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Q1 Was a Mixed Bag for the Airlines

By May 7, 2012 No Comments

The major U.S. domestic airlines had widely varied results for the first quarter of 2012.

Delta Air Lines posted a first-quarter net profit of $124 million versus a $318 million loss for Q1 a year earlier. Excluding one-time items, the company’s pre-tax loss was $36 million, representing a $355 million improvement from the first quarter of 2011, despite $250 million in higher fuel expense. The airline posted a 10 percent increase in revenue, year-over-year, to $7.2 billion.

US Airways Group posted a first-quarter net profit of $48 million versus a $114 million loss for Q1 a year earlier. The net profit included a special $70 million credit associated with a slot transaction executed with Delta, at New York LaGuardia and Washington National airports. Passenger revenue increased 11.5 percent, year-over-year, to $2.9 billion.

United Continental Holdings posted a first-quarter net loss of $448 million versus a $213 million net loss for Q1 last year. The loss included $162 million in special costs, primarily related to United’s integration of Continental Airlines, according to the carrier. Corporate revenues increased 10 percent year-over-year.

American Airlines parent AMR posted a first-quarter net loss of $1.7 billion, versus a $436 million net loss for Q1 last year. Bankrupt AMR attributed the loss to $1.4 billion in reorganization items and an increase in fuel costs. Consolidated unit revenues increased 10.3 percent year-over-year.

Mike Cameron

Mike Cameron

Mike Cameron is the CEO of Christopherson Business Travel, which he and his wife Camille have owned since 1990. They have four children, nine grandchildren, and one great-grandchild.

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