Alaska Air Group, Inc. · NYSE:ALK
Alaska Air — Q2 2026 Earnings Presentation
8 slides from Alaska Air's earnings presentation, Jul 22, 2026
Slide 1: Alaska Air Group Q2 2026 Earnings
ALASKA AIR GROUP Q2 2026 Earnings | July 21, 2026
Slide 2: Safe Harbor
Safe Harbor This presentation may contain forward-looking statements subject to the safe harbor protection provided by Section 27A of the Securities Act of 1933, Section 21E of the Securities Exchange Act of 1934, and the Private Securities Litigation Reform Act of 1995. These statements relate to f
Slide 3: Alaska Accelerate initiatives progressing well
Alaska Accelerate initiatives progressing well $400M = Revenue up 10% y/y = Launched first European service in company history from Seattle to Rome, London, & Reykjavik = Managed corp. revenues up 30%, next 90-day bookings up 37%+ = PDX, SAN corp. share up 5 and 4 pts y/y, PDX now >50% in total Prem
Slide 4: Unit cost trajectory improving in 2H 2026
Unit cost trajectory improving in 2H 2026 ~8% guidance BH Q2 2026 unit costs increased 6.5% year | over year, approximately 1.5 points better than planned, reflecting broad-based cost 6.5% discipline and continued productivity Low to Mid gains Single Digits 6.3% @ Q2 transitory costs include elevate
Slide 5: Improving revenue-cost spread demonstrates business strength
Improving revenue-cost spread demonstrates business strength RASM vs CASMex Spread (ex fuel profit per ASM) exe ALK ==Network Carriers m@ In 1H26, Hawai'i performance and transitory cost items pressured earnings B® Q2 showed improvement with ~---° momentum building as unit costs and or ? revenue imp
Slide 6: Fuel costs have moderated but remain elevated
Fuel costs have moderated but remain elevated m Economic fuel cost averaged $4.43 per $2.92 gallon in Q2 2026 as both crude oil and refining costs increased Singapore refining margins surged in $175 Q2, a sharp reversal from their : historical position as one of the $1.58 cheapest fuel sources $1.42
Slide 7: Balance Sheet
Balance Sheet 65% 9 61% 57% 59% oe _ will 2019 2021 2022 2023 2024 2025 1Q26 2Q26 2019 2021 2022 2023 2024 2025 1Q26 2Q26 seererneeens Target Adj. Net Debt/EBITDAR < 1.5x sseessees Target Debt to Cap Range 40% to 50%
Slide 8: Most challenging integration milestones completed
Most challenging integration milestones completed Single Loyalty Single Operating Certificate (SOC) Single Passenger Service System (PSS) Joint Collective Bargaining Agreements (JCBA) 2H 2025 Q4 2025 Q2 2026 2025-2027 Launched new loyalty brand, Atmos Rewards, and new premium credit card on Aug 20%