Exploring Hawaiian Airlines net worth provides a glimpse into its financial journey and standing in the aviation sector.
At Ando Money, our analysis covers Hawaiian’s sources of revenue, financial strategies, and cost structures. Get ready to dive deep into the airline’s finances for 2024.
Quick Facts
| FACT | DETAIL |
|---|---|
| Name | Hawaiian Airlines |
| Full Name | Hawaiian Airlines, Inc. |
| Website | hawaiianairlines.com |
| Industry | Commercial Airline |
| Traded as | N/A (Merged in 2024) |
| ISIN | N/A |
| Founded | January 30, 1929 |
| Founders | Inter-Island Steam Navigation Co. |
| Country/Territory | United States |
| Headquarters | Honolulu, Hawaii |
| Chief Executive Officer | Peter Ingram |
| Number of Employees | 7,108 (2022) |
| Market Cap | $0.93 Billion (Oct 2024) |
| Total Assets | $4.2 Billion (2024) |
| Total Equity | ($105.5 Million) (2024) |
| Revenue | $731.9 Million (Q2 2024) |
| Net Income | ($67.6 Million) (Q2 2024) |
What is the Net Worth/Market Cap of Hawaiian Airlines in 2024?
As of October 2024, Hawaiian Airlines has a market cap of $0.93 Billion. This reflects the total value of the company’s outstanding shares and provides insight into its financial status.
It’s also notable that the airline’s value shifted considerably after its merger with Alaska Airlines, impacting its standing among aviation players.
For comparison, here are some other companies/brands in the aviation and related sectors:
- Alaska Air Group
- Delta Air Lines
- American Airlines
- Southwest Airlines
- United Airlines
- JetBlue Airways
- Air Canada
- Spirit Airlines
- Allegiant Air
- Frontier Airlines
To explore which other firms rank as the most valuable, see our most profitable companies.
Hawaiian Airlines Financial Performance Overview
Hawaiian Airlines experienced a notable financial journey in 2024, with its Q2 revenue reaching $731.9 Million, up 3.5% YoY.
Despite increased revenue, a net loss of $67.6 Million was recorded. This was attributed to rising operational costs, market changes, and investments in fleet and services.
Revenue Sources and Business Segments
Hawaiian Airlines’ revenue primarily comes from passenger flights, accounting for $666 Million in Q2 2024.
Cargo operations and other services contribute an additional $65.9 Million, showcasing growth in diverse areas.
With the airline introducing new routes, such as connections between Sacramento and Kona/Lihu’e, the company strategically boosted its long-haul and regional network capacity, leading to a 4.3% YoY increase.
Cost Structure and Key Expenses
Operating Expenses Overview
In Q2 2024, Hawaiian Airlines’ operating expenses totaled $787.3 Million, a 9.9% increase from the prior year. Costs were driven by wages and benefits (11.5% rise YoY), fuel expenses, and maintenance costs (a 30.3% jump).
Impact of Fuel Prices and Consumption
Fuel remains a major cost factor, with fuel expenses per ASM at 3.43¢. The company consumed over 68.4 million gallons in Q2 2024, a 3.1% rise YoY.
This reflects Hawaiian’s focus on increasing capacity and its effort to optimize consumption.
Labor Costs and Benefits
The airline’s labor expenses in Q2 reached $265 Million, influenced by a new collective bargaining agreement, improved health benefits, and increased wages.
Employee costs are integral to the company’s financial model, particularly as Hawaiian maintains a workforce of over 7,000.
Fleet Modernization and its Financial Impact
Hawaiian Airlines invested in fleet upgrades, including the introduction of Boeing 787-9 Dreamliners.
These newer, fuel-efficient aircraft aim to improve operational efficiency and customer experience.
The company’s goal is to reduce maintenance costs while improving its service capabilities, which has financial implications for profitability in future quarters.
Impact of Strategic Partnerships and Mergers
The merger with Alaska Air Group in 2024 significantly influenced Hawaiian’s financial position.
The deal facilitated access to broader markets, new synergies, and cost savings through combined operations.
The partnership also introduced potential growth opportunities through expanded routes and a shared frequent flyer program, Mileage Plan.
Cash Flow, Assets, and Liquidity Management
As of June 30, 2024, Hawaiian Airlines held $1.3 Billion in unrestricted cash and short-term investments, maintaining a liquidity of $1.5 Billion.
The company issued new senior secured notes, managing its debt and finance lease obligations totaling $2.3 Billion.
This capital strategy helped Hawaiian maintain financial flexibility amidst market fluctuations.
Effects of Operational Investments on Financials
Route Expansion and Network Strategy
With daily services between Honolulu and Salt Lake City, and Sacramento to Kona/Lihu’e, Hawaiian expanded its network.
This expansion positively impacted overall operating revenue per ASM (RASM), which was 13.99¢ in Q2 2024, despite a slight YoY decrease.
Technology and Service Enhancements
The implementation of Starlink WiFi across Hawaiian’s aircraft fleet added value to the passenger experience.
This technological upgrade is expected to enhance the airline’s competitive advantage, improve customer satisfaction, and, ultimately, drive revenue growth.
Financial Outlook and Forward Guidance
For Q3 and the full year of 2024, Hawaiian Airlines anticipates an ASM increase of up to 8.5% and cost reductions between 3.0% and 0.8%.
The company is focusing on mitigating rising fuel costs and leveraging its new partnerships to achieve a balanced financial outcome.
FAQs about Hawaiian Airlines
How did the merger with Alaska Airlines impact Hawaiian Airlines’ finances?
The merger brought financial stability, expanded route networks, and potential cost synergies, which improved the company’s revenue streams and market presence.
What were Hawaiian Airlines’ main sources of revenue in 2024?
The primary revenue sources include passenger flights, which accounted for $666 Million in Q2 2024, and cargo operations, contributing an additional $65.9 Million.
How does Hawaiian Airlines manage its operating costs?
The company focuses on fuel efficiency, labor cost controls through strategic agreements, and upgrading its fleet to more efficient models like the Boeing 787-9.
What investments have Hawaiian Airlines made in fleet and technology?
Hawaiian Airlines has invested in the Boeing 787-9 fleet for improved efficiency and added Starlink WiFi to enhance passenger experience on transpacific flights.
How has Hawaiian Airlines’ financial outlook been impacted by its cost structure?
The focus on cost-effective fleet operations, managing fuel prices, and improving labor agreements have all aimed to enhance Hawaiian Airlines’ financial stability in 2024.
Conclusion
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For more detailed analysis, visit Ando Money.
