating Income (Expense):
Interest Income		1,513			1,800		(15.9	)
Interest Expense		(9,212	)		(11,077	)	(16.8	)
Other, net		(7	)		(4	)	75.0
Total Non-operating Expense, net		(7,706	)		(9,281	)	(17.0	)

Income before Income Tax		8,556			3,084		177.4
Income Tax Expense		1,979			1,272		55.6
Net Income	$	6,577		$	1,812		263.0

Net Income per share to common stockholders:
Basic	$	0.12		$	0.03		300.0
Diluted	$	0.12		$	0.03		300.0
Shares used for computation:
Basic		53,222,461			52,689,408		1.0
Diluted		54,777,448			54,792,848		—

^{NM - not meaningful}
^{1 – In March 2025, the Company's flight attendants, represented by the International Brotherhood of Teamsters, ratified a new five-year collective bargaining agreement. Upon ratification of the new agreement, eligible flights attendants became entitled to a one-time ratification bonus. Eligibility requirements stipulate that flight attendants must be on the seniority list as of the ratification date, have completed probation, and hold an active status in order to receive the bonus payment. Ratification bonuses were paid to all eligible flight attendants during the six months ended June 30, 2025, per the collective bargaining agreement. Certain portions of the ratification bonus are paid in future periods as flight attendants on the seniority list as of the ratification date complete their probationary period or change their status from inactive to active. The ratification bonus and payroll related tax expense were included within Special Items, net.}


	Six Months Ended June 30,
	2025			2024			% Change
Operating Revenues:
Scheduled Service	$	231,660		$	229,272		1.0
Charter		108,963			98,321		10.8
Ancillary		159,933			163,466		(2.2	)
Passenger		500,556			491,059		1.9
Cargo		62,960			49,395		27.5
Other		26,754			25,410		5.3
Total Operating Revenue		590,270			565,864		4.3

Operating Expenses:
Aircraft Fuel		115,155			132,492		(13.1	)
Salaries, Wages, and Benefits		182,402			161,597		12.9
Maintenance		37,112			34,156		8.7
Sales and Marketing		18,396			19,071		(3.5	)
Depreciation and Amortization		49,776			47,440		4.9
Ground Handling		22,760			20,522		10.9
Landing Fees and Airport Rent		31,804			28,452		11.8
Special Items, net⁽¹⁾		1,848			—		NM
Other Operating, net		58,509			54,593		7.2
Total Operating Expenses		517,762			498,323		3.9
Operating Income		72,508			67,541		7.4

Non-operating Income (Expense):
Interest Income		3,508			4,248		(17.4	)
Interest Expense		(18,837	)		(22,189	)	(15.1	)
Other, net		(485	)		42		NM
Total Non-operating Expense, net		(15,814	)		(17,899	)	(11.6	)

Income before Income Tax		56,694			49,642		14.2
Income Tax Expense		13,582			12,517		8.5
Net Income	$	43,112		$	37,125		16.1

Net Income per share to common stockholders:
Basic	$	0.81		$	0.70		15.7
Diluted	$	0.78		$	0.67		16.4
Shares used for computation:
Basic		53,282,013			52,861,973		0.8
Diluted		55,142,573			55,095,265		0.1

^{NM - not meaningful}
^{1 –See Note 1 on page 6 of this release}

KEY OPERATING STATISTICS - amounts may not recalculate due to rounding

The following tables presents key operating statistics and metrics for the three and six months ended June 30, 2025 and 2024.

	Three Months Ended June 30,
	2025			2024			% Change
Scheduled Service Statistics:
Revenue passenger miles (RPMs) – thousands		1,285,926			1,392,312		(7.6	)
Available seat miles (ASMs) – thousands		1,571,210			1,675,927		(6.2	)
Load factor		81.8	%		83.1	%	(1.3	)	(3)
Revenue passengers carried		1,062,295			1,167,039		(9.0	)
Departures		6,979			7,681		(9.1	)
Block hours		21,887			23,400		(6.5	)
Scheduled service TRASM⁽¹⁾- cents		10.40			10.03		3.7
Average base fare per passenger	$	82.97		$	75.47		9.9
Ancillary revenue per passenger	$	68.02		$	66.24		2.7
Total fare per passenger	$	150.99		$	141.71		6.5
Fuel gallons - thousands		16,835			18,019		(6.6	)

