Spirit Airlines reports first quarter 2016 adjusted pre-tax margin of 21.3%

For the first quarter 2016, Spirit’s total operating revenue was US$538.1m, an increase of 9.1% compared to the first quarter 2015, driven by an increase in flight volume, partially offset by a decrease in operating yields. Adjusted net income for the first quarter 2016 was US$72.3m, GAAP net income for the first quarter 2016 was US$61.9m. Adjusted pre-tax margin for the first quarter 2016 was 21.3%, on a GAAP basis, pre-tax margin for the first quarter 2016 was 18.2%. Adjusted operating expense for the first quarter 2016 increased 10.2%, or US$39.0m, to US$420.4m on a capacity increase of 26.5% year over year. During the first quarter 2016, the Company purchased two A319 aircraft it formerly financed under operating lease agreements which resulted in lease termination charges. GAAP total operating expenses, including special items of US$16.4m that are primarily driven by lease termination charges, increased 13.7%, or US$52.7m, year over year to US$436.8m.