Tag: corporation (Page 11 of 11)

Hyatt Hotel’s Q3 Earnings Surpass, Revenues Miss Estimates

October 31, 2018 / WIL BALDWIN

Hyatt Hotels Corporation (H) posted mixed third-quarter 2018 results, wherein earnings surpassed the Zacks Consensus Estimate while revenues lagged the same. With this, the bottom line exceeded the consensus mark for 11 straight quarters, while the top line lagged the same for the third consecutive quarter.

Adjusted earnings of 33 cents per share outpaced the consensus estimate of 25 cents by 32%. The bottom line also grew 37.5% on a year-over-year basis. Total revenues of $1,074 million inched up 0.5% from the prior-year quarter figure but missed the consensus estimate of $1,092 million.

Click the link below for the full story!

Hyatt Hotel’s 3Q Earnings Report

Image from www.hyatt.com

JetBlue Announces Third Quarter 2018 Results

October 23, 2018 / WIL BALDWIN

Released : 10/23/2018

NEW YORK–(BUSINESS WIRE)– JetBlue Airways Corporation (NASDAQ:JBLU) today reported its results for the third quarter 2018:

Reported diluted earnings per share of $0.16, inclusive of $112 million in one-time costs related to the E190 fleet transition and the recently-signed pilot contract. Excluding these costs, adjusted diluted earnings per share of $0.43⁽¹⁾. This compares to JetBlue’s third quarter 2017 diluted earnings per share of $0.55.
GAAP pre-tax income of $68 million. Excluding the one-time costs, adjusted pre-tax income of $180 million⁽¹⁾, a decrease of 39.5% from the third quarter of 2017.
Pre-tax margin of 3.4%, inclusive of the one-time costs. Excluding these one-time costs, adjusted pre-tax margin of 9.0%⁽¹⁾, a 7.4 point decrease year over year.

Highlights from the Third Quarter 2018

Third quarter 2018 revenue per available seat mile (RASM) increased 1.7%, year over year, including 0.4 points of negative impact from severe weather during September.
Operating expenses per available seat mile, excluding fuel (CASM ex-fuel) growth of 3.2%, at the lower end of the updated guidance range of 3.0% to 5.0%. CASM ex-fuel for the third quarter includes a 2.0 point headwind related to recurrent costs of the pilot contract, effective as of August 1^st.

Key Guidance for the Fourth Quarter and Full Year 2018:

Capacity is expected to increase between 7.5% and 9.5% year over year in the fourth quarter 2018. The fourth quarter guidance includes a previously-announced 2.0 point ASM reduction to mitigate the impact of higher fuel prices. For the full year 2018, JetBlue expects capacity to increase between 6.5% and 7.0%.
RASM growth is expected to range between 1.0% and 4.0% for the fourth quarter 2018 compared to the same period in 2017.
CASM ex-fuel is expected to decrease between (3.5)% and (1.5)% for the fourth quarter of 2018. CASM ex-fuel for the fourth quarter includes a 3.0 point headwind related to the pilot contract. For the full year 2018, JetBlue expects year over year CASM ex-fuel to be between 0.75% and 1.75%. The headwind from the pilot contract to CASM ex-fuel for the full year 2018 is expected to be equal to 1.3 points.

For further details see the latest Investor Update and the Third Quarter 2018 Earnings Presentation available via the internet at http://investor.jetblue.com.

JetBlue will conduct a conference call to discuss its quarterly earnings today, October 23, at 10:00 a.m. Eastern Time. A live broadcast of the conference call will also be available via the internet at http://investor.jetblue.com.

(1) Note A provides a reconciliation of non-GAAP financial measures used in this release and provides the reasons management uses those measures.

Executing our Plan to Reach our EPS Commitments

“I’d like to thank our 22,000 Crewmembers, for all their hard work delivering the JetBlue experience to our Customers. Our financial performance was impacted by fuel prices that increased approximately 37% year over year. We are on track to hit our 2018 CASM ex-fuel guidance, despite pulling capacity in both the third and fourth quarters to adjust to higher fuel prices.

In the short term, we are focused on improving our earnings, particularly in the areas we can control, and have a plan to improve margins in 2019, and again in 2020. We are taking actions to recapture higher fuel costs through price – both with fare increases over recent months and through higher ancillary revenue initiatives. At our Investor Day in early October, we showed how our five building blocks will help us improve our margins and achieve our earnings target between $2.50 and $3.00 per share by 2020,” said Robin Hayes, JetBlue’s Chief Executive Officer.

“Since 2014 we have a track record of executing our plans – and we have a path to continue improving our relative margins, starting in 2019. We have the culture, the brand and the geography we need to be successful,” said Joanna Geraghty, JetBlue’s President and Chief Operating Officer.

Revenue Performance and Outlook

Third quarter RASM increased 1.7%. Excluding the 0.4 point impact from severe weather during September, RASM was above the mid-point of our updated guidance of 1.0% to 3.0%. During the quarter we saw close-in demand trends improve across the network,” said Marty St. George, JetBlue’s EVP Commercial and Planning.

