Spirit Airlines has recently announced that it will be delaying the issuance of its Q1 quarterly report following its Chapter 11 bankruptcy. The airline has filed a notice to inform stakeholders, including the United States Securities and Exchange Commission (SEC), of the delay.

The airline explained that following its exit from the reorganization process, it will have to apply new accounting to its financial statements. This requires the company to establish a new reporting entity and separate its reporting between the predecessor and successor companies.

Due to these changes, Spirit Airlines stated that it will be unable to file its quarterly report for the three-month period that ended on March 31 by the prescribed due date. The company’s emergence from Chapter 11 bankruptcy in March has triggered a “fresh start” for its accounting, requiring the determination of new fair values for the new entity’s assets, liabilities, and equity.

The airline acknowledged that these complex calculations and its resource limitations have delayed the preparation of the financial statements. However, it reassured stakeholders that it is working diligently to file the Form 10-Q and expects to do so by the end of May 2025.

In its annual report filed in March, Spirit Airlines reported a net loss of $1.2 billion for 2024. The company also disclosed that it had almost $1 billion in cash reserves at the end of the year. These losses were attributed to the airline’s capacity cuts and increased costs.

Despite the losses, when Spirit Airlines emerged from Chapter 11 on March