AAL · American Airlines Group Inc.

American Airlines reported record first-quarter revenue of $13.9 billion, up 10.8% year-over-year, driven by strong demand across all regions and commercial initiatives. Passenger revenue rose 9.7% to $12.5 billion, with cargo and other revenue also posting double-digit growth. Despite the revenue record, the company reported a GAAP net loss of $382 million ($0.58 per share), an improvement from a $473 million loss in the prior year. On an adjusted basis excluding net special items, the net loss was $267 million ($0.40 per share). Operating loss narrowed to $41 million from $270 million, reflecting an 85% improvement, while operating margin improved from -2.2% to -0.3% (GAAP). The company highlighted four commercial priorities: elevating customer experience, growing the global network, driving premium revenue, and leading in loyalty. Managed corporate revenue increased 13% year-over-year, and premium unit revenue outperformed main cabin by 7 points. The AAdvantage loyalty program saw record enrollments, up 25% year-over-year, and co-branded credit card spend rose 9%. On the balance sheet, total debt fell to $34.7 billion, the lowest since mid-2015, and the company ended the quarter with $10.8 billion in liquidity. Free cash flow was $3.4 billion. For the second quarter of 2026, American expects total revenue growth of 13.5% to 16.5%, capacity growth of 4% to 6%, and adjusted EPS between ($0.20) and $0.20. Full-year 2026 adjusted EPS guidance is ($0.40) to $1.10, with the midpoint approximately flat to 2025 despite a more than $4 billion increase in jet fuel expense. The company assumes fuel prices around $4.00 per gallon in Q2. CEO Robert Isom stated, 'American delivered record revenue in the first quarter, and we’re on track for another record in the second quarter.'