Frontier joins Delta in pulling its full-year guidance as travel demand slows under tariffy skies
Frontier Airlines is down more than 11% Friday after the budget airline pulled its full-year guidance and said it will cut flights due to slowing demand.
The ultra-budget carrier said it will cut flights on off-peak weekdays this quarter.
Delta Air Lines similarly yanked its full-year outlook when it reported earnings earlier this week, and said it expects its capacity growth to be flat in the second half of the year. CEO Ed Bastian warned that the US “will probably end up in a recession” if trade policy uncertainty continues.
Tariffs are already squeezing air travel, with bookings for flights between the US and Canada down as much as 76% through September. The market turmoil also has the potential to crimp business and consumer discretionary spending, cutting into airlines’ revenue.
Delta Air Lines similarly yanked its full-year outlook when it reported earnings earlier this week, and said it expects its capacity growth to be flat in the second half of the year. CEO Ed Bastian warned that the US “will probably end up in a recession” if trade policy uncertainty continues.
Tariffs are already squeezing air travel, with bookings for flights between the US and Canada down as much as 76% through September. The market turmoil also has the potential to crimp business and consumer discretionary spending, cutting into airlines’ revenue.
