American Airlines revised its 2026 outlook downward on Thursday, projecting adjusted losses between $1 and $1.60 per share, compared with a prior forecast of losses between 65 cents and profits of 65 cents per share. The Fort Worth-based carrier attributed the deterioration to elevated jet fuel prices stemming from regional geopolitical developments.
Fuel costs represent the airline’s second-largest expense after labor, and the price surge has significantly impacted the industry. American’s fuel bill reached $4.64 billion in the third quarter, representing a 67.5% increase year-over-year. The fuel spike has driven airfares up more than 20% compared to the prior year, according to airline and federal data. Three other major U.S. carriers—Delta Air Lines, United Airlines, and Southwest Airlines—similarly reduced their 2026 forecasts during the same period.
Despite the challenging cost environment, American reported record third-quarter revenue of $16.34 billion, up 19.3% from the prior year, alongside a net loss of $269 million or 41 cents per share. Chief Executive Officer Robert Isom expressed confidence in returning to profitability in the following year, citing particularly strong performance in international and premium travel segments. The airline is implementing various strategic initiatives, including investments in premium cabin configurations, new airport lounges, and expanded partnerships such as a deepening of its joint business with Alaska Airlines.
Looking ahead, American expects fourth-quarter losses between 50 cents and $1.10 per share on an adjusted basis, with revenue projected to rise as much as 22.5% year-over-year. The airline announced it will moderate capacity growth next year. Additionally, executives indicated the company is advancing toward placing orders for new wide-body aircraft, with the Boeing 787 Dreamliner, Airbus A330, and Airbus A350 under consideration.
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