Dallas’ Southwest, American Airlines post Q2 profits on federal aid, travel rebound



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Dallas’ Southwest, American Airlines post Q2 profits on federal aid, travel rebound

On Thursday, American Airlines and Southwest Airlines, two of the leading American carriers based on Dallas, Texas, had posted quarterly earnings’ profit for the second quarter of the year that ended on June 30, largely riding on the back of a rebound in bookings alongside federal aids, while the airlines also had raised revenue forecast for coming months as more and more people were reportedly looking to travel following months-long restriction.

Projecting an improvement in revenue trends, officials from both American Airlines and Southwest Airlines, the largest low-cost carrier around the globe serving over 115 destinations, had been quoted saying that they had yet to witness any kind of impact of a recent rise in delta variants across the United States, largely mirroring remarks from the executives of rivals Delta Air Lines alongside United Airlines.

On top of a rebound in air traffics, US airlines had received a whopping $54 billion thus far to pay out workers’ salaries until August 31 this year and leaned on debts as well to grapple with what could be the worst aviation industry crises in the history.

Top US Airlines post profits as traffics return to pre-pandemic level

According to the quarterly earnings’ report of American Airlines, the world’s largest airline in terms of fleet size had witnessed a 361 per cent jump in revenues to $7.48 billion on a year-on-year basis, while the carrier had reportedly carried 44 million passengers between April to June quarter, a five-fold of what it had carried at the same time a year earlier.

Besides, domestic travel focused Southwest Airlines had reported a 300 per cent climb in operational revenues to $4 billion on a year-on-year basis, however, the Dallas-based airlines’ revenues had still fallen short of 32 per cent compared to the same time in 2019.

Meanwhile, followed by the release of an upbeat quarterly earnings’ report, Southwest airlines shares’ prices were last trading 3.29 per cent lower to $51.39 apiece on late-afternoon US trading hour, while the shares’ prices of American Airlines fell 1.57 per cent to $21.06 apiece.