Frontier Airlines reported record revenue of almost $1.4 billion for July through September, an increase of more than 50% from a year earlier. Its average base fare, the ticket price before extra charges, rose about 71%. Passengers continued booking despite the higher prices.
The airline benefited from the closure of its major low-cost rival, Spirit, which stopped flying in May. Frontier CEO James Dempsey estimated that reduced competition, improved pricing methods, and fare increases linked to fuel costs each explained about one-third of the revenue increase. Frontier's planes were only slightly less full than in the same period last year.
However, record revenue did not produce a profit. Frontier reported a $104 million net loss as high aircraft fuel costs put pressure on its finances. The results show that collecting more money from passengers has not removed the airline's financial difficulties.
Frontier is preparing to introduce first-class seats, with installation expected to begin soon. The airline expects to offer the seats on flights departing by early spring. In a separate effort, it plans to begin installing Starlink internet in early 2027, introducing a service that it does not currently provide on its planes.
