American Airlines (AAL) has updated its financial guidance for the first quarter of 2026, increasing its revenue forecast due to stronger-than-expected demand. However, the company now anticipates its adjusted loss per share will be toward the lower end of its initial guidance range, driven by a significant increase in jet fuel prices.
Key Details
- Revenue Guidance: Q1 2026 total revenue is now expected to grow over 10% year-over-year, an increase from the previous guidance of 7% to 10%.
- Profitability & Fuel Costs: The company projects its adjusted loss per share to be at the lower end of its original ($0.10) to ($0.50) range. This is based on an updated assumed jet fuel price of approximately $2.75 per gallon.
- Capacity Guidance: The forecast for Available Seat Miles (ASM) growth compared to Q1 2025 has been slightly narrowed to a range of 3.0% to 4.0%, from a previous 3.0% to 5.0%.