American Airlines Group Inc. "American Airlines Reports First-Quarter 2022 Financial Results.
Ended the first quarter with $15.5 billion of total available liquidity. If judges reject Myanmar's objections, they will set the stage for court hearings airing evidence of atrocities against the Rohingya that rights groups and a U.N. probe say amount to breaches of the 1948 Genocide Convention. (2) Excludes 29 Boeing 737-800 mainline aircraft that are in temporary storage at March 31, 2022. Shares used for computation (in thousands): Loss per share excluding net special items: Reconciliation of Operating Loss Excluding Net Special Items, Operating loss excluding net special items, Reconciliation of Total Operating Cost per ASM Excluding Net Special Items and Fuel, Total operating expenses, excluding net special items, Total operating expenses, excluding net special items and fuel, Total operating expenses per ASM as reported, Total operating expenses per ASM, excluding net special items, Total operating expenses per ASM, excluding net special items and fuel. In particular, the consequences of the coronavirus outbreak to economic conditions and the travel industry in general and the financial position and operating results of the company in particular have been material, are changing rapidly, and cannot be predicted. Revenue from small- to medium-size businesses and customers traveling for a mix of business and leisure remains very strong and is approaching a full recovery, and corporate bookings are the highest they have been since the start of the pandemic.
American is proud to offer customers the largest network of any U.S. airline this summer, with an average of more than 5,800 peak daily departures. In the first quarter, the Company completed $317 million of open market repurchases of its $750 million unsecured senior notes maturing in June. Running a reliable operationIn the first quarter, American led major U.S. airlines in on-time departures and finished a close second in on-time arrivals while flying a schedule that was considerably larger than its closest competitor as measured by available seat miles. American Airlines also beat analyst predictions on revenue, which more than doubled year over year (YOY) thanks to strong gains in passenger revenue. Americans continued progress on the path to profitability is driven by the strength of its global network and creating value for customers through consistency, simplicity and transparency. The price of fuel, over which the Company has no control, impacts the comparability of period-to-period financial performance. Any forward-looking statements speak only as of the date hereof or as of the dates indicated in the statement.
These non-GAAP measures may not be comparable to similarly titled non-GAAP measures of other companies, and should be considered in addition to, and not as a substitute for or superior to, any measure of performance, cash flow or liquidity prepared in accordance with GAAP. The company retired its Airbus A330 fleet in 2020 as a result of the decline in demand for air travel due to the COVID-19 pandemic. The company recognized $160 million of pre-tax net special items in the first quarter of 2022, which principally included a non-cash impairment charge to write down the carrying value of the companys retired Airbus A330 fleet to the estimated fair value due to current market conditions for certain used aircraft. The Company believes these non-GAAP financial measures may also provide useful information to investors and others. The airline has taken steps to ensure it is prepared to deliver for customers during the busy summer travel season. For additional financial forecasting detail, please refer to the companys investor update, filed with this press release with the SEC on Form 8-K. This filing will also be available at aa.com/investorrelations. Demand for international travel has also picked up considerably as travel restrictions have been lifted in certain parts of the world. ", Market Screener. This filing will also be available at aa.com/investorrelations. The tables below present the reconciliations of the following GAAP measures to their non-GAAP measures: - Pre-Tax Loss (GAAP measure) to Pre-Tax Loss Excluding Net Special Items (non-GAAP measure) - Pre-Tax Margin (GAAP measure) to Pre-Tax Margin Excluding Net Special Items (non-GAAP measure) - Net Loss (GAAP measure) to Net Loss Excluding Net Special Items (non-GAAP measure) - Basic and Diluted Loss Per Share (GAAP measure) to Basic and Diluted Loss Per Share Excluding Net Special Items (non-GAAP measure) - Operating Loss (GAAP measure) to Operating Loss Excluding Net Special Items (non-GAAP measure) Management uses these