American Airlines: sharp fall in Q2 profit
(CercleFinance.com) - American Airlines reported sales of $14.
33bn for Q2, up 2% y-o-y. NB: pmt -3.5%.
At the same time, operating expenses rose by 8.9% to $12.95bn, resulting in net income of $717m, almost half the previous year's Q2 ($1,338m).
Basic EPS was thus $1.09, compared to $2.05 a year earlier.
We did not meet our initial expectations due to our previous sales and distribution strategy, and an imbalance between domestic supply and demand, AA's CEO said.
When we return to the revenue levels we know we can achieve, and combine that with our operational reliability and best-in-class cost management, we will unlock significant value, he continued.
The company estimates that its annual EPS should be between $0.70 and $1.30.
Copyright (c) 2024 CercleFinance.com. All rights reserved.
33bn for Q2, up 2% y-o-y. NB: pmt -3.5%.
At the same time, operating expenses rose by 8.9% to $12.95bn, resulting in net income of $717m, almost half the previous year's Q2 ($1,338m).
Basic EPS was thus $1.09, compared to $2.05 a year earlier.
We did not meet our initial expectations due to our previous sales and distribution strategy, and an imbalance between domestic supply and demand, AA's CEO said.
When we return to the revenue levels we know we can achieve, and combine that with our operational reliability and best-in-class cost management, we will unlock significant value, he continued.
The company estimates that its annual EPS should be between $0.70 and $1.30.
Copyright (c) 2024 CercleFinance.com. All rights reserved.