US airlines report strongest earnings since pandemic
As major airlines in the United States begin reporting their quarterly results on Wednesday, they are expected to report their best earnings since the pandemic began.
According to Reuters.com, data from the Transportation Security Administration (TSA) shows that passenger traffic in the United States increased by about 18% this summer compared to 2021 and averaged about 89% of pre- pandemics since Memorial Day.
Despite rising interest rates, high fuel prices and inflation hitting a 40-year high, some aviation analysts are warning of a slowdown in travel spending in the second half of the year. Leaders of major carriers in the United States continue to have a positive view of the situation.
With strong pent-up demand and the lifting of travel restrictions, carriers are betting on an increase in international traffic and corporate bookings to offset any slowdown in leisure bookings this fall.
Increased short-term and long-term demand has prompted airlines to raise fares, allowing them to offset the cost spike associated with rising fuel prices and an overall increase in labor costs. -work.
Earlier this week, the chief executive of the International Air Transport Association (IATA) said that as long as jet fuel costs remain volatile and prices rise, so will air fares as they rise. passed on to consumers.
Frontier Airlines CEO Barry Biffle told Reuters that demand for travel was only getting stronger and the current airline environment was “the best environment we’ve ever had in the industry”.
Delta Air Lines is expected to report second-quarter financial results on July 13, while American and United will release data on July 21.
Carriers across the United States have seen a wave of delays and cancellations this summer, with aviation leaders blaming the Federal Aviation Administration (FAA) and the government agency saying airlines are responsible .
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