non-GAAP financial measures to evaluate the Company's current operating performance and to allow for period-to-period comparisons. Earnings per share (EPS) is the portion of a company's profit allocated to each outstanding share of common stock, serving as a profitability indicator. Additionally, the tables below present the reconciliations of total operating costs (GAAP measure) to total operating costs excluding net special items and fuel (non-GAAP measure) and total operating costs per ASM (CASM) to CASM excluding net special items and fuel. Additionally, the airline has cost-effective financing in place for all aircraft deliveries through the third quarter of 2022 and is beginning to evaluate financing options for the fourth quarter of 2022 and first half of 2023. Weighted average shares outstanding (in thousands): Average aircraft fuel price including related taxes (dollars per gallon), Operating cost per ASM excluding net special items (cents), Operating cost per ASM excluding net special items and fuel (cents). Managements Discussion and Analysis of Financial Condition and Results of Operations and Part II, Item 1A. Cautionary statement regarding forward-looking statements and information. First-quarter net loss of $1.6 billion, or ($2.52) per share. Higher load factors mean that an airline's fixed costs are spread across a greater number of passengers, making the airline more profitable. Load factor recovered in FY 2021 but not yet to pre-pandemic levels. American Airlines Group Inc. (AAL)reported Q1 FY 2022 earnings results that beat analysts' expectations. Deleveraging its balance sheet remains a top priority for American, and the company is committed to significant debt reduction in the years ahead. American Airlines' load factor came in well below analyst predictions. The rouble has become the world's best-performing currency http://fingfx.thomsonreuters.com/gfx/rngs/GLOBAL-CURRENCIES-PERFORMANCE/0100301V041/index.html so far this year, boosted by measures - including restrictions on Russian households withdrawing foreign currency savings - taken to shield Russia's financial system from Western sanctions imposed after Moscow sent troops into Ukraine on Feb. 24. The company remains on track to reduce overall debt levels by $15 billion by the end of 2025. You can learn more about the standards we follow in producing accurate, unbiased content in our. Erik ten Hag has admitted it is "vital" that Manchester United strengthen their attack if they want to be successful this season. These forward-looking statements may be identified by words such as may, will, expect, intend, anticipate, believe, estimate, plan, project, could, should, would, continue, seek, target, guidance, outlook, if current trends continue, optimistic, forecast and other similar words. The company expects Q2 revenue to be 6% to 8% higher than Q2 2019. Regional includes wholly-owned regional airline subsidiaries and operating results from capacity purchase carriers. Risk Factors), and other risks and uncertainties listed from time to time in the companys other filings with the Securities and Exchange Commission. Nathan Reiff has been writing expert articles and news about financial topics such as investing and trading, cryptocurrency, ETFs, and alternative investments on Investopedia since 2016. New technologies, though, are set to redefine what it means to be a Top Gun," as algorithms, data and machines take on a bigger role in the cockpit changes hinted at in Top Gun: Maverick.. The 2021 first quarter regional operating special items, net principally included $244 million of PSP financial assistance, offset in part by a $27 million non-cash impairment charge to write down regional aircraft resulting from the retirement of the remaining Embraer 140 fleet earlier than planned. (4) Regional full-time equivalent employees only include our wholly-owned regional airline subsidiaries. Ethereum will change its monetary policy in the long-awaited 'Merge' upgrade, with the annual issuance of its ether cryptocurrency to be slashed by up to 90%.
American expects its second-quarter total revenue to be 6% to 8% higher than the second quarter of 2019. Excludes 11 Embraer 145 and one Embraer 170 regional aircraft that are in temporary storage at March 31, 2022. Shares used for computation (in thousands): Loss per share excluding net special items: Operating loss excluding net special items, Total operating expenses, excluding net special items, Total operating expenses, excluding net special items and fuel, Total operating expenses per ASM as reported, Total operating expenses per ASM, excluding net special items, Total operating expenses per ASM, excluding net special items and fuel.