Charter Statistics:
Departures		2,670			2,537		5.2
Block hours		5,489			5,089		7.9
Available seats miles (ASMs) - thousands		335,137			309,857		8.2
Fuel gallons - thousands		3,853			3,599		7.1

Cargo Statistics:
Departures		3,645			3,246		12.3
Block hours		9,157			8,363		9.5

Total System Statistics:
Average passenger aircraft		43.7			42.2		3.6
Passenger aircraft – end of period		45			44		2.3
Cargo aircraft – end of period		19			12		58.3
Leased aircraft – end of period		5			7		(28.6	)
Available seat miles (ASMs) – thousands		1,933,871			2,011,921		(3.9	)
Departures		13,444			13,610		(1.2	)
Block hours		37,086			37,281		(0.5	)
Daily utilization – hours		7.0			7.5		(6.7	)
Average stage length – miles		1,071			1,054		1.6
Total revenue per ASM (TRASM) - cents		11.26			10.89		3.4
Cost per ASM (CASM) - cents		12.79			12.03		6.3
Adjusted CASM⁽²⁾- cents		8.34			7.49		11.3
Fuel gallons - thousands		20,949			21,864		(4.2	)
Fuel cost per gallon	$	2.43		$	2.86		(15.0	)
Employees at end of period		3,293			3,079		7.0

^{1 – See note 3 in end notes}
^{2 – See note 4 in end notes}
^{3 – Percentage point difference}


	Six Months Ended June 30,
	2025			2024			% Change
Scheduled Service Statistics:
Revenue passenger miles (RPMs) – thousands		2,972,410			3,047,163		(2.5	)
Available seat miles (ASMs) – thousands		3,591,755			3,568,818		0.6
Load factor		82.8	%		85.4	%	(2.6	)	(3)
Revenue passengers carried		2,227,368			2,324,550		(4.2	)
Departures		14,445			14,850		(2.7	)
Block hours		49,129			48,896		0.5
Scheduled service TRASM⁽¹⁾- cents		11.09			11.18		(0.8	)
Average base fare per passenger	$	104.01		$	98.63		5.5
Ancillary revenue per passenger	$	71.80		$	70.32		2.1
Total fare per passenger	$	175.81		$	168.95		4.1
Fuel gallons - thousands		38,124			38,069		0.1

Charter Statistics:
Departures		5,138			4,829		6.4
Block hours		10,913			9,989		9.3
Available seats miles (ASMs) - thousands		666,648			608,915		9.5
Fuel gallons - thousands		7,553			7,032		7.4

Cargo Statistics:
Departures		6,571			6,207		5.9
Block hours		16,763			16,052		4.4

Total System Statistics:
Average passenger aircraft		43.8			42.1		4.0
Passenger aircraft – end of period		45			44		2.3
Cargo aircraft – end of period		19			12		58.3
Leased aircraft – end of period		5			7		(28.6	)
Available seat miles (ASMs) – thousands		4,304,626			4,223,807		1.9
Departures		26,408			26,149		1.0
Block hours		77,767			75,717		2.7
Daily utilization – hours		7.7			7.8		(1.3	)
Average stage length – miles		1,179			1,150		2.5
Total revenue per ASM (TRASM) - cents		11.79			11.77		0.2
Cost per ASM (CASM) - cents		12.03			11.80		1.9
Adjusted CASM⁽²⁾- cents		7.79			7.28		7.0
Fuel gallons - thousands		46,120			45,540		1.3
Fuel cost per gallon	$	2.56		$	2.94		(12.9	)
Employees at end of period		3,293			3,079		7.0

^{1 – See note 3 in end notes}
^{2 – See note 4 in end notes}
^{3 – Percentage point difference}

SUMMARY BALANCE SHEET
(Dollars in millions)
(amounts may not recalculate due to rounding)

	June 30, 2025		December 31, 2024		% Change
	(Unaudited)
Cash & Cash Equivalents	$	37.0	$	83.2	(55.5	)
Other Current Assets		185.3		183.4	1.0
Total Current Assets		222.3		266.6	(16.6	)
Total Property & Equipment, net		928.2		970.1	(4.3	)
Other		401.7		393.5	2.1
Total Assets		1,552.1		1,630.2	(4.8	)

