American Airlines Revises 2025 Profit Forecast Amid Weak Demand and Operational Challenges

American Airlines announced a reduction in its 2025 adjusted earnings forecast and projected a third-quarter loss after its recent profit outlook fell short of Wall Street expectations. CEO Robert Isom cited ongoing consumer weakness, flat corporate travel demand, and operational disruptions from storms as the primary factors affecting performance. Specifically, American Airlines now forecasts a 2025 adjusted per-share loss of up to 20 cents or earnings of up to 80 cents, down from prior estimates of $1.70 to $2.70 per share announced in January. The third-quarter adjusted per-share loss is expected to range from 10 cents to 60 cents, compared to the 7-cent loss anticipated by analysts polled by LSEG. The airline noted that the lower end of this forecast would apply if unforeseen macroeconomic weaknesses emerge, while the higher end assumes improvement in the domestic travel market.

For the three months ending June 30, American Airlines reported revenue of $14.39 billion, a 0.4% increase year-over-year, surpassing expectations. However, net income fell 16.5% to $599 million, or 91 cents per share. Adjusted earnings, excluding one-time items, were $628 million or 95 cents per share, beating analysts’ projections.

Despite July being difficult due to domestic consumer weakness, Isom expressed optimism about demand trends improving in the third and fourth quarters. American Airlines is responding by scaling back capacity growth. Similar announcements have been made by Delta Air Lines and United Airlines, both of which also lowered their 2025 forecasts earlier in July amid fluctuating tariffs and weaker-than-expected domestic travel demand.

American Airlines Group (NASDAQ: AAL) has officially announced the schedule for its second-quarter 2025 financial results conference call. The event will take place on July 24, 2025, starting at 7:30 a.m. Central Time (CT). Investors and the public can access the earnings call via a live audio webcast hosted on the company’s investor relations website at aa.com/investorrelations. This webcast is available on a listen-only basis to ensure broad accessibility. Furthermore, for those unable to attend the live session, the company will provide an archived recording of the conference call. This recording will be accessible on the same website for one month following the live event, remaining available until August 24, 2025. The announcement ensures transparency and timely communication of American Airlines Group’s financial performance to shareholders, analysts, and interested parties. Providing the webcast and replay access facilitates comprehensive investor relations and reflects standard industry practices for public companies disclosing quarterly earnings results.