Record total revenue driven by strong demand and continued execution of commercial strategy

Increased RASM 30 percent and total revenue over 50 percent year-over-year

DENVER, Oct. 28, 2026 /PRNewswire/ -- Frontier Group Holdings, Inc. (Nasdaq: ULCC), parent company of Frontier Airlines, Inc., today reported financial results for the third quarter of 2026 and issued guidance for the fourth quarter of 2026.

Third Quarter and Year-to-Date Select Financial Highlights

The following tables summarize select financial results for the three and nine months ended September 30, 2026 and 2025, including both GAAP and adjusted (non-GAAP) metrics. Refer to "Reconciliations of Non-GAAP Financial Information" in the appendix of this release.

Highlights:

- Delivered record revenue of approximately $1.4 billion, up 53 percent versus the corresponding 2025 quarter, driven by strong demand and continued execution of the Company's commercial strategy

- Increased RASM 30 percent to 11.87 cents, significantly above guidance, on 18 percent higher capacity

- Maintained cost discipline, with total adjusted (non-GAAP) operating expenses of approximately $1.3 billion, or 11.56 cents per ASM, including fuel expense at an average cost of $3.96 per gallon, and adjusted (non-GAAP) CASM - excluding fuel of 7.40 cents, stage-adjusted to 1,000 miles

- Reported adjusted (non-GAAP) net income of $40 million, or $0.18 per diluted share, significantly exceeding guidance despite an average fuel price that was $0.26 per gallon higher than assumed when guidance was issued

- Ended the third quarter 2026 with $1.18 billion of total liquidity, up slightly from the prior quarter

- Executed agreements in the third quarter to early return 13 A320neo leases in the second half of 2026 and cost efficiently replace that capacity with the direct lease of 10 A321neo aircraft scheduled to be delivered by the first quarter of 2027

- Generated 107 available seat miles ("ASMs") per gallon in the third quarter of 2026, a fuel efficiency advantage of over 40 percent compared to the major U.S. carriers1

"Frontier's revenue execution in a higher than expected fuel environment resulted in an adjusted profit, meaningfully above the Company's guidance and Wall Street estimates," said Jimmy Dempsey, President and Chief Executive Officer. "The Company delivered record revenue of $1.4 billion, up 53 percent versus the prior year, due to strong travel demand and the continued progression of the Company's revenue management initiatives, while maintaining cost discipline. These results reflect the successful progression of the Company's strategic initiatives set out earlier this year, and it gives us confidence in our ability to translate our momentum into sustainable profitability."

Revenue and Cost Performance

Revenue was approximately $1.4 billion in the third quarter of 2026, a Company record, driven by strong travel demand and the continued progression of the Company's revenue management initiatives. RASM increased 30 percent over the corresponding 2025 quarter to 11.87 cents, significantly above the guidance range, on ASMs that were 11.4 billion, 18 percent higher compared to the corresponding 2025 quarter on an average stage length of 891 miles and a flown load factor of 79 percent.

Total adjusted (non-GAAP) operating expenses were approximately $1.3 billion in the third quarter of 2026, or 11.56 cents per ASM. This includes $425 million of fuel expense at an average cost of $3.96 per gallon. The average cost per gallon reflects an increase of 56 percent versus the corresponding 2025 quarter, or approximately $150 million of incremental expense on current quarter fuel consumption.

Total adjusted (non-GAAP) operating expenses excluding fuel in the third quarter of 2026 were $896 million, or 7.40 cents per ASM, stage-adjusted to 1,000 miles. Refer to "Reconciliations of Non-GAAP Financial Information" in the appendix of this release.

Earnings

Net loss (GAAP) for the third quarter of 2026 was $104 million. Adjusted (non-GAAP) net income for the third quarter of 2026 was $40 million, or $0.18 per diluted share based on approximately 233 million weighted-average shares outstanding in the quarter.

Liquidity

Total liquidity as of September 30, 2026 was $1.18 billion, consisting of unrestricted cash and cash equivalents and availability from the Company's revolving credit facility, representing approximately 25 percent of trailing 12-month adjusted (non-GAAP) revenue.

