Airlines News: AMR Posts Earnings, Southwest Hikes Fares
ETF Channel Staff - Wednesday, April 20, 11:26 AMAmerican Airlines parent AMR Corp. (AMR) reported a narrower loss for its fiscal first quarter today.
The company said the loss totaled $436 million, or $1.31 per share, compared to a loss of $505 million, or $1.52 per share, in last year’s first quarter.
On an adjusted basis, the airline’s loss totaled $1.21 per share, better than analysts had expected.
Revenue rose 9.2%, to $5.5 billion, but 24% higher fuel costs dampened results.
AMR said it plans to cut fourth quarter capacity by 1%.
Elsewhere in the airline sector, Southwest Airlines (LUV), which is due to report earnings results tomorrow, has reportedly raised its fares by $5 each way.
Delta (DAL) said this week it has raised fares $10 each way.
United Continental (UAL), Alaska Air (ALK) and All Nippon join Southwest and Delta in the top holdings of the fund.
The Airline Shares (FLYX), based on the NYSE Arca Airline Index, is trading flat on Wednesday.
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