american airlines The news agency predicted on Tuesday that its focus on premium will “start to yield results in 2026” as it races to catch up with far more profitable rivals and capitalize on strong demand from high-spending customers.
The Fort Worth-based airline expects adjusted earnings per share to improve by nearly $2 from last year at the midpoint.
American Airlines also expects to earn 7% to 10% more revenue in the first three months of 2026 compared to 2025.
Here’s how American Airlines’ fourth-quarter results compared to Wall Street’s expectations compiled by LSEG:
Earnings per share: 16 cents adjusted, 34 cents expected; Revenue: $14 billion, $14.03 billion expected.
American posted net income of $99 million, or 15 cents per share, on sales of $14 billion. Revenue increased 2.5% year-on-year. Excluding net special items, the company reported adjusted earnings per share of 16 cents.
“American Airlines is expected to continue to experience significant upside in 2026 and beyond,” Chief Executive Officer Robert Isom said in a statement. “We have built a strong foundation and look forward to leveraging our investments in customer experience, network, fleet, partnerships and loyalty programs.”
The company also said the government shutdown had an approximately $325 million negative impact on fourth-quarter revenue.
American Airlines said this weekend’s winter storm, which caused Sunday to be the largest day of flight cancellations since the pandemic began in early 2020, reduced the airline’s first-quarter 2026 capacity outlook by 1.5 percentage points, resulting in an estimated negative revenue impact of $150 million to $200 million. American Airlines said Monday that five of its nine hubs were disrupted by the storm, including its largest hub, Dallas-Fort Worth International Airport.
The company said revenue in its passenger segment was down 2.5% year over year, but the number would have been positive had it not been for the impact of the government shutdown. Premium product performance continues to be strong, with premium unit year-over-year revenue exceeding Main Cabin in the fourth quarter.
American Airlines is revamping its fleet, lounges and food and beverage facilities to attract customers willing to spend more on premium tickets and co-branded credit cards. rival delta airlines and united airlines But the company has a significant lead, accounting for nearly all of the industry’s profits.
