Alaska Air Group, Inc. has released its investor update for October 21, 2024, providing key financial information and metrics. The update references "non-GAAP financial figures" that are not presented in accordance with GAAP but are considered useful for stakeholders.
One notable metric is the economic fuel expense, which is estimated by management to compare results between periods on an economic basis. In the update, it is defined as the raw or "into-plane" fuel cost less any cash received from hedge counterparties for hedges that settle during the period, offset by the recognition of premiums originally paid for those hedges that settle during the period. This metric is aimed at more closely approximating the net cash outflow associated with purchasing fuel for the company's operation.
In addition to this, the update likely contains forward-looking information, though specific details are not provided in the press release.
It's important to note that while the update provides valuable non-GAAP financial figures, it also includes a cautionary statement regarding forward-looking information, indicating that certain adjusting items will not be known until the end of the indicated future periods and could be significant.
Today the company's shares have moved 2.5% to a price of $46.06. For more information, read the company's full 8-K submission here.