Alaska Air Group (NYSE:ALK) reported its Q4 results on Thursday, with revenue of $2.5 billion coming in slightly below the Street estimate of $2.51 billion. EPS was $0.92, in line with expectations.

Despite the volatile environment, the company closed out the year with solid results. Early last year, the company identified three key priorities to strengthen its competitive advantage and prepare for future growth, including (1) completing its labor deals, (2) fortifying its operational reliability, and (3) executing its single fleet transitions at both Alaska and Horizon.

The company has delivered on each of these priorities. It signed five labor contracts in 2022 and finished the year with one of the industry’s best completions and on-time performance rates. Furthermore, the company flew its last A320 flight, leaving only 10 A321s in the fleet through year-end. Alaska has retired over 60 aircraft during the last few months, paving the way to a simpler and more cost-efficient fleet.