The Company retired its Airbus A330 fleet in 2020 as a result of the decline in demand for air travel due to the COVID-19 pandemic. Additionally, there may be other factors of which the company is not currently aware that may affect matters discussed in the forward-looking statements and may also cause actual results to differ materially from those discussed. Corporate Communicationsmediarelations@aa.com, Investor Relationsinvestor.relations@aa.com, Condensed Consolidated Statements of Operations, (In millions, except share and per share amounts). The airline also produced record sales in March, and it was the first month since the onset of the pandemic that total revenue was above 2019 levels. Returning to profitabilityAmerican produced revenues of $8.9 billion in the first quarter, including industry-leading passenger revenues of $7.8 billion, and cargo revenues of $364 million. These non-GAAP measures may not be comparable to similarly titled non-GAAP measures of other companies, and should be considered in addition to, and not as a substitute for or superior to, any measure of performance, cash flow or liquidity prepared in accordance with GAAP. Hes got a better wardrobe than most of us. The work we have accomplished over the past two years simplifying our fleet, modernizing our facilities, fine-tuning our network, developing new partnerships, rolling out new tools for customers and team members, and hiring thousands of new team members has us very well-positioned as the industry continues to rebound.. American Airlines Group Inc. (the Company) sometimes uses financial measures that are derived from the condensed consolidated financial statements but that are not presented in accordance with GAAP to understand and evaluate its current operating performance and to allow for period-to-period comparisons. Year-over-year (YOY) describes how investors can see a difference in financials or information of a company between comparable quarters or years. Were so far encouraged by what we see right now in two ways: demand continues to grow, and grow at a meaningful pace.". The airline expects to be profitable in Q2 2022. Corporate Communicationsmediarelations@aa.com, Investor Relationsinvestor.relations@aa.com. American Airlines noted that, excluding net special items, the company was profitable in the month of March. (1) Domestic results include Canada, Puerto Rico and U.S. Virgin Islands. Such statements include, but are not limited to, statements about the companys plans, objectives, expectations, intentions, estimates and strategies for the future, the continuing availability of borrowings under revolving lines of credit, and other statements that are not historical facts. "American Airlines Group Inc. ", Bloomberg. These include white papers, government data, original reporting, and interviews with industry experts. Additionally, the airline has cost-effective financing in place for all aircraft deliveries through the third quarter of 2022 and is beginning to evaluate financing options for the fourth quarter of 2022 and first half of 2023. Load factor measures the percentage of seating capacity being filled by paying passengers. This compensation may impact how and where listings appear. (in millions, except share and per share amounts), Pre-tax margin excluding net special items, Net tax effect of net special items. American Airlines Reports First-Quarter 2022 Financial Results, American Spurs Airline Rally as Business, Overseas Travel Revive. The Russian rouble eased slightly in early trade on Friday, lacking momentum as the market awaited the central bank's rate-setting meeting that is expected to deliver the fourth cut so far this year. NotesSee the accompanying notes in the financial tables section of this press release for further explanation, including a reconciliation of all GAAP to non-GAAP financial information. Principally included mark-to-market net unrealized gains and losses associated with certain equity and other investments as well as non-cash charges associated with debt refinancings and extinguishments. Running a reliable operationIn the first quarter, American led major U.S. airlines in on-time departures and finished a close second in on-time arrivals while flying a schedule that was considerably larger than its closest competitor as measured by available seat miles. Additionally, American delivered its best-ever combined mainline and regional completion factor for the month of March. The call will be available to the public on a listen-only basis at aa.com/investorrelations. Learn more about whats happening at American by visiting news.aa.com and connect with American on Twitter @AmericanAir and at Facebook.com/AmericanAirlines. About American Airlines GroupTo Care for People on Lifes Journey. American is proud to offer customers the largest network of any U.S. airline this summer, with an average of more than 5,800 peak daily departures. The airline also produced record sales in March, and it was the first month since the onset of the pandemic that total revenue was above 2019 levels. | Source: Full-time equivalent employees at end of period: American Airlines Group Inc. (the Company) sometimes uses financial measures that are derived from the condensed consolidated financial statements but that are not presented in accordance with GAAP to understand and evaluate its current operating performance and to allow for period-to-period comparisons. The company remains on track to reduce overall debt levels by $15 billion by the end of 2025. We also reference original research from other reputable publishers where appropriate. The company does not assume any obligation to publicly update or supplement any forward-looking statement to reflect actual results, changes in assumptions or changes in other factors affecting these forward-looking statements other than as required by law. The call will be available to the public on a listen-only basis at aa.com/investorrelations. The International Court of Justice is set to deliver its decision on Myanmar's claims that the Hague-based court does not have jurisdiction and that the case filed by the tiny African nation of Gambia in 2019 is