American posts record revenue but fuel costs drive third-quarter loss

American Airlines reported record third-quarter revenue of US$16.3 billion, up 19.3% year-on-year, but higher fuel costs pushed the group to a net loss of US$269 million.

The airline’s fuel bill increased by US$1.9 billion, or 67.5%, compared with the third quarter of 2025. Its adjusted net loss was US$182 million, while unit costs excluding fuel and special items rose by 3%.

Revenue growth extended across cabins and markets. Premium revenue increased by 22.9% and Main Cabin revenue by 19.5%, while total revenue per available seat kilometre rose by 14.5%. International passenger unit revenue grew by 16.4%, led by Latin America, ahead of a 13.6% increase domestically.

Business travel also remained strong, with managed corporate revenue rising by 27.6%, its sixth consecutive quarter of double-digit growth. Enrolments in the AAdvantage loyalty programme increased by 27.4%.

American is continuing investment in premium seating, lounges and onboard technology. It plans to extend Starlink connectivity across its entire mainline fleet of more than 1,000 aircraft and introduce seatback entertainment on new narrowbody deliveries from 2028. A narrowbody retrofit programme is intended to raise premium seating to 40% of seats in the coming years.

The group ended September with US$11.8 billion in available liquidity. It expects its efficiency programme to deliver nearly US$1 billion in annualised savings by the end of 2026.

For the fourth quarter, American forecasts revenue growth of 19.5–22.5%, but anticipates a further US$2.8 billion year-on-year increase in fuel expense, based on the forward fuel curve as of 19 October. Elevated fuel prices are also expected to slow network growth in 2027 compared with 2026.