Sun Country Airlines (SNCY) Q4 2024 earnings summary

Executive summary

• Achieved record Q4 and full-year 2024 revenue, with Q4 revenue of $260.4M and FY revenue of $1.08B.

• Achieved 10th consecutive profitable quarter and fourth consecutive full year of profitability in 2024.

• Q4 GAAP diluted EPS was $0.24 (up 140% year-over-year); adjusted diluted EPS was $0.27 (up 125%). FY 2024 GAAP diluted EPS was $0.96; adjusted diluted EPS was $1.05.

• Diversified business model and cost control contributed to strong results despite industry oversupply.

• Industry-leading operational metrics, including completion factor and mishandled bag rate.

Financial highlights

• Q4 total revenue up 6.1% year-over-year to $260.4M; full year revenue reached $1.08B.

• Q4 operating income margin was 10.0% (up from 7.0%); adjusted operating margin was 10.6%. FY 2024 adjusted operating margin was 10.4%.

• Q4 net income was $13.4M (up 138% year-over-year); adjusted net income was $15.0M (up 117.1%).

• Cargo revenue in Q4 grew 13.1% to $28.6M, an all-time high, despite a 2.5% decrease in block hours.

• Ad hoc charter revenue up 27% in Q4 versus last year.

Outlook and guidance

• Q1 2025 total revenue expected between $330M and $340M, up 6–9% year-over-year, on 7%-9% block hour growth.

• Q1 2025 operating margin guidance is 17%-21%, with effective tax rate of 23%.

• Full year 2025 block hours to increase 9-10%, driven by Amazon cargo fleet expansion.

• Scheduled service ASMs to decline 3-5% in 2025, with reductions in Q2-Q4.

• Cargo flying expected to increase substantially from Q2 2025 onward, with eight new Amazon freighters joining the fleet.