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Most companies wait for good news or a key product update before they invite investors and analysts for an event. Alaska Air Group did the opposite.

On Sept. 29, with jet fuel prices climbing, the airline gathered analysts in Seattle and laid out a plan to become a bigger, more global, and more resilient business.

Three weeks later, the third-quarter results arrived, which showed a company caught between two stories.

One is about ambition, and the other is about a very expensive gallon of fuel.

Which one wins will shape the next few years for the airline.

Alaska Air bets big on global expansion

For decades, Alaska Air (ALK) built its success on safe, reliable operations, strong customer care, structural cost advantages, and balance-sheet discipline. 

CEO Ben Minicucci said a combination of these factors made it one of the industry’s most profitable airlines for the last two decades. 

Also Read: Alaska Air CEO makes big bet on wealthy travelers

Alaska acquired Virgin America in 2016, which expanded its reach in California. The deal also taught the airline lessons about network breadth, brand strength, and loyalty.

Years later, Alaska bought Hawaiian Airlines. By then, the company had already settled on a plan called Alaska Accelerate.

The plan was to build a broader network, richer premium products, deeper customer loyalty, and a more diversified earnings base.

The deal also strengthened Alaska’s position in Hawaii, added international reach and widebody aircraft, and let it build Seattle into a global gateway at an accelerated pace. 

“Our choice was simple, disrupt ourselves or wait for the industry to do it to us,” Minicucci said at Investor Day. 

Management now builds everything around four areas: premium cabins, international routes, loyalty, and cargo. 

The goal is to lift diversified revenue to nearly 60% of the total by 2030, up from 54% in Q3. 

Fuel turns a solid quarter into a loss

Alaska reported a third-quarter GAAP net loss of $147 million, or $1.32 per share. Strip out special items and a revised tax rate, and it earned $40 million, or $0.36 per share. 

The airline increased revenue by 14% year over year to $4.2 billion. While capacity rose 2.4%, unit revenue, which measures what the airline earns per seat flown per mile, climbed nearly 12%.

At the start of 2026, Alaska forecast fuel costs at $2.50 a gallon, while the average at the end of Q3 was much higher at $3.94 a gallon.

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Moreover, prices increased from $3.10 in early July to almost $5 by the end of September. Fuel is expected to add $1.8 billion in total costs this year. 

CFO Shane Tackett expects fourth-quarter fuel between $4.65 and $4.85 a gallon, which will add $650 million in expenses. 

The company now expects a fourth quarter adjusted loss of $2 to $2.50 per share. For the full year, it expects a loss of $5 to $5.50 per share.

Premium, loyalty, and cargo carry the load

Management is bullish on growth in these verticals:

Premium revenue grew about 24.5% and now accounts for more than 36% of the total. The target is 40% by 2030.

Managed corporate revenue rose 30%, and future bookings are running about 30% above last year.

Loyalty cash payments from the Atmos Rewards program hit $721 million, up 21%.

Cargo revenue grew 9%, and Alaska targets $750 million by 2030.

Nonfuel unit costs rose 4.4%, a clear improvement from 6.5% in the second quarter.

Chief Commercial Officer Andrew Harrison said the gap between revenue and cost per seat widened to seven points in the quarter, up from two in the second.

Delta looms over Seattle

Seattle is Alaska’s biggest hub. About 41% of the airline’s capacity, or the seats it flies, is tied to this region. 

Here, Alaska holds a 53% share and offers twice the daily seats of the next largest carrier, allowing it to serve 110 destinations. 

Harrison pointed out that one of the world’s largest airlines has tried for a decade to unseat Alaska in Seattle.

“Notwithstanding that one of the largest airlines in the world has undergone a decade-long attempt to unseat our position, we have not only not given an inch, but used that challenge to grow, diversify, and unlock large and previously untapped revenue streams.”

The real test is international flights, where Delta Air Lines (DAL) is the yardstick. Harrison said Alaska has closed most of its international gap with Delta since 2024, when it had almost no long-haul flying of its own.

It now serves seven international destinations. Osaka and Papeete, Tahiti, launch next spring, and the goal is 15 international destinations by 2030, which will make it Seattle’s top long-haul international carrier.

An analyst asked how Alaska could overtake Delta. “We’re going to protect Seattle fiercely,” Minicucci replied.

Alaska Air CEO Benito Minicucci warns of higher fuel prices.Bloomberg / Getty Images

Growing pains in Hawaii and beyond

Alaska’s revenue per seat would have grown faster without some headwinds. Harrison said more than 40% of the airline’s system is facing about six points of pressure on that measure. 

About three points come from new markets, like Portland and San Diego, that are still maturing. They are growing more than 20%.

One point comes from the push into long-haul international routes, and two come from Hawaii, which has had a tough year.

Harrison said early 2027 bookings for Hawaii show double-digit unit revenue growth.

Industry capacity to Hawaii is expected to rise only about 1.9% in the first quarter and fall more than 4% in the second.

