American Airlines boosts profit outlook on strong demand, cheaper fuel
- American Airlines raised its adjusted earnings outlook for the second quarter.
- The airline cited strong travel demand and lower fuel prices.
- American’s CEO is scheduled to speak at an investor conference at Bernstein later Wednesday.
An American Airlines flight takes off from Miami International Airport on May 2, 2023 in Miami, Florida.
Joe Raedle | Getty Images
American Airlines raised its adjusted earnings outlook for the second quarter thanks to strong travel demand and lower fuel prices.
Adjusted earnings per share will be between $1.45 and $1.65, US estimates Wednesday, up from a previous forecast of $1.20 to $1.40 per share. The Fort Worth, Texas-based airline said it now expects unit revenue in the three months ending June 30 to come in 1% to 3% lower than the same period last year, an improvement from an earlier forecast for a decline of as much like 4%.
American’s shares rose more than 2% in premarket trading.
American Airlines CEO Robert Isom is scheduled to speak at the Bernstein Strategic Decision Conference at 4:30 PM ET on Wednesday.
He is likely to face questions about a new preliminary labor agreement with pilots and whether the airline will appeal a federal judge’s ruling this month that struck down America’s Northeast partnership with JetBlue Airways.
The airline is scheduled to report results for the second quarter at the end of July.
