Frontier Group Holdings, Inc. PP&E Disclosure
| Estimated Useful Life | Residual Value | ||||||||||
| Aircraft and spare engines | 25 years | 10% | |||||||||
| Flight equipment leasehold improvements | Lesser of lease term or economic life | 0% | |||||||||
| Aircraft rotable parts | Fleet life | 10% | |||||||||
| Ground property and equipment | 3 – 10 years | 0% | |||||||||
| Ground equipment leasehold improvements | Lesser of lease term or 10 years | 0% | |||||||||
| Internal-use software | 3 – 10 years | 0% | |||||||||
| Capitalized maintenance | Lesser of lease term or economic life | 0% | |||||||||
| Buildings | Lesser of 40 years or economic life | 10% | |||||||||
| Year Ended December 31, | |||||||||||||||||
| 2025 | 2024 | 2023 | |||||||||||||||
| Depreciation | $ | 91 | $ | 71 | $ | 50 | |||||||||||
| Intangible amortization | — | 1 | — | ||||||||||||||
| Total depreciation and amortization | $ | 91 | $ | 72 | $ | 50 | |||||||||||
| December 31, | |||||||||||
| 2025 | 2024 | ||||||||||
| Flight equipment | $ | 652 | $ | 461 | |||||||
| Ground and other equipment | 191 | 167 | |||||||||
| Less: accumulated depreciation | (333) | (252) | |||||||||
| Total property and equipment, net | $ | 510 | $ | 376 | |||||||
Historical Timeline
| Fiscal Year | Filed | |
|---|---|---|
| 2025 | Feb 18, 2026 | Showing above |
| 2024 | Feb 18, 2025 | |
| 2023 | Feb 20, 2024 | |
| 2022 | Feb 22, 2023 | |
| 2021 | Feb 23, 2022 | |
About PP&E Disclosures
The PP&E disclosure details a company's physical asset base — land, buildings, machinery, and equipment — along with the depreciation methods and useful life assumptions that determine how these costs flow through the income statement. Capitalization policy thresholds reveal management's judgment on the boundary between expense and asset, directly affecting both reported earnings and asset values.
Key signals: changes in estimated useful lives or depreciation methods can materially shift reported earnings without any operational change. Compare capital expenditures against depreciation expense — when capex consistently trails depreciation, the asset base may be aging and underinvested. Watch for large asset impairments or write-downs that signal overvalued carrying amounts. Asset retirement obligations reveal future environmental or decommissioning costs that are often underappreciated. Compare PP&E intensity (PP&E-to-revenue) against industry peers to assess capital efficiency and competitive positioning.