Frontier’s Q2 Shows an Ultra-Low-Cost Carrier Can Raise Fares Too

Ultra-low-cost carriers once thrived from offering dirt cheap fares and bare bones service. But Frontier Airlines is showing real pricing power, and higher airfares have meant a surge in revenue. The carrier reported record revenue of $1.3 billion, up 38% from a year earlier. It also reported a 28% increase in revenue per available seat mile. Frontier chief commercial officer Bobby Schroeter said the airline was benefitting from the pricing environment during a call with analysts on Wednesday. “The demand environment is strong. The fare environment is constructive,” Schroeter said. “And then the de