Fleet

As of September 30, 2026, Frontier had a fleet of 164 Airbus single-aisle aircraft, as scheduled below, all financed through operating leases that expire between 2026 and 2038.

Frontier took delivery of one A320neo aircraft and three A321neo aircraft during the third quarter of 2026. The Company also returned all 13 A320neo aircraft associated with the early return agreement as previously disclosed, with five returns in the third quarter of 2026 and the remainder in October 2026.

The Company expects to take delivery of two A321neo aircraft in the fourth quarter previously scheduled in the third quarter, three A321neo aircraft which are being sold to Avolon, as previously disclosed, and five of the ten A321neo aircraft through direct leases with AerCap. The direct leases are expected to cost-efficiently replace the 13 A320neo aircraft being early returned. The remaining five direct leases are expected to be delivered in the first quarter of 2027.

Frontier is "America's Greenest Airline," producing 107 ASMs per gallon in the third quarter of 2026 and delivering a fuel-efficiency advantage of more than 40 percent compared to the major U.S. carriers1, as measured by available seat miles per fuel gallon consumed.

Forward Guidance

The guidance provided below is based on the Company's current estimates and is not a guarantee of future performance. This guidance is subject to significant risks and uncertainties that could cause actual results to differ materially, including the risk factors discussed in the section "Caution Regarding Forward-Looking Statements." Frontier undertakes no duty to update any forward-looking statements or estimates, except as required by applicable law. Further, this guidance excludes special items and the reconciliation of non-GAAP measures to the comparable GAAP measures because such amounts cannot be determined at this time.

Expected adjusted (non-GAAP) diluted earnings per share for the fourth quarter of 2026, as noted below, reflects continued expected progress across key commercial initiatives and strong travel demand, with forecast RASM for the fourth quarter of 2026 again expected to be up over 20 percent as compared to the corresponding 2025 quarter, while elevated fuel prices are an expected cost headwind. Fourth quarter capacity is expected to increase 5 to 6 percent versus the corresponding 2025 quarter.

Conference Call

The Company will host a conference call to discuss third quarter 2026 results today, October 28, 2026, at 11:00 a.m. Eastern Time (USA). Investors may listen to a live, listen-only webcast available on the investor relations section of the Company's website at https://ir.flyfrontier.com/news-and-events/events. The call will also be archived and available for at least 90 days on the investor relations section of the Company's website.

About Frontier Airlines

Frontier Airlines, Inc., a subsidiary of Frontier Group Holdings, Inc. (NASDAQ: ULCC), is a value-focused airline operating one of the youngest and most fuel-efficient fleets in the United States. With a growing network and continued investment in product upgrades, including the introduction of First Class seating, onboard Wi-Fi and enhanced loyalty benefits, Frontier is giving customers more comfort, flexibility, and rewards while keeping fares low.

End Notes

1 Industry average weighted by ASMs in FY2025 to include DAL, UAL, AAL, LUV, JBLU, ALK, and ALGT. Fuel efficiency is measured by ASMs per fuel gallon consumed.

Caution Regarding Forward-Looking Statements

Certain statements in this release should be considered forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, Section 21E of the Securities Exchange Act of 1934, as amended, and the Private Securities Litigation Reform Act of 1995. These forward-looking statements are based on the Company's current expectations and beliefs with respect to certain current and future events and anticipated financial and operating performance. Words such as "expects," "will," "plans," "intends," "anticipates," "indicates," "remains," "believes," "estimates," "forecast," "guidance," "outlook," "goals," "targets" and similar expressions are intended to identify forward-looking statements. Additionally, forward-looking statements include statements that do not relate solely to historical facts, such as forward guidance and estimates of future financial or operational results, statements which identify uncertainties or trends, discuss the possible future effects of current known trends or uncertainties, or which indicate that the future effects of known trends or uncertainties cannot be predicted, guaranteed or assured. All forward-looking statements in this release are based upon information available to the Company on the date of this report. The Company undertakes no obligation to publicly update or revise any forward-looking statement, whether as a result of new information, future events, changed circumstances or otherwise, except as required by applicable law.