American Airlines Group Inc. reported a smaller-than-expected loss, bucking the pattern set by its two largest rivals, and predicted a “continued recovery” from an unprecedented collapse in demand.
The company’s adjusted loss of $4.32 a share in the first quarter was slightly better than the $4.34 deficit expected by analysts. Revenue tumbled 53% to $4.01 billion, American said in a statement Thursday. Wall Street expected $4.04 billion, according to the average of analyst estimates compiled by Bloomberg.
American’s performance offered investors a measure of relief after the disappointing results of Delta Air Lines Inc. and United Airlines Holdings Inc., which cooled enthusiasm about the industry after a stock rally earlier this year. American announced plans earlier this month to ramp up its summer schedule and restart pilot hiring as flying rebounds.
“With the momentum underway from the first quarter, we see signs of continued recovery,” Chief Executive Officer Doug Parker said in the statement.
American rose 2.3% to $21.50 ahead of regular trading in New York. The shares climbed 33% this year through Wednesday, the most on a Standard & Poor’s index of the five largest US carriers. American still lags the index since the start of the pandemic.
The Fort Worth, Texas-based carrier earlier said it would fly more than 90% of its 2019 domestic seat capacity and 80% of international this summer, and would add or resume 150 routes to mountain and beach destinations. The airline said Tuesday it would hire about 900 pilots through 2022 as flying rebounds.
{{/usCountry}}The Fort Worth, Texas-based carrier earlier said it would fly more than 90% of its 2019 domestic seat capacity and 80% of international this summer, and would add or resume 150 routes to mountain and beach destinations. The airline said Tuesday it would hire about 900 pilots through 2022 as flying rebounds.
{{/usCountry}}The return of lucrative international and corporate trips remains uncertain as travel restrictions continue to change. American is dropping some flights to South America after rising Covid-19 cases reduced demand. And it won’t fly nonstop this summer from the US to Shannon, Ireland; Edinburgh, or Hong Kong.
Follow more stories on Facebook and Twitter
This story has been published from a wire agency feed without modifications to the text. Only the headline has been changed.Catch your daily dose of Fashion, Taylor Swift, Health, Festivals, Travel, Relationship, Recipe and all the other Latest Lifestyle News on Hindustan Times Website and APPs.
Catch your daily dose of Fashion, Taylor Swift, Health, Festivals, Travel, Relationship, Recipe and all the other Latest Lifestyle News on Hindustan Times Website and APPs.