Sun Country Airlines Holdings, Inc. (NASDAQ:SNCY) Q2 2023 Earnings Conference Call August 4, 2023 8:30 AM ET

Company Participants

Chris Allen - IR

Jude Bricker - CEO

Dave Davis - CFO

Grant Whitney - Chief Revenue Officer

Greg Mays - COO

Conference Call Participants

Duane Pfennigwerth - Evercore ISI

Catherine O'Brien - Goldman Sachs

Tom Fitzgerald - TD Cowen

Mike Linenberg - Deutsche Bank

Christopher Stathoulopoulos - Susquehanna Financial Group

Operator

Welcome to the Sun Country Airlines Second Quarter 2023 Earnings Call. My name is Josh, and I will be your operator for today's call. At this time all participants are in a listen-only mode. After the speakers' presentation, there'll be a question-and-answer session. [Operator Instructions] Please be advised that Today's conference is being recorded.

I would now like to turn the call over to Chris Allen, Director of Investor Relations. Mr. Allen, you may begin.

Chris Allen

Thank you. I'm joined today by Jude Bricker, our Chief Executive Officer; Dave Davis, President, and Chief Financial Officer and a group of others to help answer questions.

Before we began. I'd like to remind everyone that during this call, the company may make certain statements and constitute forward-looking statements. Our remarks today may include forward-looking statements which are based upon management's current beliefs, expectations, assumptions and are subject to risks and uncertainties. Actual results may differ materially, we encourage you to review the risk factors and cautionary statements outlined our earnings release and our most recent SEC filings. We assume no obligation to update any forward-looking statement. You can find our second quarter earnings press release on the Investor Relations portion at ir.suncountry.com.

With that said, I'd like to turn the call over to Jude.

Jude Bricker

Thank you, Chris. Good morning, everyone. Our diversified business model is unique in the airline industry, due to the predictability of our charter and cargo businesses, we are able to deliver the most flexible schedule service capacity in the industry. The combination of our schedule, flexibility and low fixed cost model allow us to respond to both predictable leisure demand fluctuations, and exogenous industry shocks.

We believe due to our structural advantages we will be able to reliably deliver the industry leading profitability throughout all cycles.

We crossed a few milestones since our last call that I wanted to highlight. First Sun Country surpassed $1 billion in revenue for the 12 months ending in June, first for our 40-year-old company. In 2Q we carried over a million scheduled service passengers for the first time in any quarter. We regained our position as the top margin carrier among the 11 carriers for the 12 months ending in second quarter. Recall that we were the first into this pilot contract cycle.