Connect with us

Business

US and Southwest Post Quarterly Profits on Travel Rebound, Federal Aid

Published

on

 


July 21 (Reuters) – U.S. carriers American Airlines (AAL.O) and Southwest Airlines (LUV.N) posted quarterly profits on Thursday aided by a rebound in bookings and federal aid, and forecast improving revenue trends in the coming months as more and more people return to travel.

U.S. airlines, which received $ 54 billion in COVID-19 relief for workers’ wages and also took on debt to survive a deep industry crisis, are now deleveraging their balance sheets and rushing to secure a rebound.

“We are in the midst of an unprecedented recovery,” said US chief executive Doug Parker on an investor appeal where the company also outlined its intention to pay off around $ 15 billion in debt by the end of it. from 2025.

American, the world’s largest airline, said it had seen no drop in bookings linked to a recent surge in COVID-19 infection rates, echoing recent comments from Delta Air Lines (DAL.N) and United Airlines (UAL.O).

Domestic leisure travel has almost returned to 2019 levels, and American said it expects a full recovery in domestic business travel next year.

International travel, however, remains plagued by entry bans, though American has said every time restrictions are lifted there is a “rapid and dramatic increase in bookings.”

Revenues for American, the world’s largest airline, jumped 361% to $ 7.48 billion, beating expectations as it carried 44 million passengers, five times more than a year ago .

The rapid ramp-up posed operational challenges for both the Americans and the Southwest, which had to cancel flights due to labor shortages. The two have recalled pilots and flight attendants and are renewing their hiring plans.

Southwest Managing Director Gary Kelly said the company “is intensely focused on improving our operations as we restore our network to meet demand.”

Southwest’s total operating revenue, which is more focused on domestic travel, increased nearly 300% to $ 4 billion from the previous year, but fell about 32% from 2019.

More flights and higher fuel prices will weigh on the airline’s costs in the third quarter, he warned.

American, the world’s largest carrier, made a second-quarter profit of $ 19 million through June, including federal aid, compared to a loss of $ 2.07 billion a year earlier.

Southwest posted net income of $ 348 million, or $ 0.57 per share, including assists. Excluding items, Southwest’s net loss was larger than analysts expected, affecting equities.

However, both airlines said they were profitable in June even without federal funds, a first since the pandemic began in early 2020.

Alaska Air Group (ALK.N) on Thursday reported second-quarter earnings of $ 397 million, or $ 3.15 per share, including aid.

Reporting by Tracy Rucinski in Chicago and Sanjana Shivdas and Ankit Ajmera in Bengaluru; Editing by Nick Zieminski

Our standards: Thomson Reuters Trust Principles.

Sources

1/ https://Google.com/

2/ https://www.reuters.com/business/aerospace-defense/american-southwest-post-profits-june-even-without-federal-aid-2021-07-22/

The mention sources can contact us to remove/changing this article

What Are The Main Benefits Of Comparing Car Insurance Quotes Online

LOS ANGELES, CA / ACCESSWIRE / June 24, 2020, / Compare-autoinsurance.Org has launched a new blog post that presents the main benefits of comparing multiple car insurance quotes. For more info and free online quotes, please visit https://compare-autoinsurance.Org/the-advantages-of-comparing-prices-with-car-insurance-quotes-online/ The modern society has numerous technological advantages. One important advantage is the speed at which information is sent and received. With the help of the internet, the shopping habits of many persons have drastically changed. The car insurance industry hasn't remained untouched by these changes. On the internet, drivers can compare insurance prices and find out which sellers have the best offers. View photos The advantages of comparing online car insurance quotes are the following: Online quotes can be obtained from anywhere and at any time. Unlike physical insurance agencies, websites don't have a specific schedule and they are available at any time. Drivers that have busy working schedules, can compare quotes from anywhere and at any time, even at midnight. Multiple choices. Almost all insurance providers, no matter if they are well-known brands or just local insurers, have an online presence. Online quotes will allow policyholders the chance to discover multiple insurance companies and check their prices. Drivers are no longer required to get quotes from just a few known insurance companies. Also, local and regional insurers can provide lower insurance rates for the same services. Accurate insurance estimates. Online quotes can only be accurate if the customers provide accurate and real info about their car models and driving history. Lying about past driving incidents can make the price estimates to be lower, but when dealing with an insurance company lying to them is useless. Usually, insurance companies will do research about a potential customer before granting him coverage. Online quotes can be sorted easily. Although drivers are recommended to not choose a policy just based on its price, drivers can easily sort quotes by insurance price. Using brokerage websites will allow drivers to get quotes from multiple insurers, thus making the comparison faster and easier. For additional info, money-saving tips, and free car insurance quotes, visit https://compare-autoinsurance.Org/ Compare-autoinsurance.Org is an online provider of life, home, health, and auto insurance quotes. This website is unique because it does not simply stick to one kind of insurance provider, but brings the clients the best deals from many different online insurance carriers. In this way, clients have access to offers from multiple carriers all in one place: this website. On this site, customers have access to quotes for insurance plans from various agencies, such as local or nationwide agencies, brand names insurance companies, etc. "Online quotes can easily help drivers obtain better car insurance deals. All they have to do is to complete an online form with accurate and real info, then compare prices", said Russell Rabichev, Marketing Director of Internet Marketing Company. CONTACT: Company Name: Internet Marketing CompanyPerson for contact Name: Gurgu CPhone Number: (818) 359-3898Email: [email protected]: https://compare-autoinsurance.Org/ SOURCE: Compare-autoinsurance.Org View source version on accesswire.Com:https://www.Accesswire.Com/595055/What-Are-The-Main-Benefits-Of-Comparing-Car-Insurance-Quotes-Online View photos

ExBUlletin

to request, modification Contact us at Here or [email protected]