Ryan Capozzi's questions to Sun Country Airlines Holdings Inc (SNCY) leadership • Q1 2025
Question
Ryan Capozzi asked if there was a path to margin expansion in the second half of the year as the business mix shifts. He also inquired about the expected dynamic between load factor and yield as scheduled service capacity is reduced.
Answer
CEO Jude Bricker answered "Absolutely" to the margin expansion question, citing the absorption of cargo growth and the ability to increase passenger fleet utilization as key drivers. He explained their strategy is to maintain high load factors by scheduling flights only where demand exists, and if demand falls, they will cut the weakest flights to protect margins.