The 737 MAX crisis will have an impact of 350 million during the year
American Airlines earned 847 million dollars (762 million euros) in the first half, which is 18.4% more than in the same period of 2018, despite the blockade of its fleet of 24 737 MAX has caused a negative impact of about 175 million dollars (157 million euros) in the income before taxes during the second quarter, as reported by the ‘holding’ in its presentation of results.
The airline group increased its revenues by 2.3%, to 22,544 million dollars (20,287 million euros), while the operating result reached 1,528 million dollars (1,259 million euros), an additional 9.1%.
In these six months, American increased its expenses by 1.8%, to 21,016 million dollars (18,912 million euros).
WIN AN MORE 18.5% IN THE SECOND QUARTER
The profit during the second quarter was 662 million dollars (595.7 million euros), 18.9% more than in the same period of the previous year.
In these three months, the company invoiced 11,960 million dollars (10,762 million euros), 2.7% more, while expenses increased 1.6%, to 10,807 million dollars (9,077 million euros) . The operating profit was 14.8% higher, of 1,153 million dollars (1,037 million euros).
Since March, the fleet of 24 American Airlines 737 MAX aircraft has not been able to operate due to the model’s airlock after two accidents.
The company estimates that the cancellations caused by this fact have had a negative impact of about 175 million dollars (157 million euros), on the results before taxes. American has canceled all its flights with 737 MAX until November 2, which they expect to have a negative impact of about 400 million dollars (359.9 million euros) during 2019.
“These results in the midst of adversity, together with the initiatives launched, give us great confidence in the future of US airlines,” said American Airlines CEO Doug Parker.