American Airlines jets parked at LaGuardia International Airport in New York.
Adam Jeffery | CNBC
American Airlines said on Tuesday that its third-quarter sales may have come in better than previously expected, shares edged higher on signs that a strong summer has helped it cover costs skyrocketed.
US shares were up nearly 6% in pre-market trading.
The airline’s revenue for the three months ending September 30 will increase 13% year-on-year, bringing in $11.91 billion, the airline said. That guidance is an increase from the July forecast for a 10% to 12% increase. The US forecasts a pre-tax profit margin of 4.5%, higher than the previous estimate of no more than 4%.
While revenue will likely be higher than 2019 levels, the airline says it has flown 9.6% fewer flights than it did three years ago, near the low end of its range – another demonstration that passengers are pay more to fly.
American is set to report quarterly results before the market opens on October 20. Competitors Delta Airlines industry reporting begins early Thursday.
