Followers | 605 |
Posts | 69362 |
Boards Moderated | 1 |
Alias Born | 01/09/2007 |
Thursday, July 22, 2021 10:47:22 AM
U.S. carriers American Airlines (NASDAQ:AAL) and Southwest Airlines (NYSE:LUV) on Thursday posted quarterly profits helped by a bookings rebound and federal aid, and forecast improving revenue trends in the months ahead as more people return to travel.
U.S. airlines, which received $54 billion in COVID-19 relief for workers' salaries and also took on debt to survive a deep industry crisis, are now deleveraging balance sheets and rushing to service a rebound.
"We are in the midst of an unprecedented recovery," American Chief Executive Doug Parker said on an investor call where the company also outlined plans to pay down about $15 billion of debt by the end of 2025.
American, the world's largest airline, said it has not seen any decline in booking related to a recent uptick in COVID-19 infection rates, echoing recent comments by Delta Air Lines (NYSE:DAL) and United Airlines.
Domestic leisure travel has nearly recouped 2019 levels, and American said it sees domestic business travel fully recovering next year.
International travel, however remains beset by entry bans, though American said that whenever restrictions are lifted, there is a "quick and dramatic increase in bookings."
Revenues at American, the world's largest airline, jumped 361% to $7.48 billion, beating forecasts, as it carried 44 million passengers, five times more than a year ago.
The quick ramp up has posed operations headaches for both American and Southwest, which had to cancel flights due to labor shortages. Both have recalled pilots and flight attendants and are renewing hiring plans.
Southwest Chief Executive Gary Kelly said the company is "intensely focused on improving our operations as we restore our network to meet demand."
Total operating revenue at Southwest, which is more focused on domestic travel, rose nearly 300% to $4 billion from a year earlier but fell about 32% from 2019.
More flying and higher fuel prices will weigh on the airline's costs in the third quarter, it warned.
American, the world's largest carrier, turned a $19 million profit for the second quarter to June, including federal aid, compared with a loss of $2.07 billion, a year earlier.
Southwest posted net income of $348 million, or $0.57 per share, also including aid. Excluding items, Southwest's net loss was larger than analysts had forecast, hitting shares.
However, both airlines said they were profitable in the month of June even without federal funds, a first since the pandemic began in early 2020.
Alaska Air (NYSE:ALK) Group on Thursday reported a $397 million profit, or $3.15 per share, in the second quarter, including aid.
Recent JBLU News
- JetBlue Announces Puerto Rico Expansion, New Mint Service to Three Cities, and Three New Destinations • Business Wire • 05/08/2024 03:20:00 PM
- JetBlue and Etihad Airways Announce Loyalty Partnership as part of Codeshare Agreement • Business Wire • 05/07/2024 12:00:00 PM
- JetBlue Elevates Seamless Living in the Sky with Blueprint by JetBlue™: A Personalized Inflight Experience • Business Wire • 04/24/2024 01:00:00 PM
- Coca-Cola and Microsoft Sign Billion-Dollar Agreement, Apple Event Set for May 7, and More News • IH Market News • 04/24/2024 11:28:02 AM
- Futures Pointing To Extended Rebound On Wall Street • IH Market News • 04/23/2024 01:11:27 PM
- U.S. Index Futures Rise in Pre-Market, Oil Prices Dip Slightly • IH Market News • 04/23/2024 11:26:41 AM
- JetBlue Announces First Quarter 2024 Results • Business Wire • 04/23/2024 10:30:00 AM
- JetBlue Announces Leadership Appointments • Business Wire • 04/18/2024 04:00:00 PM
- JetBlue Announces Webcast of First Quarter 2024 Earnings Conference Call • Business Wire • 04/04/2024 08:01:00 PM
- Exxon Mobil Forecasts Earnings Decline, Twilio Seeks Board Tenure Changes, and More News • IH Market News • 04/04/2024 11:30:20 AM
- JetBlue Expands Transatlantic Service to Paris With Launch of Daily Nonstop Flight From Boston • Business Wire • 04/04/2024 12:52:00 AM
- JPMorgan boosts dividends, Chipotle unveils 50:1 stock split, and Latest News • IH Market News • 03/20/2024 11:15:48 AM
- JetBlue Flights to the Emerald Isle Taking Off Today • Business Wire • 03/14/2024 01:21:00 AM
- JetBlue to Webcast Presentation at J.P. Morgan Industrials Conference • Business Wire • 03/08/2024 02:00:00 PM
- AMD Hits Regulatory Roadblock, GitLab’s Stock Tumbles on Disappointing Earnings, and Latest News • IH Market News • 03/05/2024 11:05:08 AM
- Form 3 - Initial statement of beneficial ownership of securities • Edgar (US Regulatory) • 03/04/2024 10:41:09 PM
- Form 8-K - Current report • Edgar (US Regulatory) • 03/04/2024 01:31:06 PM
- JetBlue Announces Termination of Merger Agreement with Spirit • Business Wire • 03/04/2024 01:30:00 PM
- Form 4 - Statement of changes in beneficial ownership of securities • Edgar (US Regulatory) • 02/26/2024 10:40:15 PM
- Form 4 - Statement of changes in beneficial ownership of securities • Edgar (US Regulatory) • 02/26/2024 10:37:10 PM
- Form 4 - Statement of changes in beneficial ownership of securities • Edgar (US Regulatory) • 02/26/2024 10:31:39 PM
- Form 4 - Statement of changes in beneficial ownership of securities • Edgar (US Regulatory) • 02/26/2024 10:27:58 PM
- Form 4 - Statement of changes in beneficial ownership of securities • Edgar (US Regulatory) • 02/26/2024 10:21:35 PM
- Form 4 - Statement of changes in beneficial ownership of securities • Edgar (US Regulatory) • 02/26/2024 10:18:38 PM
- Form 4 - Statement of changes in beneficial ownership of securities • Edgar (US Regulatory) • 02/26/2024 10:14:05 PM
Avant Technologies Equipping AI-Managed Data Center with High Performance Computing Systems • AVAI • May 10, 2024 8:00 AM
VAYK Discloses Strategic Conversation on Potential Acquisition of $4 Million Home Service Business • VAYK • May 9, 2024 9:00 AM
Bantec's Howco Awarded $4.19 Million Dollar U.S. Department of Defense Contract • BANT • May 8, 2024 10:00 AM
Element79 Gold Corp Successfully Closes Maverick Springs Option Agreement • ELEM • May 8, 2024 9:05 AM
Kona Gold Beverages, Inc. Achieves April Revenues Exceeding $586,000 • KGKG • May 8, 2024 8:30 AM
Epazz plans to spin off Galaxy Batteries Inc. • EPAZ • May 8, 2024 7:05 AM