American Airlines reported a 2019 first-quarter net profit of $237 million, down 23%. The Boeing 737 MAX grounding is projected to cost Dallas/Fort Worth-based American about $350 million in full-year income, assuming its current plan to have the aircraft back in revenue service by Aug. 19 holds, the carrier reported.
Winter storm-related disruptions and a drop in close-in bookings held Alaska Air Group’s net income flat at $4 million in the 2019 first quarter, the same as the year-ago period.
Kuwait-based hybrid carrier Jazeera Airways reported a 2019 first-quarter net profit of KD1.5 million ($4.9 million), reversed from a net loss of KD0.3 million in the year-ago quarter.
Florida-based LCC Spirit Airlines reported a 2019 first-quarter net income of $56.1 million, reversed from a net loss of $44.9 million in the year-ago quarter.
A trio of unusual events took a toll on Southwest Airlines’ first-quarter financial performance and is driving unit costs up, but long-term fundamentals remain strong, as does the carrier’s confidence in the Boeing 737 MAX.
The FAA projects passenger growth for US carriers will advance at an average annual rate of 1.8% over the next 20 years—about 0.1% lower than last year’s forecast—increasing by 48% or roughly 424 million passengers from 2018 levels by 2039.
MAX operators in the US and elsewhere are emphasizing a need to plan for the busy summer season to set schedules well ahead of whenever the groundings are lifted.
The growing number of small US airlines may suggest the industry is on the cusp of a regional airline renaissance, but regional executives say such descriptions are premature.
African LCC fastjet expects to post a $41.2 million operating loss for 2018, nearly four times its $11.2 million prior-year loss, deepened by $23.9 million in one-off impairments from its December 2018 capital increase.
Latvian carrier SmartLynx Airlines has secured an air operator’s certificate (AOC) for its new Maltese airline, which it will use as a platform for further growth.
Hong Kong Airlines is offering pilots the option of transferring to alternative airlines as the company faces a surplus of pilots as a result of the delayed delivery of the Airbus A330 and A350.
Norwegian Air Shuttle reported a widening first-quarter loss and said it was still assessing the financial impact of the grounding of the Boeing 737 MAX, but that it could cost it up to NOK500 million ($57.5 million) in 2019.
Finnair posted a €38.8 million ($43.6 million) net loss for the first quarter (1Q), marking a sharp decline from the record €13.4 million net profit it delivered in 1Q 2018, partly driven by excess capacity from the airline’s incoming Airbus A350 fleet.
Boeing has posted its 2019 first-quarter results, which indicate the initial financial impact of the 737 MAX crashes and groundings as well as acknowledging continued uncertainty about the full cost.
Collins Aerospace expects up to $0.10 of “headwind” on its earnings per share this year because of the Boeing 737 production slowdown and MAX groundings.
Hawaiian Airlines reported a net income increase of 27% to $36.4 million in the first quarter compared to $28.5 million in the year-ago period, despite slightly lower operating revenue.
New York-based JetBlue Airways posted a 2019 Q1 net income of $42 million, down 54% from the $90 million posted a year ago, but operating revenue was up 6.7% to $1.9 billion. The company, posting its first-quarter results April 23, said it was confident of seeing a unit-revenue "acceleration" into the fall.
In an ongoing battle to gain control of Hong Kong Airlines, four of its board members have been served with a court order preventing them from making business related-decisions on the airline.
Chinese LCC Spring Airlines overcame higher fuel costs and a weakened currency to post a 2018 net profit of CNY1.5 billion ($218.1 million), up 19.1% from CNY1.26 billion in 2017.
United Airlines has done well compensating for the absence of its 14 Boeing 737 MAX aircraft by adjusting its network and maintenance schedules, but the gaps created will become harder to fill as the peak summer season approaches, the airline’s executives say.
