Mar 31, 2017

Frontier Airlines files for IPO

David Zalubowski

Low-cost airline Frontier today filed for an initial public offering, which means it likely plans to go public sometime in May. The Denver-based company last year flew 14.9 million passengers through 59 airports in the U.S., Mexico and the Caribbean.

Top line: The Denver-based carrier's income statement reflects its budget sensibilities, with $200 million in net income on $1.7 billion in revenue. This is up from $146 million of earnings on $1.37 billion in revenue in 2015.

Why the improvement? Three factors jump out. First, the average cost of fuel fell from $1.90 per gallon to $1.59 per gallon. Second, the average number of passengers per departure climbed from 154 to 173. then there is "non-ticket revenue" (i.e., booking fees, baggage fees, on-flight purchases), which jumped from $401 million to $726 million.

Market: Airline stocks have been major beneficiaries of the "Trump Bump," judging by the most popular airline ETFs. Budget airline rival Southwest recently hit an all-time high, while Spirit Air remains well below its 2004 highs (but still is up for the past year).

Go deeper

Coronavirus dashboard

Illustration: Sarah Grillo/Axios

  1. Global: Total confirmed cases as of 3:30 p.m. ET: 838,061 — Total deaths: 41,261 — Total recoveries: 174,115.
  2. U.S.: Leads the world in confirmed cases. Total confirmed cases as of 3:30 p.m. ET: 177,452 — Total deaths: 3,440 — Total recoveries: 6,038.
  3. Public health updates: More than 400 long-term care facilities across the U.S. report patients with coronavirus — Older adults and people with other health conditions are more at risk, new data shows.
  4. Federal government latest: The White House and other institutions are observing several models to better understand and prepare cities for when the coronavirus is expected to peak in the U.S.
  5. In Congress: New York Rep. Max Rose deploys to National Guard to help coronavirus response.
  6. 🎧 Podcast: Misinformation in the coronavirus age.
  7. What should I do? Answers about the virus from Axios expertsWhat to know about social distancingQ&A: Minimizing your coronavirus risk.
  8. Other resources: CDC on how to avoid the virus, what to do if you get it.

Subscribe to Mike Allen's Axios AM to follow our coronavirus coverage each morning from your inbox.

U.S. coronavirus updates: White House studies models projecting virus peak

Data: The Center for Systems Science and Engineering at Johns Hopkins; Map: Andrew Witherspoon/Axios

The White House and other institutions are observing several models to better understand and prepare cities for when the coronavirus is expected to peak in the U.S.

The state of play: The coronavirus is expected to peak in the U.S. in two weeks, but many states like Virginia and Maryland will see their individual peaks well after that, according to a model by the University of Washington's Institute for Health Metrics and Evaluation.

Go deeperArrowUpdated 2 hours ago - Health

FDA authorizes two-minute antibody testing kit to detect coronavirus

Currently, it takes days to produce results from testing kits. Photo: Sergei Malgavko\TASS via Getty Images

The Food and Drug Administration issued an emergency approval Tuesday for a serological testing kit produced by Bodysphere Inc. that can detect a positive or negative result for COVID-19 in two minutes.

Why it matters: Access to testing has improved in the U.S. thanks to commercial labs, but the average wait time for a patient's results is four to five days — with some reports of it taking more than a week.

Go deeperArrowUpdated 2 hours ago - Health