Global site navigation

Local editions

Strong demand lifts American Airlines to profitable Q1
Business and Economy

Strong demand lifts American Airlines to profitable Q1

by  AFP 1 min read
American Airlines reported a profitable first quarter, citing persistently strong travel demand
American Airlines reported a profitable first quarter, citing persistently strong travel demand. Photo: Daniel SLIM / AFP/File
Source: AFP

PAY ATTENTION: Click “See First” under the “Following” tab to see Legit.ng News on your Facebook News Feed!

American Airlines reported a profitable first quarter Thursday and said persistently robust travel demand would translate to even stronger results in the current period.

"Demand for American's product remains strong," the company said in a press release.

"Domestic and short-haul international revenue continue to perform well and the airline has seen noticeable strength in long-haul international demand and yield performance this year."

Profits were $10 million, compared with a loss of $1.6 billion in the year-ago period.

Revenues were $12.2 billion, up 37 percent.

American projected second-quarter profits of between $1.20 and $1.40 a share, well above analyst expectations.

PAY ATTENTION: Сheck out news that is picked exactly for YOU ➡️ find the “Recommended for you” block on the home page and enjoy!

While the company confirmed its full-year profit target, it did not raise them, saying the forecasts include the anticipated impact of new labor agreements expected to lift wages.

Read also

UK bank Barclays profits from rising interest rates

The strong first-quarter results will enable American to make profit-sharing payments to employees for the first time in three years.

The company also pointed to headway on reducing debt. After entering the pandemic with higher debt levels than rivals, American said it is around 60 percent through its goal of reducing debt by $15 billion by the end of 2025.

Shares advanced 0.9 percent to $12.85 in pre-market trading.

Source: AFP

Authors:
AFP avatar

AFP AFP text, photo, graphic, audio or video material shall not be published, broadcast, rewritten for broadcast or publication or redistributed directly or indirectly in any medium. AFP news material may not be stored in whole or in part in a computer or otherwise except for personal and non-commercial use. AFP will not be held liable for any delays, inaccuracies, errors or omissions in any AFP news material or in transmission or delivery of all or any part thereof or for any damages whatsoever. As a newswire service, AFP does not obtain releases from subjects, individuals, groups or entities contained in its photographs, videos, graphics or quoted in its texts. Further, no clearance is obtained from the owners of any trademarks or copyrighted materials whose marks and materials are included in AFP material. Therefore you will be solely responsible for obtaining any and all necessary releases from whatever individuals and/or entities necessary for any uses of AFP material.

Hot: