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Free Research Report as American Airlines Achieved Record First Quarter Operating Revenues

Stock Monitor: Controladora Vuela Compania de Aviacion Post Earnings Reporting

LONDON, UK / ACCESSWIRE / May 18, 2018 / If you want access to our free earnings report on American Airlines Group Inc. (NASDAQ: AAL), all you need to do is sign up now by clicking the following link www.active-investors.com/registration-sg/?symbol=AAL. The Company reported its first quarter fiscal 2018 operating and financial results on April 26, 2018. The world's largest airline beat earnings estimates and recorded a sixth consecutive quarter of positive unit growth. Register today and get access to over 1,000 Free Research Reports by joining our site below:


Active-Investors.com is currently working on the research report for Controladora Vuela Compania de Aviacion, S.A.B. de C.V. (NYSE: VLRS), which also belongs to the Services sector as the Company American Airlines Group. Do not miss out and become a member today for free to access this upcoming report at:


Active-Investors.com is focused on giving you timely information and the inside line on companies that matter to you. This morning, American Airlines Group most recent news is on our radar and our team decided to put out a fantastic report on the company that is now available for free below:


Earnings Highlights and Summary

For Q1 2018, American Airlines' total revenues jumped 5.9% to a first quarter record of $10.40 billion on a y-o-y basis compared to $9.82 billion in Q1 2017, driven by a robust demand for air travel. The Company's revenue numbers lagged analysts' estimates of $10.41 billion.

American Airlines' cargo revenues jumped 18.8% to $227 million in the reported quarter, driven primarily by a growth in volume of 10.9% and an increase in cargo yield of 7.1%. The Company's other revenues were up 10.0% to $694 million on a y-o-y basis.

For Q1 2018, American Airlines' passenger revenue per available seat mile (PRASM) grew in all geographic regions, with a notable strength in Latin America. The Company's total revenue per available seat mile increased by 3.5% in the reported quarter compared to the year ago same period, on a 2.3% increase in total available seat miles. This marked the Company's sixth consecutive quarter of positive unit revenue growth and the second quarter in a row where all geographic regions showed PRASM growth on a y-o-y basis.

During Q1 2018, American Airlines' total operating expenses jumped 9.8% to $10.0 billion on a y-o-y basis, driven by an increase in consolidated fuel expenses of 25.7%. If the fuel prices remained unchanged versus Q1 2017, the Company's total expenses would have been $412 million lower.

American Airlines' total cost per available seat mile (CASM) was $0.1515 in Q1 2018, up 7.3% on a y-o-y basis. Excluding fuel and special items, the Company's total CASM was $0.1157 in the reported quarter, up 2.8% versus the year ago comparable period.

For Q1 2018, American Airlines reported a pre-tax profit of $273 million compared to $535 million in Q1 2017. On a non-GAAP basis, the Company posted a pre-tax profit of $468 million compared to $661 million in the year earlier corresponding quarter.

American Airlines recorded a net income of $186 million, or $0.39 per diluted share, in Q1 2018 compared to $340 million, or $0.67 per diluted share, in Q1 2017. On a non-GAAP basis, the Company posted earnings per share (EPS) of $0.75 versus $0.82 in the year earlier same quarter. American Airlines' earnings beat Wall Street's estimates of $0.72 per share.

Cash Matters

During Q1 2018, American Airlines returned $498 million to its shareholders through share repurchases and dividends, bringing the total to $11.9 billion since mid-2014. These repurchases have reduced the Company's share count by 38% to 467.4 million shares as of March 31, 2018.

Fleet Update

In April 2018, American Airlines announced an order for 47 new Boeing 787 widebody aircraft, consisting of 22 787-8s scheduled to begin arriving in 2020, and 25 787-9s scheduled to begin arriving in 2023. The 787-8s will replace the Company's Boeing 767-300s, while later 787-9 deliveries will replace Airbus A330-300s and older 777-200 widebody aircraft.

Furthermore, American Airlines deferred 40 737 MAX aircraft and 3 Airbus A321neo aircraft. The Company noted that these changes will better align future aircraft deliveries with planned aircraft retirements, and reduce planned capital expenditure by approximately $200 million in 2019 and $800 million in 2020.


American Airlines updated its adjusted EPS to be between $5.00 and $6.00 for FY18. The Company is expected to commit $1.8 billion in non-aircraft capital expenditure projects for FY18.

Stock Performance Snapshot

May 17, 2018 - At Thursday's closing bell, American Airlines Group's stock slightly declined 0.98%, ending the trading session at $43.63.

Volume traded for the day: 5.32 million shares.

After yesterday's close, American Airlines Group's market cap was at $20.61 billion.

Price to Earnings (P/E) ratio was at 7.83.

The stock has a dividend yield of 0.92%.

The stock is part of the Services sector, categorized under the Major Airlines industry.


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