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Alaska Air Group ALK Air traffic liability — Deferred Revenue

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ULCCUnearned Membership Fees — Air traffic liability balance
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Other financials

Income statement

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Revenue$3.3B+5.2%
Operating income-$279.0M-41.6%
Net income-$193.0M-16.3%
EPS (diluted)-$1.69-25.2%

Balance sheet

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Cash & equivalents$508.0M-53.8%
Total debt$6.4B+2.4%
Total equity$3.7B-9.8%
Total assets$20.3B+2.4%

Cash flow

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Operating cash flow$421.0M-8.3%
CapEx$30.0M-28.6%
Free cash flow$391.0M-6.2%

Valuation

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Market cap$5.75B-30.2%
Enterprise value$11.66B-9.7%
P/E78.7×+55.9×
P/S0.4×-0.3×

Profitability

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Operating margin1.5%-2.7pp
Net margin0.5%-2.3pp
FCF margin6.3%-4.4pp

Returns & leverage

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Return on equity1.9%-7.0pp
Debt / equity1.7×+0.2×
Current ratio0.4×-0.1×

Where this comes from

Reported directly by Alaska Air Group in its filing.

Tagged under the XBRL concept us-gaap:ContractWithCustomerLiabilityCurrent.

The official record: Alaska Air Group’s 10-Q, filed May 7, 2026, on SEC EDGAR. View the filing →

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Questions, answered.

What is Alaska Air Group's air traffic liability — deferred revenue?
Alaska Air Group (ALK) reported air traffic liability — deferred revenue of $2.38B in Q1 2026.
What does air traffic liability — deferred revenue mean?
This metric represents the total value of passenger ticket sales for which the air transportation service has not yet been provided. It functions as a liability on the balance sheet, reflecting cash received in advance that will be recognized as revenue once the flight is completed. Monitoring this balance provides insight into future revenue visibility and the underlying demand for upcoming travel bookings.