American Airlines, in its third quarter 2024 financial report, disclosed a slight increase in total operating revenues to $13.6 billion, up 1.2% from the same period in 2023. Passenger revenue saw a marginal increase of 0.8%, while cargo revenue grew by 5.0%. Despite these gains, the company reported a net loss of $149 million, a significant improvement from the $545 million loss in Q3 2023. The reduction in net loss was attributed to a decrease in special items and lower fuel costs, which fell by 10.4% due to a 14.0% drop in the average price per gallon. Operating expenses decreased by 1.1%, with notable savings in aircraft fuel and related taxes. However, salaries, wages, and benefits increased by 3.1%, and regional expenses rose by 8.2%. The company also highlighted the ratification of a new collective...Show More

American Airlines, in its third quarter 2024 financial report, disclosed a slight increase in total operating revenues to $13.6 billion, up 1.2% from the same period in 2023. Passenger revenue saw a marginal increase of 0.8%, while cargo revenue grew by 5.0%. Despite these gains, the company reported a net loss of $149 million, a significant improvement from the $545 million loss in Q3 2023. The reduction in net loss was attributed to a decrease in special items and lower fuel costs, which fell by 10.4% due to a 14.0% drop in the average price per gallon. Operating expenses decreased by 1.1%, with notable savings in aircraft fuel and related taxes. However, salaries, wages, and benefits increased by 3.1%, and regional expenses rose by 8.2%. The company also highlighted the ratification of a new collective bargaining agreement with flight attendants, which includes a one-time payment of $514 million scheduled for November 2024. Looking ahead, American Airlines remains fully exposed to fuel price fluctuations, as it currently has no hedging contracts in place. The company also detailed its aircraft purchase commitments, with 431 new aircraft expected to be delivered through 2029.