“We continued to grow our capacity on the lower end of our mid to high single digit range. For the fourth quarter, we expect capacity growth between 7.5 and 9.5 percent. Given the 2.9 points of lost capacity from hurricanes in the fourth quarter of 2017, our schedule-to-schedule capacity growth is approximately 6 percent for the fourth quarter of 2018. We expect to see some revenue benefits from the network changes and the ancillary revenue changes launched during the third quarter.”

Cost Performance, Outlook and Balance Sheet

Third quarter CASM ex-fuel was 3.2%, at the low end of the updated guidance of 3.0% to 5.0%, driven by improvements in unit maintenance costs. “We are on track to hit our 2018 plan despite the added pressure from reducing our capacity in the second half. We will continue to find opportunities to mitigate these pressures, in addition to the savings from the Structural Cost Program that build each quarter,” said Steve Priest, JetBlue’s EVP Chief Financial Officer.

“We continue to see sequential improvement in our underlying non fuel costs, and reached an inflection point during the second half this year, as we execute our Structural Cost Program. We are confident we can deliver on our 2019 commitments made at Investor Day, and are on track to achieve our 0-1 CASM CAGR through 2020.”

Capital Allocation and Liquidity

JetBlue ended the quarter with approximately $937 million in unrestricted cash and short term investments, or about 12.6% of trailing twelve month revenue. In addition, JetBlue maintains approximately $625 million in undrawn lines of credit.

In its commitment to maintaining a balanced approach to capital allocation, JetBlue executed an additional $125 million in share repurchases during the quarter.

During the third quarter, JetBlue repaid $54 million in regularly scheduled debt and capital lease obligations, and raised $261 million in net proceeds in secured aircraft debt. JetBlue anticipates paying approximately $45 million in regularly scheduled debt and capital lease obligations in the fourth quarter and approximately $223 million for the full year 2018. JetBlue anticipates maintaining a 30-40% adjusted debt to cap range and liquidity between 10% and 12%.

Fuel Expense and Hedging

The realized fuel price in the quarter was $2.32 per gallon, a 36.6% increase versus third quarter 2017 realized fuel price of $1.69.

JetBlue entered into forward fuel derivative contracts to hedge approximately 7.7% of its fuel consumption during the fourth quarter of 2018. Based on the fuel curve as of October 15^th, JetBlue expects an average price per gallon of fuel of $2.48 in the fourth quarter of 2018.

About JetBlue

JetBlue is New York’s Hometown Airline®, and a leading carrier in Boston, Fort Lauderdale – Hollywood, Los Angeles (Long Beach), Orlando, and San Juan. JetBlue carries more than 40 million customers a year to 103 cities in the U.S., Caribbean, and Latin America with an average of 1,000 daily flights. For more information please visit www.jetblue.com.

Notes

(1) Consolidated operating cost per available seat mile, excluding fuel and related taxes, and operating expenses related to other non-airline businesses (CASM Ex-Fuel) is a non-GAAP financial measure that we use to measure our core performance. Note A provides a reconciliation of non-GAAP financial measures used in this release and provides the reasons management uses those measures.

Image from http://blog.jetblue.com

Hyatt Hotels To Acquire Two Roads Hospitality

October 9, 2018 / WIL BALDWIN

Hyatt Hotels Corporation (NYSE:H) will be adding Alila, Destination, Joie de Vivre, Thompson and Tommie branded hotels to its list of offerings for upscale travelers. The agreement to acquire Two Roads Hospitality, which was announced yesterday, will help bolster Hyatt’s portfolio of hotels around the world.

You can view the entire press release at the link below:

Hyatt Hotels Press Release

Boeing, Air Lease, EVA Air Celebrate Airline’s First 787-9 Dreamliner

October 3, 2018 / WIL BALDWIN

Image and post from www.boeing.com

Boeing, Air Lease Corp., and EVA Air today celebrated the delivery of the airline’s first 787-9 Dreamliner, via lease from ALC, at Boeing’s South Carolina Delivery Center. EVA Air plans to debut the long-range and super-efficient airplane in November on international routes.

“This milestone delivery marks the beginning of a new era for EVA Air as we continue to revolutionize Taiwan’s dynamic commercial aviation industry,” said Steve Lin, Chairman of EVA Air. “The 787 Dreamliner’s extraordinary efficiency and passenger pleasing cabin features will further elevate EVA Air’s position as a five-star global airline. We are excited to introduce the 787 into our fleet and they will play an integral role in our success going forward.”

Built with lightweight composite materials and powered by advanced GEnx engines from General Electric (GE) Aviation, the 787 Dreamliner family lowers operating costs by more than 20 percent compared to previous airplanes, and nearly 10 percent compared to today’s competing jets.

Today’s delivery marks the first of 24 Dreamliners for the Taipei-based airline. In 2015, EVA Air announced a landmark order for 18 787-10 airplanes along with plans to operate four 787-9s and two 787-10s on lease from ALC. This remains the largest commercial airplane purchase in Taiwan’s history.

“ALC is pleased to deliver this historic first Boeing 787-9 to EVA Air and further our strong relationship with a world-class airline,” said Steven Udvar-Házy, Executive Chairman of Air Lease Corporation. “As the first airline in Taiwan to operate a Boeing 787-9 Dreamliner, EVA Air will continue to excel as a leading international airline with the most technologically advanced and fuel-efficient fleet.”

