U.S. airlines

Most U.S. Airlines Are Doing Better Now Than Before the Oil Bust

U.S. airlines

Most U.S. Airlines Are Doing Better Now Than Before the Oil Bust

November 2018

1 min read

Seth Kaplan

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Issue Overview

For U.S. airlines in the peak third quarter, y/y revenue growth (8%) comfortably exceeded capacity growth (5%). But that wasn’t enough to lift the industry’s profit margins, which dropped again y/y as total operating costs outgrew both, rising 12%. No matter how successful carriers were in raising fares, charging new fees and squeezing more yield through tighter revenue management, they couldn’t escape the reality that the fruits of these efforts take time to materialize. Fuel prices, by contrast, change immediately.

Most U.S. Airlines Are Doing Better Now Than Before the Oil Bust

Most U.S. Airlines Are Doing Better Now Than Before the Oil Bust

Issue Overview

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