American Airlines pulled back its guidance over the uncertainty due to the US’ trade policy.
The airline says it is withdrawing its full-year guidance because of global tariffs, following similar measures by other airlines.
American announced its first-quarter financials with a net loss of $473 million on Q1 revenue of $12.6 billion.
“The actions American has taken over the past several years to refresh our fleet, manage costs and strengthen our balance sheet position us well for the uncertainty our industry is facing,” CEO Robert Isom said.
Total unit revenue was up 0.7% for the quarter driven by a 2.9% year over year increase on international revenue.
Domestic demand suffered following the fatal midair collision of American Eagle Flight 5342 earlier this year.
The first quarter operating margin was 2.2% on a GAAP basis.
It generated free cash flow of $1.7 billion in the first quarter, to further strengthen its balance sheet.
In the quarter, American reduced total debt by $1.2 billion.
Withdrawing its full-year guidance for now, American said it intends to provide a full-year update as the economic outlook becomes clearer.
