American Airlines First Quarter Profit Soars

An American Airlines jet at JFK

American Airlines Group announced financial results for the first quarter of 2015.

The airline reported a profit of $932 million, almost double what it reported for the same period in 2014  Total revenue was down 1.7% to $9.8 billion.

American said it expects to cut capacity in 2016 by 0.6%, although it continues to forecast that 2015 capacity will rise around 2% compared with 2014, driven more by domestic than international growth.

American said it took $311 million in special charges in the quarter, including $223 million in merger-related integration  expenses, $99 million in charges relating to the airine’s new pilot joint collective bargaining agreement, and $6 million in net credits for bankruptcy-related items.

American Airlines Group was formed by the merger of American Airlines’ parent AMR and US Airways Group late 2013.

(Photo: Accura Media Group)