AirCal Inc.’s Quarterly Net Expected to Rise

Bolstered by a highly successful marketing campaign and a greatly expanded presence at Los Angeles International Airport, AirCal Inc. is expected to report a jump in second-quarter net income to an estimated 85 cents to 90 cents a share, from 19 cents a share during the same period a year ago, company officials said Tuesday.

The Newport Beach company is scheduled to release second-quarter results later this week.

Second-quarter revenues are expected to surpass $90 million, compared to last year’s $78.6 million, officials said.

Third- and fourth-quarter earnings are also expected to be up, the company said, and officials projected full-year revenues in the $350-million range, compared to $303.9 million last year.

Four factors accounted for the improved earnings, but chief among them were an aggressive campaign advertising “almost first class” service at coach prices and increased gate area at LAX that has grown nearly fivefold since Jan. 1, 1984, company officials said.

They also said the 29-day United Airlines strike was a factor and noted that tourism is generally improved from the pre-Summer Olympics period of a year ago, when many vacationers avoided Southern California.

AirCal officials said that current long-term debt of $30 million represents a reduction of $162 million since 1982 and that the airline plans to reduce its debt by another $10 million shortly.