American Airlines reports revenue in line with expectations for the second quarter. But adjusted earnings per share were worse than forecast. The stock is falling in pre-market trading.
Revenue rose 2.0 percent to $14.33 billion (14.05). The outcome compares with the Bloomberg analyst consensus of 14.38.
Adjusted earnings per share were $1.01 (1.88), which is 4.7 percent worse than analyst consensus of 1.06.
”American has a fleet, a network and a product built to deliver results, but in the second quarter we fell short of our original expectations due to our previous sales and distribution strategy and an imbalance between supply and demand for domestic flights,” said CEO Robert Isom.
The company is providing guidance for the current quarter and the full year. Adjusted earnings per share for the quarter are expected to breakeven, while for the full year they are expected to fall between $0.70-$1.30 per share, which can be compared to the consensus forecast of $1.91.
”"American has taken strong steps to improve revenue performance, but the company's previous sales and distribution strategy will continue to impact revenue performance and results for the remainder of the year," the company writes.
Source: FinWire-DI.SE
