Airways use their affairs and announce larger tariffs in 2025
Travelers run on December 20, 2024 through the O'Hare International Airport in Chicago.
Kamil Krzaczynski | AFP | Getty Images
Higher flight prices are to be expected this year, since the strong demand, even in the deepest winter, and the limited capacity growth, the airlines cause airlines to expand their priority.
The Hopper flight price tracking platform announced this month that the domestic “bargains” were $ 304 in January, which corresponds to an increase of $ 12 % compared to the previous year, with more domestic flights more than last year.
Delayed delivery of new aircraft Boeing And Airbus have restricted airlines and financial constraints. Spirit Airlines, which applied for bankruptcy protection according to Chapter 11 in November, was the most dramatic case and cut its flights to reduce costs.
American Airlines forecast on Thursday a sales jump of up to 5 % in the first quarter compared to the same three months of 2024, while capacity will remain the same or even decrease by up to 2 %.
“We assume that flight prices will increase,” said Devon May, CFO of American Airlines, in an interview. However, the airline predicted a greater loss than expected for the first quarter and disappointed investors because it expects increasing costs, for example higher wages from new employment contracts that were signed last year.
The startup airline Breeze Airways reported its first quarterly business profit for the fourth quarter on Thursday, and founder David Neeleman, who is also the founder of Jetblue Airwayssaid conservative industry growth is a good sign of future results.
“The flood lifts many boats,” he said in an interview. “We exceed our sales goals. The dynamic that we saw in the fourth quarter continues in the first. ”
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Alaska Airlines On Wednesday, the company announced that sales growth in the first quarter would increase by “high single -digit” percentage points, with the capacity increasing by no more than 3.5 %.
United AirlinesTheir profit forecast for the first quarter far exceeded the expectations of the analysts, shared a similar opinion, especially when traveling.
“The domestic price environment improves because performance -weak airlines are increasingly reducing unpredictable capacities and accelerating the growth of business transactions,” said Andrew Nocella, Chief Commercial Officer from United, on Wednesday when the company was winning the company. “The sale of industry tariffs is less common in lower discount sets because the airlines give priority to profitability.”
Delta Air LinesThat opened the airlines at the beginning of this month predicted sales growth of 7 to 9 %for the first quarter, with sales increasing in its global network.
Traveling outside of the season, especially to Europe, were a big ray of hope for large US airlines. Glen Hauenstein, President of Delta, said, for example, at the winning notification of January 10, that the transatlantic piece of turnover in the middle single-digit range should be, since the demand “benefits from strong US sales outlets and an extension of the season with unprecedented deep stalls”. Top results. “
In addition, the airlines observe that more and more customers buy more spacious – and more expensive – seats.
Jetblue Airways and Southwest Airlines Next week you will probably publish the results of the fourth quarter and announce your forecasts for 2025. Both airlines try to increase sales through more new premium seats and the introduction of other amenities.
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