Frontier Airlines predicts Trump’s tariff damage demand, which will lose second-quarter losses

May 1 – Frontier Group, a parent of US discount operator Frontier Airlines, predicts unexpected second-quarter losses Thursday, even as it says demand for travel in May and early summer has stabilized.

Trump’s trade policies and comprehensive tariffs have triggered a global trade war, putting the world into recession and making customers hesitant to spend on travel.

Frontier said now, it targets profitability in the second half of the year to regulate industry-wide capabilities, aggressive cost and capital expenditure management.

The economic downturn is creating a headwind for major U.S. airlines, two months ago, benefiting from strong travel demand and solid prices on its network.

Frontier predicts that the adjusted loss per share ranges from 23 cents to 37 cents in the second quarter compared to analysts’ average expectations for 15 cents profit.

It reported that the adjusted losses in the first quarter were larger than expected, as its total revenue per passenger fell 6% from the same period last year.

The company’s second-quarter and 2025 balance planning capabilities decreased a year ago, with adjustments focused on off-peak days of the week.

Frontier said on Thursday that the demand environment will be closely monitored and any further adjustments to capacity and related expenses will be made.

It avoids providing full-year financial forecasts, citing uncertainty in demand outlook for annual balances.

It reported a first-quarter adjusted loss of 19 cents per share compared to analysts’ 9 cents per share expectations.

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