Hawaiian Holdings reports Q3 adjusted EPS ($1.06), consensus (94c)

Reports Q3 revenue $727.68M, consensus $735.66M. The company reported that third quarter revenue was trending positively in July, but the devastating wildfires in Lahaina in West Maui on August 8, 2023 caused a sharp decrease in traffic to Maui. With most areas of the island unaffected by the fires and portions of West Maui reopening to tourism on October 8, 2023, demand for travel to Maui is recovering, but remains below historical levels. Hawaiian’s third quarter schedule was negatively impacted by the July 25, 2023 announcement from RTX, parent company of Pratt & Whitney, of anticipated accelerated removals and inspections of a significant portion of the PW1100G-JM engine fleet, which powers Hawaiian’s A321neo aircraft. This unanticipated time out of service resulted in, among other things, lower-than-expected capacity growth in the quarter. Operating revenue was down 1.8% from the third quarter of 2022 on 4.1% higher capacity across Hawaiian’s network. Passenger traffic remained strong on Hawaiian’s Japan routes in the third quarter of 2023. International revenue increased 90.9% from the third quarter of 2022 on a 43.6% increase in capacity.