A smart plan with little room for error

I believe Alaska is making the right long-term bet.

Premium cabins, loyalty, and international routes are where airline profits are growing. In addition, Alaska can no longer win a pure price war against bigger rivals.

Alaska ended the quarter with about $3.3 billion in liquidity and a debt-to-capitalization ratio of 66%.

Tackett said a $0.75 move in fuel is worth roughly three to five turns of leverage.

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Minicucci even admitted the share buyback might have been handled differently with a crystal ball. 

Tackett said Alaska sees a path to $10 per share if fuel returns to $2.50. He expects $3 to $4 per share of improvement next year, excluding fuel. Minicucci said each $1 move in fuel could impact financials by more than $1 billion. 

Alaska expects to ask the Department of Transportation this quarter to join the Oneworld joint businesses across the Atlantic and Pacific. 

These deals let partner airlines work together on capacity and pricing. Minicucci said the goal is to put Alaska on the same footing as other major carriers.

Tackett said the company will give more specific guidance on the Q4 call. He also said Alaska is still deciding how to finance next year, with plans due over the next couple of months.

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A new phone is only as good as the apps you open on it every day.

That sounds obvious, but it’s easy to forget when the hardware is the headline. A bigger, folding screen looks great in a store demo. It looks a lot less exciting when your banking app or music player shows up stretched, squashed or framed in black bars.

Most people open the same handful of apps dozens of times a day, from email and maps to music and video. Those are the apps a new screen has to win over.

That gap matters even more when a phone costs about as much as a good laptop. Paying a premium for a big screen only makes sense if the software actually fills it.

It’s also the exact problem the first wave of reviews flagged. Now the company behind the phone is trying to close it, just as the device reaches stores.

Apple (AAPL) said on Oct. 22 that more than 50 third-party apps are optimized, or soon will be, for the iPhone Duo’s foldable design. The list includes Netflix, Zoom, Slack, Microsoft Word and Instagram.

The announcement landed one day before the Duo’s Oct. 23 launch. Apps built for the phone will carry a new “Made for iPhone Duo” badge on their App Store pages, and Apple is rolling out curated collections of Duo-ready apps and games.

Apple says 50-plus apps, including Netflix, Zoom and Slack, support or are coming soon to iPhone Duo.Benjamin Fanjoy / Getty Images

Netflix, Zoom and Word use the Duo’s bigger screen

The Duo’s inner display is 50% larger than the iPhone 18 Pro Max screen, and it brings Split View to the iPhone for the first time.

Optimized apps change their layout depending on how you hold the phone. Here is what some of the biggest names are doing, according to Apple’s list:

Netflix: Browse short Clips on the outer screen, then open the phone to keep watching on the inner display.

Zoom: Shows shared content and participants on screen together.

Microsoft Word: Puts formatting tools beside your document in a desktop-style layout.

Microsoft Outlook: Shows your inbox next to the full message.

Slack: Shows more of your workspace, with channels and threads easier to follow.

MLB: Plays the live game on the upright half while stats run below when the phone is propped up.

Netflix says the app reacts to the hardware in real time. The experience “adapts as iPhone Duo opens, closes, or turns,” said Tom Richards, Netflix’s senior director of engineering.

Related: T-Mobile adds monthly fee to a new iPhone feature for customers

Apple’s own developer chief sounded upbeat. Developers have been quick to embrace the Duo’s “larger display and new ways to interact,” said Susan Prescott, Apple’s vice president of worldwide developer relations.

Which apps aren’t ready for the iPhone Duo yet

The fine print matters here. Microsoft Word and Outlook won’t have their Duo versions at launch, with updates expected “in the coming weeks,” Gadget Review reported.

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Some of the most-used apps aren’t on Apple’s list at all. Spotify, Google Maps, Discord, X and Google Calendar weren’t properly optimized during testing, showing black bars or shrunken layouts, Marques Brownlee said in his review, Dexerto reported.

Brownlee, the YouTube reviewer known as MKBHD, called app support the Duo’s biggest weakness at launch. Most current iPhone apps still look squashed on the front screen and sparse on the inner one, AppleInsider’s William Gallagher wrote.

Developers also had little time. Apple opened Duo app submissions on Oct. 8, and developers could only test in a simulator at first, according to AppleInsider.

“Apple may see it as giving developers time, but instead it’s always giving them a dilemma,” Gallagher wrote.

Why app support matters for your wallet

This is the part I’d weigh most if you’re on the fence. The Duo starts at $1,999 for 256GB, $700 more than the iPhone 18 Pro Max.

That $700 premium buys you the bigger folding screen. If the apps you rely on most still run in a phone-sized box, you’re paying for screen space you can’t fully use yet.

In my analysis, that makes the app list a buying checklist, not a press release. A Duo owner who lives in Netflix, Zoom and Slack gets far more value on day one than someone who spends the day in Spotify and Google Maps.

