AAG(US:AAL)2024-04-25 11:00Financial Performance - Record first-quarter revenue of approximately $12.6 billion, representing a 3.1% increase from the previous year[4] - First-quarter net loss of $312 million, or ($0.48) per diluted share; excluding special items, the net loss was $226 million, or ($0.34) per diluted share[2] - Operating income excluding net special items was $77 million, down 83.0% from $451 million in 2023[24] - Net income excluding net special items was reported at $(226) million, compared to $33 million in 2023[26] - Total operating revenues for the first quarter were $12,570 million, an increase from $12,189 million in 2023[24] Cash Flow and Investments - Generated operating cash flow of $2.2 billion and free cash flow of $1.4 billion in the first quarter[2] - Net cash provided by operating activities for Q1 2024 was $2,180 million, a decrease of 34.6% compared to $3,333 million in Q1 2023[28] - Free cash flow for Q1 2024 was $1,370 million, calculated as net cash provided by operating activities minus adjusted net cash used in investing activities of $810 million[33] - The company reported a net cash used in investing activities of $1,516 million for Q1 2024, a decrease of 45.8% from $2,796 million in Q1 2023[28] Debt and Liabilities - Reduced total debt by nearly $950 million, achieving over 80% of the $15 billion debt reduction goal by the end of 2025[6] - Long-term debt and finance leases, net of current maturities, decreased to $28,228 million from $29,270 million, a reduction of 3.6%[36] - The company’s total current liabilities increased to $24,993 million as of March 31, 2024, compared to $22,062 million at the end of 2023, marking an increase of 13.2%[36] Operational Metrics - Passenger revenue miles increased by 10.5% to 57,473 million compared to the same quarter last year[17] - Passenger load factor improved by 1.5 percentage points to 81.5%[17] - Domestic revenue passenger miles increased to 38,812 million, up 8.6% from 35,750 million in 2023[21] - Latin America revenue passenger miles rose to 10,096 million, reflecting a 12.1% increase from 9,008 million in 2023[21] - Total international revenue passenger miles reached 18,661 million, a 14.7% increase compared to 16,264 million in 2023[21] - Passenger load factor for domestic operations improved to 82.4%, up 2.2 percentage points from 80.2% in 2023[21] - Yield per passenger mile decreased to 21.29 cents, down 5.3% from 22.48 cents in 2023[21] Expenses - Operating expenses increased by 6.9% to $12.563 billion, driven by higher salaries and benefits[14] - Total operating expenses were $12,563 million, compared to $11,751 million in 2023[26] - Total operating expenses per available seat mile (CASM) was reported at 17.82 cents, down from 18.08 cents in 2023[26] Future Outlook - The company expects second-quarter 2024 adjusted earnings per diluted share to be between $1.15 and $1.45, and full-year adjusted earnings per diluted share to be between $2.25 and $3.25[7] Asset Management - Current assets increased to $14,542 million as of March 31, 2024, compared to $13,572 million at the end of 2023, reflecting a growth of 7.2%[36] - Total assets reached $64,384 million as of March 31, 2024, an increase of 2.1% from $63,058 million at the end of 2023[36] - Total cash and restricted cash at the end of Q1 2024 was $703 million, up from $584 million at the end of Q1 2023, representing an increase of 20.3%[29] Capital Expenditures - Capital expenditures and aircraft purchase deposits for Q1 2024 amounted to $824 million, compared to $505 million in Q1 2023, indicating a significant increase of 63.4%[28] Operational Efficiency - The company achieved its best-ever first-quarter completion factor and improved mishandled baggage rates year over year[3] - Average aircraft fuel price decreased by 12.8% to $2.86 per gallon[17] Comprehensive Loss - The accumulated other comprehensive loss was reported at $(4,877) million as of March 31, 2024, slightly improved from $(4,894) million at the end of 2023[36]