american airlines Although the company fell into the red in the first quarter, its outlook for the current fiscal year exceeded analysts’ expectations.
American Airlines expects second-quarter adjusted earnings per share of $1.15 to $1.45, well above the average analyst estimate of $1.18 compiled by LSEG. ing. American Airlines reiterated its outlook for full-year earnings of $2.25 to $3.25 per share.
“While we are not satisfied with our first quarter results, we have a solid foundation in place and remain on track to achieve our full-year financial goals,” Chief Executive Officer Robert Isom said in a statement. ” he said.
American Airlines said it expects second-quarter capacity to increase 7% to 9% from a year ago and unit revenue to decline 1% to 3%.
It’s similar to southwest, united and alaska, American Airlines is affected by Boeing’s latest quality control and safety crisis. Isom said American Airlines will receive seven fewer planes from Boeing than previously expected, adding that he does not expect a significant impact from the delays.
“What I want to say is Boeing hasn’t changed since the last time we talked,” Isom said in an interview with CNBC. “Please get your act together and deliver.”
Here’s how American Airlines’ first quarter performance compared to Wall Street’s expectations compiled by LSEG:
- Loss per share: Adjusted loss of 34 cents, expected loss of 29 cents.
- Revenue: $12.57 billion vs. $12.60 billion expected
American Airlines posted a first-quarter loss of $312 million, or 48 cents per share. In comparison, he had a profit of $10 million, or 2 cents per share, in the same period last year. Adjusting for one-time items, including costs related to new labor contracts, American Airlines suffered a loss of $226 million, or 34 cents per share.
Operating expenses increased nearly 7%, including an 18% increase in payroll and related expenses.
Sales increased 3.1% to $12.57 billion.
—CNBC’s Phil LeBeau contributed to this report.
