Reuters logo
UPDATE 2-US Airways profit tops estimates as fuel costs fall
July 24, 2013 / 12:35 PM / 4 years ago

UPDATE 2-US Airways profit tops estimates as fuel costs fall

* Adjusted per-share profit $1.58 vs estimate $1.51

* Revenue up, fuel costs down

* Shares up 1.5 percent

July 24 (Reuters) - US Airways Group Inc reported higher-than-expected quarterly profit on Wednesday, aided by lower fuel costs.

Net income came to $287 million, or $1.40 a share, in the second quarter, compared with $306 million, or $1.54 a share, a year earlier. US Airways plans to merge with AMR Corp’s American Airlines this year to form the world’s biggest airline.

The company took an income tax provision of $67 million in the latest period and also recorded one-time items of about $55 million tied to merger costs and debt retirement.

Adjusting for the items, profit was $1.58 a share, compared with $1.51 expected by analysts, on average, according to Thomson Reuters I/B/E/S.

Revenue rose about 3 percent to $3.9 billion as planes were fuller, but yields were lower. Operating expenses rose 1 percent, with fuel costs down 3.8 percent and salary expenses up 4 percent.

Shares of US Airways were up 1.5 percent to $18.33 in morning trading.

Our Standards:The Thomson Reuters Trust Principles.
0 : 0
  • narrow-browser-and-phone
  • medium-browser-and-portrait-tablet
  • landscape-tablet
  • medium-wide-browser
  • wide-browser-and-larger
  • medium-browser-and-landscape-tablet
  • medium-wide-browser-and-larger
  • above-phone
  • portrait-tablet-and-above
  • above-portrait-tablet
  • landscape-tablet-and-above
  • landscape-tablet-and-medium-wide-browser
  • portrait-tablet-and-below
  • landscape-tablet-and-below