Airlines see lower customer demand, cut financial expectations

Several major US airlines have gained their quarterly financial expectations as the industry claims softer demand from economic uncertainty and other factors.

Southwest, American and delta were Among the carriers announce changes in their recommendations.

The southwest stated that its income for the available miles is expected to increase by 2-4% in the first quarter, which is a smaller forecast than the 5-7% growth that it previously predicted.

Travelers use registration at the Southwestern airline at Logan International Airport in Boston on July 19, 2019. (Scott Eisen / Bloomberg via / Getti Image)

“Compared to the preliminary estimate of the company, approximately the point of the lower unit management is primarily related to the higher than the expected completion coefficient, less governmental journeys and greater effects from Californian forest fires, which is initially evaluated,” the carrier said in the claim of the securities and the stock commissions (SEC).

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In early January, there are several fires in the Los -Andheles area, with the largest rolls – the palisada fire – the burning of more than 23,700 hectares before being kept by firefighters.

“The rest of the decline is primarily related to the softness in reservation and demand trends when the macroser weakened,” ” Southwest also said.

Meanwhile, US Airlines He said that “the income environment was weaker than initially expected” for the first quarter “from the influence of 5342 flight and softness in the segment of the internal leisure, first of all in March.”

American Airlines Airliners are sitting near a hanger at Dallas/Fort -Uert in Texas, April 4, 2012. (Tim Sharp / Reuters Photos)

A military helicopter and US Airlines flight 5342 In late January, he collided with the start near Washington, Ronald Reagan Washington. All 64 people aboard the plane and three helicopter were killed.

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In the light of these factors, the airline stated that it is now expected that “approximately flat” total income for the first three months of the year compared to the first quarter of last year. Previously, he predicted an increase of 3-5%. It also changed the range for the projected quarterly adjusted loss to a divorced share from $ 0.20-0.40 to $ 0.60-0.80, according to the SEC.

Delta ruled in less revenue growth in the first quarter, waiting for an increase of 3-4%, not by 7-9% he expected when he issued previous recommendations in mid-January.

Delta air lines are observed during the COVID-19 pandemic at JFK airport. (Lev Radin/Pacific Press/LightRockket via/Getty Images)

“The forecast has affected the recent decrease in consumers and confidence of the corporation, caused by an increase in macro -staming, the use of softness in domestic demand,” ” said Delta. “Premium, international and revenue growth trends correspond to expectations and reflect Delta’s diversified diversion database.”

Three airlines have released updates their recommendations before presentations at the JPMorgan Industrials Conference. They also arise as concern about whether the US can get into recession and uncertainty related Fluid situation Tariffs have grown in recent weeks, weighing both US consumers and enterprises.

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In 2024, the southwest saw almost 175.5 million passengers. In the same year, the American scored 226.4 million and Delta reported over 200 million.