Alaska Airlines CEO Expects Profitable FY25 Despite Pricing Issues, Announces Nonstop Flights To Rome

Alaska Air Group (ALK) CEO said on Tuesday he expects the airline to deliver a profit in the fiscal year 2025 despite the carrier’s pricing struggles.

The Seattle-based carrier’s CEO, Ben Minicucci, told Reuters in an interview that the company’s earnings are shaping up along expected lines in the current quarter.

Alaska Airlines had pulled its guidance like its peers after President Donald Trump’s ‘Liberation Day’ tariffs were announced in April.

The airline had previously warned that soft demand could eat into its earnings in the second quarter–it said that while bookings have stabilized, the average selling price has not.

"We're filling airplanes, just not at the yields we'd like," Minicucci said, according to the report.

Meanwhile, Alaska Airlines announced that it would make its European debut with the launch of nonstop service between Seattle and Rome.

Alaska Air’s shares were up 0.55% at the time of writing.

The carrier said that its first Seattle-Rome flight would take off in May next year, with sales going live this fall.

Alaska Airlines will use the long-haul jets it now has in its fleet after the acquisition of Hawaiian Airlines in 2024. The airline’s Seattle-Rome route will be operated using a Boeing 787-9 Dreamliner jet.

Alaska Airlines said its European ambitions are not limited to just Rome – over time, the company aims to expand its presence, as part of its “Alaska Accelerate” program, to rack up $1 billion in incremental profit over three years following its Hawaiian Airlines acquisition.

Minicucci called the Seattle-Rome nonstop route a “dream come true.”

“Rome has been at the top of the list ever since we announced our new global gateway out of Seattle. Our guests have been asking for an easy way to get to Italy for years, and we’re thrilled to provide it to people in the Northwest and beyond,” he said.

Alaska Air Group’s Seattle hub currently serves 104 nonstop destinations across North America.

Alaska Air’s stock has declined nearly 21% year-to-date, but it is up over 22% in the past 12 months.

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