10-Q · July 29, 2026
Frontier delivered record Q2 revenue of $1.279 billion, up 38% year over year, with RASM up 28% and a sequential improvement in diluted EPS to a $0.39 loss from a $1.18 loss in Q1. However, the GAAP net loss widened to…
Earnings analysis · 10-Q
ULCC earnings analysis
Filed October 28, 2026 · Our reading of the company's report
The latest report
Frontier reported strong Q3 operating momentum, with revenue of $1.355 billion, up 53% year over year, and adjusted diluted EPS of $0.18. However, fuel represented 29% of operating expenses, up from 24% a year earlier,…
Read full summary
Frontier reported strong Q3 operating momentum, with revenue of $1.355 billion, up 53% year over year, and adjusted diluted EPS of $0.18. However, fuel represented 29% of operating expenses, up from 24% a year earlier, and a 10% fuel-price increase would add approximately $113 million to nine-month expense. The 10-Q reports effective controls and no material changes to previously disclosed risk factors, but provides no new quantitative guidance or balance-sheet and cash-flow detail in the supplied filing text.
Gross and operating margin
How much of each revenue dollar the business keeps.
One point per quarterly or annual filing. Both margins are shares of that report's revenue.
How we read each report
Our analysis across the last few reports.
Our model's reading of each filing, not the share price or the market's reaction. Annual and quarterly reports each occupy one position.
Reported figures
- Earnings per share
- $0.18
What stood out
-
Strong Q3 revenue and adjusted EPS
Q3 revenue was $1.355 billion, up 53% year over year, and adjusted diluted EPS was $0.18 versus the $(0.06) consensus estimate.
-
Controls remained effective
Management stated that disclosure controls were effective as of September 30, 2026, and reported no changes in internal controls that materially affected, or were reasonably likely to materially affect, reporting.
-
Revenue growth offsets higher fuel burden
Aircraft fuel represented 29% of total operating expenses in the three months ended September 30, 2026, versus 24% in the comparable 2025 period, highlighting the sensitivity of results to fuel prices.
-
Fuel sensitivity quantified
A 10% increase in the average aircraft-fuel price would have increased fuel expense by approximately $113 million based on nine-month 2026 consumption.
What to watch
-
Higher and volatile fuel exposure
Aircraft fuel represented 29% of total operating expenses in Q3 2026, up from 24% in Q3 2025. Geopolitical tensions have increased global energy-market volatility, and unexpected price or supply changes could materially adversely affect results.
-
Material fuel-price sensitivity
Based on nine-month 2026 consumption, a hypothetical 10% increase in the average fuel price would raise aircraft fuel expense by approximately $113 million, creating significant earnings downside.
-
No new formal risk-factor changes
The filing states that there have been no material changes to the risk factors in the 2025 Annual Report; therefore, no new filing-specific risk-factor update was identified. The filing nonetheless identifies fuel availability and pricing as potentially materially adverse to the business and financial condition.
Management's outlook
The 10-Q does not provide quantitative company guidance. Q4 2026 adjusted diluted EPS guidance of $(0.15) to $0.05 and capacity growth of 5% to 6% were provided in the October 28, 2026 earnings release, not this filing.
Earlier filings 4
10-Q · May 5, 2026
Frontier Group Holdings reported a significant increase in revenues for Q1 2026, totaling $992 million, a 9% year-over-year rise. However, the company incurred a substantial net loss of $272 million, significantly…
10-K · February 18, 2026
Frontier reported Q4 2025 revenue of $997,000,000 (vs. consensus $974,788,088) and GAAP diluted EPS of $0.23 (vs. est. $0.13), with operating margin improving to 4.9% in Q4. The company highlights a fuel-efficient…
10-Q · November 5, 2025
Frontier reported Q3 2025 operating revenue of $886 million and a GAAP net loss of $77 million (diluted EPS $(0.34)), driven by higher operating expenses and lower passenger revenue. Passenger revenues fell to $854…
This is our reading of a public filing, not the filing itself. Analysis can contain errors; check the source document for full context.