Spirit Airlines

Spirit delivered better than expected earnings, but just barely. The company is preparing for fuller loads and a return to profits, confident in its strengths flying to leisure destinations. But a lot of carriers have expressed that same confidence.

Flowers are not the only thing sprouting as the weather warms up. Airline bookings are also showing some green shoots but most hesitate to call it a recovery yet with eyes focused on sustained improvements this summer.

Spirit Airlines says its business model carrying budget-minded flyers cheaply from point A to point B is sound. And even with the threat of a new domestic Covid testing mandate, the carrier is bullish on its prospects to grow this year.

The eagerly awaited recovery in air travel that airlines have talked up may arrive late to the gate if the U.S. mandates negative Covid-19 tests for all domestic air travelers. The potential move could set back recovery efforts underway in the beleaguered industry.

The low-cost carrier business model has been pretty resilient historically to swings in the economy. Listen to what Spirit CEO Ted Christie has to say about that now.

The CEO of Spirit Airlines is hopeful the carrier can get back to 2019 capacity levels by the end of next year. His airline focuses more on leisure customers than most, so maybe it is possible. But it still seems to be a far-fetched goal.

For low-cost-carriers, loyalty programs often have been an afterthought. That's why Spirit's isn't worth much, compared to legacy carrier schemes.