Air Traffic Liabilities		106.6		160.7	(33.7	)
Current Finance Lease Obligations		20.8		20.2	3.0
Current Operating Lease Obligations		3.4		3.3	3.0
Current Maturities of Long-Term Debt, net		81.4		87.6	(7.1	)
Income Tax Receivable Agreement Liability		11.7		10.3	13.6
Other Current Liabilities		130.7		140.2	(6.8	)
Total Current Liabilities		354.7		422.3	(16.0	)
Finance Lease Obligations		240.5		251.1	(4.2	)
Operating Lease Obligations		15.6		17.4	(10.3	)
Long-Term Debt, net		200.6		239.5	(16.2	)
Income Tax Receivable Agreement Liability		75.4		87.4	(13.7	)
Other		52.2		42.1	24.0
Total Liabilities		939.1		1,059.8	(11.4	)

Total Stockholders’ Equity	$	613.0	$	570.4	7.5

SUMMARY CASH FLOW
(Dollars in millions)
(Unaudited - amounts may not recalculate due to rounding)

	Six Months Ended June 30,
	2025			2024			% Change
Net Cash Provided by Operating Activities	$	36.3		$	38.9		(6.7	)

Purchases of Property & Equipment		(21.2	)		(38.2	)	(44.5	)
Other, net		13.2			41.8		(68.4	)
Net Cash (Used in) Provided by Investing Activities		(8.0	)		3.5		(327.5	)

Common Stock Repurchases		(10.0	)		(11.5	)	(13.0	)
Proceeds from Borrowing		—			10.0		(100.0	)
Repayment of Finance Lease Obligations		(9.9	)		(20.9	)	(52.4	)
Repayment of Borrowings		(45.6	)		(46.8	)	(2.4	)
Other, net		(9.8	)		(2.9	)	237.9
Net Cash Used in Financing Activities		(75.4	)		(72.0	)	4.7

Net Decrease in Cash, Cash Equivalents and Restricted Cash		(47.2	)		(29.6	)	59.5
Cash, Cash Equivalents and Restricted Cash – Beginning of the Period		100.5			63.7		57.8
Cash, Cash Equivalents and Restricted Cash – End of the Period	$	53.3		$	34.0		56.8

NON-GAAP FINANCIAL MEASURES

Adjusted Operating Income, Adjusted Operating Income Margin, Adjusted Income Before Income Tax, Adjusted Pre-tax Margin, Adjusted Net Income, Adjusted Net Income per Share, Adjusted EBITDA and Adjusted EBITDA Margin

Adjusted Operating Income, Adjusted Operating Income Margin, Adjusted Income Before Income Tax, Adjusted Pre-tax Margin, Adjusted Net Income, Adjusted Net Income per share, Adjusted EBITDA and Adjusted EBITDA Margin are non-GAAP measures included as supplemental disclosure because we believe they are useful indicators of our operating performance. Derivations of Operating Income and Net Income are well recognized performance measurements in the airline industry that are frequently used by our management, as well as by investors, securities analysts and other interested parties in comparing the operating performance of companies in our industry.

The measures described above have limitations as analytical tools. Some of the limitations applicable to these measures include: they do not reflect the impact of certain cash and non-cash charges resulting from matters we consider not to be indicative of our ongoing operations; and other companies in our industry may calculate these non-GAAP measures differently than we do, limiting each measure’s usefulness as a comparative measure. Because of these limitations, the following non-GAAP measures should not be considered in isolation or as a substitute for performance measures calculated in accordance with GAAP and may not be the same as or comparable to similarly titled measures presented by other companies due to the possible differences in the method of calculation and in the items being adjusted.

For the aforementioned reasons, Adjusted Operating Income, Adjusted Operating Income Margin, Adjusted Income Before Income Tax, Adjusted Pre-tax Margin, Adjusted Net Income, Adjusted Net Income per Share, Adjusted EBITDA and Adjusted EBITDA Margin have significant limitations which affect their use as indicators of our profitability. Accordingly, readers are cautioned not to place undue reliance on this information.

Reconciliation of GAAP Operating Income to Adjusted Operating Income
Dollars in millions – Unaudited - amounts may not recalculate due to rounding

The following table presents the reconciliation of GAAP operating income to adjusted operating income.

