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NEW YORK (TheStreet) -- Spirit Airlines (SAVE) - Get Free Report stock is decreasing by 8.16% to $34.78 in early afternoon trading on Tuesday, following the release of the company's financial results for the third quarter of 2015.

The discount airline reported earnings of $1.35 per share, higher by 48.4% from 91 cents per share for the year ago period.

Revenue increased by 10.6% year over year, to $574.8 million from $519.8 million during the 2014 third quarter.

Analysts had forecast earnings of $1.32 per share on revenue of $571.82 million.

"I thank our team members for their contributions to our record third quarter results, driven by both lower ex-fuel unit costs and lower fuel prices," CEO Ben Baldanza said in a statement.

The company remains on target for a full-year adjusted cost per available seat model (CASM) ex-fuel decline of roughly 6% year over year, but the airline has "several CASM pressures" facing it during 2016, Spirit's CFO Ted Christie noted.

Additionally, Stifel estimates that CASM excluding fuel will decline by 3% in 2016, noting this seems "at this point, to be closer to best-case scenario" in light of potential cost pressure from a new pilot contract, Barron's reports. Cost per available seat mile is determined by dividing operating costs by available seat miles, with lower CASM typically indicating a more profitable airline.

Separately, TheStreet Ratings team rates SPIRIT AIRLINES INC as a Buy with a ratings score of B-. TheStreet Ratings Team has this to say about their recommendation:

We rate SPIRIT AIRLINES INC (SAVE) a BUY. This is driven by several positive factors, which we believe should have a greater impact than any weaknesses, and should give investors a better performance opportunity than most stocks we cover. The company's strengths can be seen in multiple areas, such as its revenue growth, largely solid financial position with reasonable debt levels by most measures, impressive record of earnings per share growth, good cash flow from operations and expanding profit margins. We feel its strengths outweigh the fact that the company has had lackluster performance in the stock itself.

You can view the full analysis from the report here: SAVE

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