A 105.8 percent increase in operating revenues and a 58.5 percent increase in net income were the whopping results that highlighted second quarter earnings of SkyWest (SKYW), which is still benefiting from last September's acquisition of Atlantic Southeast Airlines (ASA). Operating revenues were $790.4 million for the quarter ended June 30, compared to $384 million for the same period last year. The company also reported net income of $39.3 million, compared to $24.8 million of net income in the year-ago period. These results also include the impact of SkyWest's secondary offering of four million shares of common stock, completed in April, which yielded $99.3 million in net proceeds used to pay off two revolving credit lines and for working capital.

At the close of the quarter, cash grew from $429.8 million from $345.3 million in the first quarter. The airline expects strong cash flow going forward will fund current growth, as well new fee-for-departure contracts from at least four companies that still remain in play. During its recent conference call, the company said that while it competed effectively for the Continental Express business that recently went to Republic Holdings's Chautauqua Airlines (RJET), in the end SkyWest decided that the Continental contract did not fit with the airline's -- or its employees' -- risk profile and, consequently, decided not to pursue it to the end.

Operational issues for the airline included continued problems at Chicago; those on the West Coast have largely been resolved with United's operational changes there. However, a runway closure at LAX may embroil operations in new complications. Weather played a large role at Atlanta, where the company runs 80 percent of its ASA operations for Delta.

SkyWest reported a 3.3 percent increase in RASM and increased fuel reimbursement from its major partners. Total operating expenses and interest per ASM for the second quarter (ex fuel charges of $263.9 million), decreased by 3.2 percent, which resulted from the acquisition of larger and newer regional jet aircraft since June 2005. Total ASMs increased 99.9 percent to 5.07 billion from the year-ago quarter, largely owing to fleet growth to 397 aircraft. As of June 30, the company's fleet consisted of 323 RJs (205 for Delta and 118 for United), 62 Embraer Brasilia turboprops (48 for United and 14 for Delta), and 12 ATR 72 (Delta). Its United/Delta flying split now stands at 43 percent and 67 percent, respectively.

For the six months, SkyWest reported operating revenues of $1.53 billion, an 111.7 percent increase. Net nearly doubled to $73.9 million, compared to $43.5 million in the year- ago period. SkyWest carried 8,144,992 million passengers for the quarter, up 96.3 percent. RPMs increased 112.3 percent to 4.054 billion. Load factor rose 4.7 points to 80 percent, while breakeven load factor rose 5.8 points to 73.8 percent. Yield per RPM dropped 2.5 percent to 19.3 cents. CASM rose 5.1 percent to 14.4 cents.

Year to date, it carried 15,553,706, up 97.6 percent. RPMs grew 117.4 percent to 7.7 billion and ASMs grew 105 percent to 9.7 billion. Load factor increased 4.5 points to 78.8 percent, while breakeven load factor jumped 5.3 points to 72.9 percent. Yield per RPM declined two percent to 19.7 cents, while RASM rose 3.3 percent to 15.7 and CASM jumped 5.1 percent to 14.5 percent.