Global airline American Airlines (NASDAQ: AAL) will be reporting earnings tomorrow morning. Here’s what investors should know.
American Airlines beat analysts’ revenue expectations by 2% last quarter, reporting revenues of $13.66 billion, up 4.6% year on year. It was a slower quarter for the company, with full-year EPS guidance missing analysts’ expectations. It reported 60.68 billion revenue passenger miles, up 4% year on year.
Is American Airlines a buy or sell going into earnings? Read our full analysis here, it’s free.
This quarter, analysts are expecting American Airlines’s revenue to be flat year on year at $12.53 billion, slowing from the 3.1% increase it recorded in the same quarter last year. Adjusted loss is expected to come in at -$0.67 per share.
Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. American Airlines has missed Wall Street’s revenue estimates four times over the last two years.
Looking at American Airlines’s peers in the travel and vacation providers segment, some have already reported their Q1 results, giving us a hint as to what we can expect. Carnival delivered year-on-year revenue growth of 7.5%, beating analysts’ expectations by 0.9%, and United Airlines reported revenues up 5.4%, topping estimates by 0.6%. Carnival traded up 1.1% following the results while United Airlines’s stock price was unchanged.
Read our full analysis of Carnival’s results here and United Airlines’s results here.
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