Earnings Alerts

American Airlines Group (AAL) Earnings Soar as 4Q Adjusted EPS Beats Estimates

By January 23, 2025 No Comments
  • Adjusted EPS for Q4 2024 was $0.86, surpassing the estimate of $0.65, and showing significant improvement from last year’s $0.29.
  • Adjusted net income for the fourth quarter was $609 million, compared to $192 million the previous year, and exceeded the estimate of $471.3 million.
  • Passenger revenue reached $12.40 billion, a 3.3% increase year-over-year, beating the expected $12.28 billion.
  • Operating revenue was $13.66 billion, a rise of 4.6% from the previous year, exceeding the forecast of $13.43 billion.
  • Available seat miles increased by 2.5% to 71.50 billion, slightly above the expected 71.31 billion.
  • Revenue passenger miles grew by 4% to 60.68 billion, although this was below the estimate of 61.03 billion.
  • The load factor improved to 84.9% from last year’s 83.6%, but fell short of the 85.5% forecast.
  • Passenger yield slightly decreased by 0.7% to 20.44 cents.
  • CASM, excluding fuel, rose by 5.7% to 13.99 cents.
  • Cost per available seat mile decreased by 1.5% to 17.52 cents.
  • PRASM (Passenger Revenue per Available Seat Mile) increased by 0.8% to 17.34 cents.
  • The total number of aircraft at the end of the period rose by 2.7% to 1,562.
  • The company anticipates a first-quarter 2025 adjusted loss per diluted share between ($0.20) to ($0.40).
  • For the full year 2025, the adjusted earnings per diluted share are expected to be between $1.70 to $2.70.
  • Management emphasized ongoing efforts to improve operational efficiency and highlighted strong commercial actions.
  • Current analyst recommendations include 14 buys, 11 holds, and 1 sell.

A look at American Airlines Group Smart Scores

FactorScoreMagnitude
Value0
Dividend1
Growth4
Resilience5
Momentum5
OVERALL SMART SCORE3.0

Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma

Based on the Smartkarma Smart Scores, American Airlines Group shows a promising long-term outlook. With a strong Growth score of 4, the company is positioned for expansion and development in the coming years. Additionally, scoring a solid 5 in Resilience and Momentum, American Airlines Group demonstrates robustness and positive momentum in its operations, which bodes well for its future performance.

American Airlines Group also receives a score of 1 for Dividend, indicating a moderate outlook in terms of dividend payments to investors. Although the company scores low in the Value category with a score of 0, its overall performance in the other key areas suggests a positive trajectory for American Airlines Group in the long run.

### Summary: American Airlines Group Inc. operates an airline that provides scheduled passenger, freight, and mail service throughout North America, the Caribbean, Latin America, Europe, and the Pacific. The Company also provides connecting service throughout the United States, Canada, and the Caribbean. ###


Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
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