	Three Months Ended June 30,						Six Months Ended June 30,
	2025			2024			2025			2024
Operating Revenue	$	263.6		$	254.4		$	590.3		$	565.9
Operating Income		16.3			12.4			72.5			67.5
Special Items, net⁽¹⁾		—			—			1.8			—
Stock Compensation Expense		1.6			1.6			3.3			3.1
Adjusted Operating Income	$	17.9		$	13.9		$	77.6		$	70.6

Operating Income Margin		6.2	%		4.9	%		12.3	%		11.9	%
Adjusted Operating Income Margin		6.8	%		5.5	%		13.1	%		12.5	%

^{(1) See Note 1 on page 6 of this release}

Reconciliation of GAAP Income Before Income Tax to Adjusted Income Before Income Tax
Dollars in millions – Unaudited - amounts may not recalculate due to rounding

The following table presents the reconciliation of GAAP income before income tax to adjusted income before income tax.

	Three Months Ended June 30,						Six Months Ended June 30,
	2025			2024			2025			2024
Net Income	$	6.6		$	1.8		$	43.1		$	37.1
Add: Provision for Income Tax Expense		2.0			1.3			13.6			12.5
Income Before Income Tax, as reported		8.6			3.1			56.7			49.6
Pre-tax margin		3.2	%		1.2	%		9.6	%		8.8	%

Special Items, net⁽¹⁾		—			—			1.8			—
Stock Compensation Expense		1.6			1.6			3.3			3.1
Loss on Credit Facility		—			—			0.2			—
Secondary Offering Costs		—			—			0.5			—
Adjusted Income Before Income Tax	$	10.2		$	4.7		$	62.5		$	52.7

Adjusted Pre-tax margin		3.9	%		1.8	%		10.6	%		9.3	%

^{(1) See Note 1 on page 6 of this release}

Reconciliation of GAAP Net Income and Earnings per Share to Adjusted Net Income and Adjusted Earnings per Share
Dollars and shares in millions, except for per share – Unaudited - amounts may not recalculate due to rounding

The following table presents the reconciliation of GAAP net income and earnings per share to adjusted net income and adjusted earnings per share.

	Three Months Ended June 30,
	2025						2024
	Dollars			Per Share - diluted			Dollars			Per Share - diluted
Net Income	$	6.6		$	0.12		$	1.8		$	0.03
Special Items, net⁽¹⁾		—			—			—			—
Stock Compensation Expense		1.6			0.03			1.6			0.03
Loss on Credit Facility		—			—			—			—
Secondary Offering Costs		—			—			—			—
Income Tax Effect of Adjusting Items, net⁽²⁾		(0.4	)		(0.01	)		(0.4	)		(0.01	)
Adjusted Net Income	$	7.8		$	0.14		$	3.0		$	0.06

Diluted share count		54.8						54.8

	Six Months Ended June 30, 2025
	2025						2024
	Dollars			Per Share - diluted			Dollars			Per Share - diluted
Net Income	$	43.1		$	0.78		$	37.1		$	0.67
Special Items, net⁽¹⁾		1.8			0.03			—			—
Stock Compensation Expense		3.3			0.06			3.1			0.06
Loss on Credit Facility		0.2			—			—			—
Secondary Offering Costs		0.5			0.01			—			—
Income Tax Effect of Adjusting Items, net⁽²⁾		(1.3	)		(0.02	)		(0.7	)		(0.01	)
Adjusted Net Income	$	47.6		$	0.86		$	39.5		$	0.72

Diluted share count		55.1						55.1

^{(1) See Note 1 on page 6 of this release}
^{(2) The tax effect of adjusting items, net is calculated at the Company’s statutory rate for the application period}

Reconciliation of GAAP Net Income to Adjusted EBITDA
Dollars in millions – Unaudited - amounts may not recalculate due to rounding

The following tables present the reconciliation of net income to adjusted EBITDA for the periods presented below.

	Three Months Ended June 30,						Six Months Ended June 30,
	2025			2024			2025			2024
Net Income	$	6.6		$	1.8		$	43.1		$	37.1
Interest Income		(1.5	)		(1.8	)		(3.5	)		(4.2	)
Interest Expense		9.2			11.1			18.8			22.2
Special Items, net⁽¹⁾		—			—			1.8			—
Stock Compensation Expense		1.6			1.6			3.3			3.1
Secondary Offering Costs		—			—			0.5			—
Provision for Income Taxes		2.0			1.3			13.6			12.5
Depreciation and Amortization		25.0			23.6			49.8			47.4
Adjusted EBITDA	$	42.8		$	37.6		$	127.4		$	118.1

