Frontier says it will reduce scheduled capacity for the second quarter of 2025 due to falling demand.
In a recent update to its first-quarter 2025 guidance, the airline stated that revenue growth is expected to be lower than initially anticipated. This slowdown is attributed to “weakened demand” in March, which has led to industrywide “fare discounting and promotions.”
According to the ultra-low-cost carrier, this decline in consumer confidence is evident in the 17-point drop in The Conference Board Consumer Confidence Index, which fell from 109.5 at the end of 2024 to 92.9 in March 2025.
Frontier has implemented capacity reductions for the second quarter of 2025. These cuts will primarily focus on off-peak days of the week, with overall capacity expected to decrease by low single digits compared to Q2 2024.
The airline said it will “closely monitor the demand environment and make any further adjustments to capacity and related costs, as appropriate.”
Given the current economic “uncertainty,” the airline stated that it is prioritizing liquidity preservation through the management of controllable business elements, including capacity optimization, cost control and discretionary capital spending.
Frontier joins a growing list of U.S. airlines scaling back capacity amid economic uncertainty. Both Delta and United have already shared plans to trim capacity later this year.