AIR SERVICE

Consumer demand for air travel remains robust with the International Air Transport Association predicting the global airline industry will generate $30.5 billion in net income this year. The TSA is also experiencing record-high checkpoint volumes in 2024. Through October, daily average throughput rose 5.4% from 2023.

However, while sentiment is broadly positive, airlines continue to face several headwinds. “U.S. airline capacity continues to be trimmed," said Jamie Baker at JP Morgan. "Based on current schedules, domestic capacity growth in the back half of the year is estimated to be a measly ~3.5%.” 

While many airlines are seeking to expand their fleet, aircraft manufacturers are experiencing supply chain issues and struggling to fulfill orders on time. Against this backdrop, transatlantic travel remains strong, with U.S. consumers — buoyed by a strong dollar — are flocking to destinations across Europe. Business travel is picking up too: Delta Air Lines recently reported that corporate bookings were up 14% in the first quarter of 2024. “Our prevailing thesis is that premium and international demand for air travel remain in the lead,” Baker said.

Based on current data and estimates, PSP is on track for a record number of one-way onboards at just over 1.6 million passengers versus 1.599 million passengers in 2023. PSP’s seat capacity for the fourth quarter is expected to increase 1% versus 2023. Looking further ahead, PSP’s January to April 2025 seat capacity is forecasted to grow 6% compared to the same time in 2023. This growth is highlighted by new, nonstop service on United Airlines from Washington Dulles (IAD), Porter Airlines from Toronto (YYZ) and Delta Airlines from New York (JFK). PSP is also excited to welcome back Frontier Airlines who will be flying to Denver (DEN) and San Francisco (SFO). Additional service also includes more frequency from Flair Airlines’ service to Vancouver (YVR), Allegiant increasing Bellingham (BLI) and Avelo adding more service to Redmond (RDM).

PSP recently unveiled the Agua Caliente Concourse, marking the re-naming of the airport’s RJ Concourse. In a first-of-its-kind event in the United States airport industry, this marks the beginning of a series of planned installations and upgrades in this concourse, which include:

• Nine Cities Craft restaurant
• A new self-serve retail shop
• Newly designed lounge seating, workstations, and numerous charging towers

ABOVE: Agua Caliente Representatives; L to R; Saverio R. Scheri III, Reid D. Milanovich, Candace Patencio Anderson, Savana R. Saubel, John R. Preckwinkle III.

PSP also recently announced it has been awarded a $6 million grant from the Federal Aviation Administration (FAA) to upgrade its outbound baggage handling system and expand the area housing this critical infrastructure, ensuring efficient processing as PSP continues to welcome record numbers of passengers.

Below is the latest data for PSP. Click HERE or the image below to view the multiple-page PDF report.

For more information on Air Service development, click here.

If you have any questions about air service, please contact:
Gary Orfield, Director of Tourism Development​
gary@visitgreaterps.com | 760.969.1335