Virgin America Reports $27 Million Quarterly Loss

Virgin America reported its financial results for the fourth quarter of 2008. Despite fuel costs and a challenging economic climate in 2008, the new airline reported strong and steadily growing unit revenue, significant cash on-hand, and strong load factors in the latter part of 2008. The airline ended the quarter with $68 million in cash.

The airline reported a $27 million operating loss for the fourth quarter of 2008, on revenues of $110 million. It reported an overall 81.2 percent load factor in the fourth quarter of 2008, and double-digit load factor leads against major competitors on a same route basis.

Unit revenue in the fourth quarter of 2008 was up 87 percent versus the fourth quarter of 2007, and up 5.3 percent versus the third quarter. Previously, the airline reported that quarter-over-quarter unit revenue improved by 28 percent in the first quarter of 2008, 26 percent in the second quarter and 10 percent in the third quarter. The airline ended the fourth quarter with $68 million in unrestricted cash.