inadmissible. (1) Unless otherwise noted, operating statistics include mainline and regional operations. Investopedia requires writers to use primary sources to support their work. American expects its second-quarter total revenue to be 6% to 8% higher than the second quarter of 2019. The 2021 first quarter mainline operating special items, net principally included $1.9 billion of Payroll Support Program (PSP) financial assistance, offset in part by $168 million of salary and medical costs associated with certain team members who opted into voluntary early retirement programs offered as a result of reductions to the Company's operation due to the COVID-19 pandemic. In particular, the consequences of the coronavirus outbreak to economic conditions and the travel industry in general and the financial position and operating results of the company in particular have been material, are changing rapidly, and cannot be predicted. It expects to be profitable in Q2 2022 based on demand trends and fuel price predictions. American Airlines is expected to release Q2 2022 earnings results on July 28, 2022. We've updated our Privacy Policy, which will go in to effect on September 1, 2022. Demand for domestic business travel has steadily improved as offices have reopened and travel restrictions have been lifted. Gross domestic product (GDP) is the monetary value of all finished goods and services made within a country during a specific period. Additionally, American delivered its best-ever combined mainline and regional completion factor for the month of March. Cash payments for salary and medical costs associated with the Company's voluntary early retirement programs were approximately $90 million and $170 million for the 2022 first quarter and 2021 first quarter, respectively. The work we have accomplished over the past two years simplifying our fleet, modernizing our facilities, fine-tuning our network, developing new partnerships, rolling out new tools for customers and team members, and hiring thousands of new team members has us very well-positioned as the industry continues to rebound.. It fell sharply in FY 2020 amid the COVID-19 pandemic and related travel restrictions. The airline saw load factor of 74.4% for the quarter, well below the predicted 79.0%. Rising usage of indigo carmine as a colou, Earlier in the tour Ten Hag said that midfield and attack were priority positions to strengthen. In his speech, Mr. Hu shed light on how Huawei's newly upgraded Financial Cloud-Network Solution accelerates the cloudification of banking services and builds new connectivity for smarter and greener finance.
Guidance and investor updateAmerican will continue to match its forward capacity with observed bookings trends. The United Nations' highest court is ruling Friday on whether to proceed with a landmark case that accuses Myanmar's rulers of genocide against the country's mainly Muslim Rohingya minority. Liquidity and balance sheetAmerican ended the first quarter with $15.5 billion of total available liquidity. Demand for domestic business travel has steadily improved as offices have reopened and travel restrictions have been lifted. As an industry, there hasnt been a great history of how inflation has turned into changes in demand, said Vasu Raja, Americans chief commercial officer. Rishi Sunak: No tax cuts until late next year Johnson faces by-election humiliation Liz Truss vows to maintain spending Fraser Nelson: Candidates will be judged on character Live tracker: Check the latest Tory leadership odds, Why the end of the ECBs disastrous negative rates experiment wont save Europe Top Tory donor attacks Rishi Sunaks ridiculous tax plans FTSE 100 dips after retail sales fall Ben Marlow: HSBCs shameful enthusiasm for the Chinese regime should alarm all who value freedom Sign up here for our daily business briefing newsletter. Additionally, there may be other factors of which the company is not currently aware that may affect matters discussed in the forward-looking statements and may also cause actual results to differ materially from those discussed. The company noted that revenue from small- and medium-sized businesses and customers traveling for both leisure and business is nearly at pre-pandemic levels, with corporate bookings the highest since the start of the pandemic as well.
Cautionary statement regarding forward-looking statements and information. About American Airlines GroupTo Care for People on Lifes Journey. Such statements include, but are not limited to, statements about the companys plans, objectives, expectations, intentions, estimates and strategies for the future, the continuing availability of borrowings under revolving lines of credit, and other statements that are not historical facts. At the Huawei Intelligent Finance Summit 2022, Kevin Hu, President of Huawei's Data Communication Product Line, delivered a keynote speech entitled "Huawei's New Financial Cloud-Network, Building New Connectivity for Smarter and Greener Finance." The company recognized $160 million of pre-tax net special items in the first quarter of 2022, which principally included a non-cash impairment charge to write down the carrying value of the companys retired Airbus A330 fleet to the estimated fair value due to current market conditions for certain used aircraft. An analyst expectation is a report indicating how a company's stock might perform in the coming quarter. A Revenue Passenger Mile is a transportation industry metric that shows the number of miles traveled by paying passengers. At 0719 GMT, the rouble was 0.4% weaker against the dollar at 56.87 and eased 0.2% to 57.37 against the euro on Moscow Exchange. An archive of the webcast will be available on the website throughMay 21. Americans continued progress on the path to profitability is driven by the strength of its global network and creating value for customers through consistency, simplicity and transparency. Average aircraft fuel price including related taxes (dollars per gallon), Operating cost per ASM excluding net special items (cents), Operating cost per ASM excluding net special items and fuel (cents). (2) Latin America results include the Caribbean.
