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Jun 30, 2025
Sun Country Airlines Q2 2025 Earnings Report
Sun Country Airlines reported its second quarter 2025 financial results, achieving record revenue and significant growth in net income and adjusted EPS.
Key Takeaways
Sun Country Airlines reported a strong second quarter in 2025, achieving its highest second-quarter revenue on record at $264 million. The company demonstrated significant profitability with GAAP diluted EPS of $0.12 and adjusted diluted EPS of $0.14, marking its twelfth consecutive profitable quarter. This performance was driven by robust demand in scheduled service and substantial growth in cargo and charter revenues, despite a strategic reduction in scheduled service capacity to accommodate the expansion of its cargo fleet.
Total operating revenue reached $263.6 million, marking the highest second quarter on record and a 3.6% increase year-over-year.
GAAP diluted EPS increased significantly to $0.12, up 300% from $0.03 in the prior year, while adjusted diluted EPS rose to $0.14.
Net income surged by 263% to $6.6 million, and operating income increased by 31.5% to $16.3 million.
Cargo revenue saw a substantial increase of 36.8% to $34.8 million, and charter revenue grew by 6.4% to $54.3 million, offsetting a slight decline in passenger revenue.
Revenue by Segment
Forward Guidance
For the third quarter of 2025, Sun Country Airlines expects total revenue to be between $250 million and $260 million, representing a 0% to 4% increase year-over-year. Operating income margin is projected to be between 3% and 6%, with total system block hours increasing by 5% to 8%. Economic fuel cost per gallon is anticipated to decrease by 3%.
Positive Outlook
- Total revenue is expected to grow by 0% to 4% compared to Q3 2024, indicating continued top-line expansion.
- Total system block hours are projected to increase by 5% to 8%, reflecting overall operational growth.
- Economic fuel cost per gallon is expected to decrease by 3%, which could positively impact profitability.
- The company anticipates all 20 cargo freighters to be in-service by the end of the third quarter, enhancing cargo capacity.
- The extension of the selling schedule through April 28, 2026, provides longer-term booking visibility.
Challenges Ahead
- Operating income margin is expected to be between 3% and 6%, which is a decrease of 2.6 percentage points to an increase of 0.4 percentage points compared to Q3 2024.
- Scheduled service ASMs are expected to decline by approximately 10% in Q3 2025 to accommodate cargo growth, potentially impacting passenger revenue.
Historical Earnings Impact
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Avg. Return Before/After Earnings
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