Apple’s own financing shows how fast the premium adds up. The Duo runs $83.29 per month for 24 months, versus about $54 per month for the Pro Max over the same period.

How to check your apps before you buy

You don’t need to guess. A few quick steps can tell you whether the Duo fits the way you actually use your phone.

Look for the badge. Search your five most-used apps in the App Store and check for “Made for iPhone Duo” on the product page.

Browse Apple’s collections. Apple’s curated lists of Duo-ready apps and games went live on launch day.

Try it in a store. Open your own apps on a demo unit, not just the ones Apple preloads.

Wait if you can. New Duo orders already ship in January, Dexerto reported, which gives developers more time to catch up.

Apps built with the newest iOS 27.1 tools can adapt to each folding position, while older apps still run but usually show a standard iPhone layout, Gadget Review reported.

The upside for early iPhone Duo buyers

There’s real promise here. Some smaller developers moved fast, and their apps show what the Duo can do when software meets the hardware.

The Duo “feels like the full Fantastical experience from Mac and iPad, right in your pocket,” said Michael Simmons, CEO of calendar app maker Flexibits, according to iPhone in Canada.

Sports fans may like it most. With MLB’s app, fans “never have to choose between the broadcast and the box score,” said Kenny Gersh, MLB’s executive vice president of media, business development and product.

Apple says more updates will arrive throughout the year. More than 2,000 developers have already attended Apple’s in-person Duo workshops.

The Duo’s hardware is finished. Its app library is still being built, and how fast that happens decides whether $1,999 feels like a bargain or a beta test.

Related: MKBHD drops a blunt verdict on Apple’s $1,999 iPhone Duo

Costco is known for bulk groceries, discounted household essentials, and its popular Kirkland Signature products. But the warehouse club is also making waves in a different business: cruise vacations.

Costco sent more than 750,000 members on cruises during fiscal 2026, a 16% increase from the previous year, according to the company’s most recent earnings call. 

The growth came as Costco continued expanding its travel offerings and attracting members with vacation packages that emphasize value.

The results are particularly notable because Costco Travel is competing in an industry experiencing record demand. They also demonstrate how Costco can extend its membership value beyond the warehouse and give customers another reason to renew.

Costco is tapping into a booming cruise industry

The cruise industry has plenty of momentum behind it.

A record 37.2 million passengers took ocean cruises worldwide in 2025, according to the Cruise Lines International Association, and about 90% of surveyed cruisers said they intended to sail again.

“Cruising is sailing toward the future with exceptional momentum and strength,” said Bud Darr, president and CEO of CLIA. “Record demand, growing interest from new cruisers and sustained confidence in the cruise experience are being matched by innovation, technological advancements, and destination partnerships.”

Also read: Costco reveals which members spend the most money

The industry’s growth provides a favorable backdrop for Costco, though the company’s results also extend beyond cruises. Management said vacation packages, cruises, and car rentals all grew by double digits during fiscal 2026.

“Our Costco Travel business continues to add exciting new packages and worldwide destinations,” said CEO Ron Vachris.

That expansion gives members more opportunities to book trips through a retailer they already trust for competitive prices on everyday purchases.

The scale of Costco’s cruise business is striking, too. 

During the earnings call, management highlighted one member who booked a 154-night Regent Seven Seas cruise costing more than $218,000. The customer will receive an $8,800 Costco Shop Card at the conclusion of the trip.

The booking illustrates how Costco Travel can appeal to customers across a wide range of vacation budgets, from conventional cruises to expensive, extended luxury voyages.

It also shows how the retailer can use member rewards to make even high-priced travel purchases more attractive.

More than 750,000 Costco members took cruises through the company in the fiscal year 2026.Image source: Holland America Line

A smart play for Costco

Costco’s travel business fits neatly into the company’s broader strategy of making memberships worthwhile through savings and exclusive perks.

Many of Costco’s travel packages include digital Costco Shop Cards, resort or shipboard credits, and additional benefits. Those perks can make a meaningful difference on expensive vacations. 

Executive members also earn an annual 2% reward on eligible Costco Travel purchases after travel is completed, subject to exclusions and a $1,250 annual cap.

The potential savings are especially relevant as travelers look for ways to stretch their vacation budgets without giving up the experiences they want.

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Costco’s model offers another advantage: It connects travel spending with a membership customers already use for groceries, gasoline, and household goods. That creates opportunities to demonstrate value throughout the year, rather than relying solely on warehouse purchases.

The strategy also supports Costco’s efforts to keep members engaged and encourage renewals. The more ways customers can use their memberships, the more reasons they have to maintain them.

Cruises are particularly well suited to this approach because they often involve substantial up-front spending. A package that includes additional credits or rewards can make a booking through Costco appealing to members comparing competing offers.

Plus, with global cruise demand soaring and repeat interest remaining strong, Costco now has a favorable market to expand its offerings.

Maurie Backman owns shares of Costco.

Related: Costco is getting a new kind of member