American Airlines has revised its full-year outlook to reflect economic uncertainty affecting consumer spending in the travel industry. The airline predicts an adjusted loss per share ranging from 20 cents to a profit of 80 cents in 2025, based on domestic travel demand. Bookings were significantly impacted in July, with expectations for improvement in August and September. The domestic unit revenue is projected to decline year-over-year in the third quarter due to the decrease in traveler demand, while operating costs may rise by up to 4.5 percent in the September quarter.
American Airlines expects a full-year adjusted loss of 20 cents per share to a profit of 80 cents per share for 2025, depending on economic conditions.
With the domestic travel market under stress due to economic uncertainty, American Airlines anticipates that if demand strengthens, it could meet the top of its outlook.
CEO Robert Isom noted that the domestic network is impacted by uncertainty, as passengers remain reluctant to travel due to economic factors.
American Airlines reported a decline in July bookings, but anticipates sequential improvement in August and September, forecasting July to be the low point.
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