People move through a crowded JFK International Airport days before the 4th of July holiday on July 02, 2024 in New York City. As the summer travel season takes off, millions of Americans and tourists are experiencing long delays and congestion at airports, train stations and on highways. July is the busiest month of travel in the U.S.Spencer Platt | Getty Images News | Getty ImagesMaking money in the summer is not as easy as it used to be for airlines.Airlines have drawn down their schedules in August for a variety of reasons. Some travelers are opting to fly earlier, in June or even May, as schools let out sooner than they used to. Demand for flights to Europe has also been moving from the sweltering, crowded summer to the fall, airline executives have said, especially for travelers with more flexibility, like retirees.Carriers still make the bulk of their money in the second and third quarters. But as travel demand has shifted, and in some cases customers have become altogether unpredictable, making the third quarter less of a shoo-in moneymaker for airlines.Change of plans, pricier ticketsAirline planners have been forced to get more surgical with schedules in August as leisure demand tapers off from the late spring and summer peaks. Labor and other costs have jumped after the pandemic, so getting the mix of flights right is essential.Carriers across the industry have been taking flights off the schedule after an overhang of too much capacity pushed down fares this summer. But the capacity cuts are set to further drive up airfares, which rose 0.7% in July from last year, and a seasonally adjusted 4% jump from June to July, according to the latest U.S. inflation read.[embedded content]U.S. airlines’ domestic capacity is down 6% in August from July, according to aviation data firm Cirium. The same period last year, they cut domestic capacity just over 4% compared with just a 0.6% downsize between the months in 2023, Cirium said. From July to August in 2019, airlines cut 1.7% of capacity.Carriers that bet on a blockbuster year were left disappointed earlier in 2025 when consumers weighed President Donald Trump’s on-again, off-again tariffs and ec …
