American Airlines Group Reports Record August Traffic, Capacity And Load Factor

[WeAAsles]

American Airlines Group's total revenue passenger miles (RPMs) were 21.0 billion, up 5.0 percent versus August 2014. Total capacity was 24.3 billion available seat miles (ASMs), up 2.7 percent versus August 2014. Total passenger load factor was 86.5 percent, up 1.9 percentage points versus August 2014. All three metrics were records for the month of August.
The Company continues to expect its third quarter 2015 consolidated passenger revenue per available seat mile (PRASM) to be down approximately six to eight percent year-over-year. In addition, the Company continues to expect its third quarter pretax margin excluding special items to be between 16 and 18 percent.
The following summarizes American Airlines Group traffic results for the month and year-to-date ended August 31, 2015 and 2014, consisting of mainline-operated flights, wholly owned regional subsidiaries and operating results from capacity purchase agreements.

http://finance.yahoo.com/news/american-airlines-group-reports-record-120000701.html

 

[WeAAsles]

(From an Airline Message Board)

 
"Traffic analysis
 
Interesting traffic report. No change in PRASM or margin guidance. That sounds dull, but it's not. There was also a 1.9% increase in load factor. That's different that the other US airlines, which experienced flat or down load factors.
 

So why is this interesting? It's because AAL has gone to war with Spirit and Frontier, selectively matching their fares and otherwise doing everything possible to make sure they lose money operating out of AAL's hubs. I've explained that Parker and Kirby are geniuses at this -- something not generally understood by Wall Street. Today's results strongly suggest the strategy is working. AAL is selling some cheaper tickets, but it's also putting more pax on its planes. The strategy is NOT decimating profits. So they're getting all the gain (hurting the ULCCs and driving them away from the hubs) with little pain. Exactly why Parker and Kirby are great managers.
 
Can Wall Street appreciate this? I suspect an analyst will eventually note it, and we should get some reaction. FWIW, this reduces one of the greatest fundamental risks to the stock."

 

[swamt]

You are correct WeAAsles.  Some very positive numbers.  Congrats to all at AA.  Wondering how AA's numbers compare to Delta's.  Also wondering why this article says differently.  Someone has the wrong information.  The numbers just released has proven this article to be questionable...
 
Is American Airlines Shooting Itself in the Foot With Price Matching?

 

[FrugalFlyerv2.0]

 Wondering how AA's numbers compare to Delta's.

 
Really?  You had to ask?
 

 

[robbedagain]

Im sorry WeAA but this just is  not very good bec it is not the mighty ole widget  it wont be long before he shows up and dismantles this bec its just not terrific  bec its not that ATL based airline...  
 
thanks swamt   great job  to all the hard working front line folks at AA   

 

[FWAAA]

You are correct WeAAsles.  Some very positive numbers.  Congrats to all at AA.  Wondering how AA's numbers compare to Delta's.  Also wondering why this article says differently.  Someone has the wrong information.  The numbers just released has proven this article to be questionable...
 
Is American Airlines Shooting Itself in the Foot With Price Matching?

Why do people continue to link to Adam Levine-Weinberg's nonsense articles?   He gets paid by the click to write this uninformed drivel, most of which reveals a complete lack of knowledge about the airline industry.  

 

[DNTULSA]

Delta's numbers are better, even though they're worse!

 

[Kev3188]

I know I say it every time a positive report comes out, but it sure is nice to be having these sorts of discussions as opposed to ones about which carrier(s) lost the least...

 

[nycbusdriver]

Delta's numbers are better, even though they're worse!

 
Well, yes.  Delta's worse numbers are better because, by definition, if they are Delta's they are better.  Even if they are worse.

 

[NewHampshire Black Bears]

I know I say it every time a positive report comes out, but it sure is nice to be having these sorts of discussions as opposed to ones about which carrier(s) lost the least...

 
Kev,....seriously, I mean NO disrespect to you TRUE  RED-TAILS, You and my oldest Son among them !
Steemland and Anderson should have been 'clipped, for getting away with that conspiricy> (Ya I know that........that BAS-TARD Al Checchi had an indirect hand in it too)  Watching those NORTHWEST 747's painted in Del-DUH's colors makes me want to PUKE, each and every time.
 
DL  SUCKS !!