Adjusted EBITDA margin		16.2	%		14.8	%		21.6	%		20.9	%

^{(1) See Note 1 on page 6 of this release}

Adjusted CASM

Adjusted CASM is a non-GAAP measure derived from CASM by excluding fuel costs, costs related to our cargo operations, stock based compensation, depreciation and amortization recognized on certain assets that generate lease income, certain commissions and other costs of selling our vacations product from this measure as these costs are unrelated to our airline operations and improve comparability to our peers. Adjusted CASM is an important measure used by management and by our board of directors in assessing quarterly and annual cost performance. Adjusted CASM is also a measure commonly used by industry analysts and we believe it is an important metric by which they compare our airline to others in the industry, although other airlines may exclude certain other costs in their calculation of Adjusted CASM. The measure is also the subject of frequent questions from investors.

Adjusted CASM excludes fuel costs. By excluding volatile fuel costs that are outside of our control from our unit metrics, we believe that we have better visibility into the results of operations and our non-fuel cost initiatives. Our industry is highly competitive and is characterized by high fixed costs, so even a small reduction in non-fuel operating costs can lead to a significant improvement in operating results. In addition, we believe that all domestic carriers are similarly impacted by changes in jet fuel costs over the long run, so it is important for management and investors to understand the impact and trends in company-specific cost drivers, such as labor rates, aircraft and maintenance costs, and productivity, which are more controllable by management.

We have excluded costs related to the cargo operations and depreciation recognized on certain assets that generate lease income as these operations do not create ASMs. We have entered into a series of transactions where we serve as a lessor. As of June 30, 2025, we leased or subleased five aircraft. Adjusted CASM further excludes other adjustments, as defined in the relevant reporting period, that are not representative of the ongoing costs necessary to our airline operations and may improve comparability between periods. We also exclude stock compensation expense when computing Adjusted CASM. The Company’s compensation strategy includes the use of stock-based compensation to attract and retain employees and executives and is principally aimed at aligning their interests with those of our stockholders and at long-term employee retention, rather than to motivate or reward operational performance for any particular period. Thus, stock-based compensation expense varies for reasons that are generally unrelated to operational decisions and performance in any period.

As derivations of Adjusted CASM 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 Adjusted CASM as presented may not be directly comparable to similarly titled measures presented by other companies. Adjusted CASM should not be considered in isolation or as a replacement for CASM. For the aforementioned reasons, Adjusted CASM has significant limitations which affect its use as an indicator of our profitability. Accordingly, readers are cautioned not to place undue reliance on this information.

Reconciliation of CASM to Adjusted CASM
Amounts may not recalculate due to rounding, dollar amounts in millions

The following table presents the reconciliation of CASM to Adjusted CASM.

	Three Months Ended June 30,
	2025			2024
	Operating Expenses - mm		Per ASM (cents)	Operating Expenses - mm		Per ASM (cents)
CASM	$	247.4	12.79	$	242.0	12.03
Less:
Special Items, net⁽¹⁾		—	—		—	—
Aircraft Fuel		50.5	2.61		62.2	3.09
Stock Compensation Expense		1.6	0.08		1.6	0.08
Cargo Expenses, Not Already Adjusted Above		32.1	1.66		25.3	1.26
Sun Country Vacations		0.2	0.01		0.3	0.01
Leased Aircraft, Depreciation and Amortization Expense		1.5	0.09		2.1	0.10
Adjusted CASM	$	161.4	8.34	$	150.7	7.49

Available seat miles (ASMs) - mm		1,933.9			2,011.9

	Six Months Ended June 30,
	2025			2024
	Operating Expenses - mm		Per ASM (cents)	Operating Expenses - mm		Per ASM (cents)
CASM	$	517.8	12.03	$	498.3	11.80
Less:
Special Items, net⁽¹⁾		1.8	0.04		—	—
Aircraft Fuel		115.2	2.68		132.5	3.14
Stock Compensation Expense		3.3	0.08		3.1	0.07
Cargo Expenses, Not Already Adjusted Above		58.4	1.36		50.2	1.19
Sun Country Vacations		0.7	0.02		0.8	0.02
Leased Aircraft, Depreciation and Amortization Expense		3.1	0.06		4.3	0.10
Adjusted CASM	$	335.3	7.79	$	307.4	7.28

Available seat miles (ASMs) - mm		4,304.6			4,223.8

^{(1) See Note 1 on page 6 of this release}

This press release was published by a CLEAR® Verified individual.

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