News Formal

American Air Cuts Earnings Outlook on Higher Fuel Cost

  • 📰 BNNBloomberg
  • ⏱ Reading Time:
  • 38 sec. here
  • 2 min. at publisher
  • 📊 Quality Score:
  • News: 19%
  • Publisher: 50%

Brasil Notícia Notícia

Brasil Últimas Notícias,Brasil Manchetes

American Airlines Group Inc. slashed its third-quarter earnings outlook on a jump in jet fuel prices and payment of roughly $230 million in retroactive salary under a new contract for its pilots. Meanwhile, discount carriers raised red flags about the health of the domestic market.

Spirit Airlines Inc. cited “steep” discounts for travel ahead of the Thanksgiving holiday, while Frontier Air Group Holdings Inc. saw a recent “significant unexpected change” in bookings, and sales below historic patterns. Both carriers also said the 34% surge in fuel — one of the industry’s largest costs — would hurt their quarterly results.

“Unsurprisingly, fuel guidance revisions are placing pressure on implied EPS guides while revenue updates are more mixed, reiterating varying degrees of softness in the domestic market,” Savanthi Syth, a Raymond James analyst, wrote in a note. “Notably, business travel recovery trends appear unchanged so far.”American’s adjusted earnings per share is now seen at 20 cents to 30 cents, down from an earlier outlook for as much as 95 cents, the carrier said Wednesday in a regulatory filing.

Some industry executives have said they expect a renewed push after the recent Labor Day holiday to get more workers back in the office full time. This may boost the volume of corporate travel, which remains below 2019 levels for some carriers.

 

Obrigado pelo seu comentário. Seu comentário será publicado após ser revisado.
Resumimos esta notícia para que você possa lê-la rapidamente. Se você se interessou pela notícia, pode ler o texto completo aqui. Consulte Mais informação:

 /  🏆 83. in BR

Brasil Últimas Notícias, Brasil Manchetes

Similar News:Você também pode ler notícias semelhantes a esta que coletamos de outras fontes de notícias.

Updated Covid vaccines, Oracle earnings, Tesla stock jumps: Top StoriesThe U.S. Food and Drug Administration has approved updated Covid vaccines from Pfizer (PFE) and Moderna (MRNA) to combat new virus variants amid a surge in new cases and hospitalizations. Oracle (ORCL) shares moved lower in after-hours trading after reporting mixed fiscal first quarter results. Lastly, Tesla (TSLA) stock jumped after Morgan Stanley (MS) upgraded the stock to 'Overweight' from 'Equal Weight' and issued a $400 price target, citing a potential boost from its Dojo supercomputer. Yahoo Finance's Akiko Fujita breaks down the top stories of the day.
Fonte: YahooFinanceCA - 🏆 47. / 63 Consulte Mais informação »

Apple event, Oracle earnings, Arm strategy: 3 ThingsApple (AAPL) announces design changes for the iPhone 15 ahead of its launch event later today. Oracle Corp. (ORCL) shares fall after reporting weaker-than-expected earnings, particularly in its revenue tied to its hardware segment. According to Bloomberg, Arm Holdings (ARM) could be changing up its strategy ahead of its IPO and refocusing its attention on designing growth-driven products. Yahoo Finance's Brad Smith highlights several of the top headlines making waves Tuesday morning.
Fonte: YahooFinanceCA - 🏆 47. / 63 Consulte Mais informação »