Segment Reporting

6 Months Ended

Jun. 30, 2026

Segment Reporting

Segment Reporting

(6) Segment Reporting

GAAP requires disclosures related to components of a company for which separate financial information is available to, and regularly evaluated by, the Company’s chief operating decision maker when deciding how to allocate resources and in assessing performance.

The Company’s two reportable segments consist of (1) the operations of SkyWest Airlines and SWC (collectively, “SkyWest Airlines and SWC”) and (2) SkyWest Leasing activities.

The Company’s chief operating decision maker analyzes the profitability of aircraft separately from the profitability of the Company’s capital deployed for new aircraft and the related aircraft financings, including the Company’s E175 fleet. The SkyWest Airlines and SWC segment includes revenue earned under the applicable capacity purchase agreements attributed to operating such aircraft and the respective operating costs, and revenue and operating expenses attributed to prorate agreements and airport services agreements. The SkyWest Leasing segment includes applicable revenue earned under the applicable capacity purchase agreements attributed to the ownership of new aircraft acquired through the issuance of debt and the respective depreciation and interest expense of such aircraft. The SkyWest Leasing segment also includes the activity of leasing regional jet aircraft and spare engines to third parties and other activities. The SkyWest Leasing segment’s total assets and capital expenditures include new aircraft acquired through the issuance of debt and assets leased to third parties.

The chief operating decision maker assesses performance for each segment and decides how to allocate resources based on income before income taxes. The chief operating decision maker uses the segment profit or loss measure when assessing performance of the segment and monitors budget versus actual results to allocate resources for each segment predominantly in the annual budget and forecasting process.

The following represents the Company’s segment data for the three-month periods ended June 30, 2026 and 2025 (in thousands).

	Three months ended June 30, 2026
	SkyWest Airlines		SkyWest
	and SWC		Leasing		Consolidated
Operating revenues	$	940,655	$	162,096	$	1,102,751
Salaries, wages and benefits		426,161		665		426,826
Aircraft maintenance, materials and repairs		231,121		11,807		242,928
Depreciation and amortization		40,434		52,063		92,497
Interest expense		3,758		21,168		24,926
Other segment expense (income) items(1)		180,988		(4,268)		176,720
Segment profit(2)	$	58,193	$	80,661	$	138,854
Total assets (as of June 30, 2026)	$	3,345,993	$	4,066,237	$	7,412,230
Capital expenditures (including non-cash)	$	117,868	$	23,119	$	140,987
Deposits paid on aircraft	$	—	$	5,845	$	5,845

	Three months ended June 30, 2025
	SkyWest Airlines		SkyWest
	and SWC		Leasing		Consolidated
Operating revenues	$	869,336	$	165,891	$	1,035,227
Salaries, wages and benefits		389,578		665		390,243
Aircraft maintenance, materials and repairs		216,609		22,276		238,885
Depreciation and amortization		39,005		51,145		90,150
Interest expense		3,187		23,379		26,566
Other segment expense (income) items(1)		130,696		(4,429)		126,267
Segment profit(2)	$	90,261	$	72,855	$	163,116
Total assets (as of June 30, 2025)	$	3,086,209	$	4,087,874	$	7,174,083
Capital expenditures (including non-cash)	$	74,315	$	65,158	$	139,473
Deposits paid on aircraft	$	—	$	25,938	$	25,938

(1) Other segment items include aircraft fuel; airport related expenses; other operating expenses consisting primarily of property taxes, hull and liability insurance, simulator costs, aircraft rentals, crew per diem and crew hotel costs; interest income and other income (expense), net.

(2) Segment profit is equal to income before income taxes.

The following represents the Company’s segment data for the six-month periods ended June 30, 2026 and 2025 (in thousands).

	Six months ended June 30, 2026
	SkyWest Airlines		SkyWest
	and SWC		Leasing		Consolidated
Operating revenues	$	1,795,837	$	320,091	$	2,115,928
Salaries, wages and benefits		847,600		1,330		848,930
Aircraft maintenance, materials and repairs		437,613		18,342		455,955
Depreciation and amortization		77,780		104,933		182,713
Interest expense		6,493		42,898		49,391
Other segment expense (income) items(1)		342,648		(10,333)		332,315
Segment profit(2)	$	83,703	$	162,921	$	246,624
Total assets (as of June 30, 2026)	$	3,345,993	$	4,066,237	$	7,412,230
Capital expenditures (including non-cash)	$	228,548	$	42,568	$	271,116
Deposits paid on aircraft	$	—	$	12,302	$	12,302

	Six months ended June 30, 2025
	SkyWest Airlines		SkyWest
	and SWC		Leasing		Consolidated
Operating revenues	$	1,670,987	$	312,695	$	1,983,682
Salaries, wages and benefits		766,224		1,330		767,554
Aircraft maintenance, materials and repairs		418,085		29,900		447,985
Depreciation and amortization		76,753		102,843		179,596
Interest expense		6,168		47,516		53,684
Other segment expense (income) items(1)		259,226		(8,197)		251,029
Segment profit(2)	$	144,531	$	139,303	$	283,834
Total assets (as of June 30, 2025)	$	3,086,209	$	4,087,874	$	7,174,083
Capital expenditures (including non-cash)	$	193,231	$	65,158	$	258,389
Deposits paid on aircraft	$	—	$	31,078	$	31,078

(1) Other segment items include aircraft fuel; airport related expenses; other operating expenses consisting primarily of property taxes, hull and liability insurance, simulator costs, aircraft rentals, crew per diem and crew hotel costs; interest income and other income (expense), net.

(2) Segment profit is equal to income before income taxes.