“We are extremely honored that EVA will be introducing the new 787 Dreamliner to their world-class fleet,” said Kevin McAllister, President and CEO of Boeing Commercial Airplanes. “This milestone delivery signals yet another chapter in our enduring partnership with EVA. I am confident that the market-leading capabilities of the 787 will contribute immensely to the airline’s long-term success.”

A member of Star Alliance, EVA Air serves international routes with approximately 565 weekly flights. Onboard the airline’s new 787 Dreamliner, passengers can experience EVA Air’s new Royal Laurel business class seats designed by Designworks, a BMW Group company. At 23 inches wide, the new seats feature privacy panels, full lie-flat capabilities as well as enhanced in-flight entertainment systems. EVA Air also partnered with Teague, to redesign its economy class seats, which are produced by Recaro.

To improve the operational efficiency of its 787s, EVA Air plans to use a variety of Boeing Global Services tools, including Maintenance Performance Toolbox, Airplane Health Management and the electronic flight bag product.

The airline will also use Component Services, where Boeing and its partners own, manage and maintain a global pool of high-value rotable parts, components and line-replaceable units (LRU) for convenient access.

New York Skinny Tower Passes Supertall Height

September 13, 2018 / WIL BALDWIN

Construction images reveal that the world’s skinniest skyscraper, 111 West 57th by SHoP Architects, has gained supertall status. Photos taken by Andrew Campbell Nelson show the residential tower as construction completes on its third setback – one of a series designed by New York firm SHoP to gradually narrow the already svelte structure towards the top. The milestone means that 111 West 57th has surpassed a height of 984 feet (300 metres) – the requirement for a supertall design.

Click the link below for the full story!

Skinny Tower Passes Supertall Height

Image from www.dezeen.com

Air Lease Corporation Sign Order for Eight 737 MAX Airplanes

April 3, 2018 / WIL BALDWIN

SEATTLE, April 3, 2018 /PRNewswire/ — Boeing [NYSE:BA] and Air Lease Corporation (ALC) announced they have finalized an order for eight more 737 MAX 8 airplanes, valued at $936.8 million at list prices. Air Lease Corporation (ALC), one of the world’s leading airplane lessors, has been a big buyer of the improved 737 airplane. This new order raises ALC’s total 737 MAX orders to 138.

“These aircraft perfectly fit ALC’s and our airline lessees’ growing need for additional 737 MAX 8 aircraft. Our success in MAX placements to date speaks to the strong market demand for these aircraft,” said John Poerschke, Executive Vice President of Air Lease Corporation.

The 737 MAX family is designed to offer customers exceptional performance, with lower operating costs and additional range to open up new destinations. The 737 MAX incorporates the latest CFM International LEAP-1B engines, Advanced Technology winglets, Boeing Sky Interior, large flight deck displays and other features to deliver the highest efficiency, reliability and passenger comfort in the single-aisle market.

Boeing has delivered more than 100 737 MAX airplanes to over 20 customers worldwide, including four to ALC, with the fifth delivering in May 2018.

“The ALC team has a great track record of forecasting what airlines want in terms of new airplanes. Their growing commitment to the 737 MAX reflects the strong market demand for this airplane around the world,” said Ihssane Mounir, senior vice president, Global Sales & Marketing, The Boeing Company. “We’re pleased that ALC is having success with the 737 MAX’s capabilities and efficiencies which are critical traits lessors need in their portfolios.”

The 737 MAX is the fastest-selling airplane in Boeing history, accumulating more than 4,400 orders from 96 customers worldwide. For more information and feature content, visit www.boeing.com/commercial/737max.

Contacts:

Tom Kim
Boeing Communications
Office: +1 206-544-3206
tom.kim2@boeing.com

Sichuan Airlines signs purchase agreement for 10 Airbus A350-900’s

February 25, 2018 / WIL BALDWIN

Sichuan Airlines of China has signed a purchase agreement for 10 Airbus A350-900’s. The deal is subject to government approval, and valued at 200 billion yuan ($31.56 billion) at list price. This represents the largest aircraft order ever by the Chengdu-based airline, although major customers usually negiotiate large discounts.

The airline announced the order following the leasing of 4 A350-900’s through AerCap (3) and Air Lease Corporation (1). Those aircraft had been slated for Sri Lankan Airlines, but that airline canceled the order last year amid high debt levels. The first of the leased A350-900’s was spotted in September of last year sporting a panda livery. The airline expects the A350’s to serve the international market, and has applied for nonstop service from Chengdu to Los Angeles.

Sichuan Airlines is partially owned by the provincial government, as well as stakes held by China Southern, China Eastern, and Shandong Airlines. Sichuan is currently the largest Airbus operator in China, operating over 130 of the European aircraft. These operations including the A320-neo, A321, and both A330 200 and 300 series aircraft. It’s current long-haul flights operate to Moscow, Vancouver, and Auckland. The carrier has also placed a firm order for 20 of the Chinese built Comac C919 narrow body aircraft.