AMR Corporation, the parent company of American Airlines, Inc., reports results for the third quarter ended September 30, 2013, including a net profit of $530 million, excluding reorganization and special items, a $420 million improvement year-over-year. On that basis, AMR said it is the most profitable quarter in company history.
Other highlights reported by AMR:
• Revenue of $6.8 billion, up 6.2 percent year-over-year; the highest quarterly revenue total in company history
• Consolidated unit costs, excluding fuel and special items, improved 5.0 percent year-over-year, marking the fourth consecutive quarter of unit cost reduction
• AMR ended the third quarter with approximately $7.7 billion in cash and short-term investments, including restricted cash, compared to a balance of approximately $5.1 billion at the end of the third quarter of 2012
• American continued its fleet renewal, taking delivery of ten fuel-efficient Airbus A319s, eight Boeing 737-800s, and one Boeing 777-300ER in the quarter, while also placing into service four Embraer E-175s operated by one of its affiliated regional carriers
• American and US Airways Group are vigorously defending the lawsuit filed by the Department of Justice seeking to enjoin their planned merger and continue to move forward with developing a merger integration plan
• American accrued $59 million in employee profit sharing in the quarter, and has accrued a total of $65 million for employee profit sharing this year. The anticipated distribution would be the first profit sharing payout in thirteen years
"We are pleased to report our highest quarterly net profit in American's history, excluding reorganization and special items, thanks to the hard work of the entire American team," said Tom Horton, AMR's chairman, president and CEO. "Continued execution on our product, network and alliance strategy, combined with cost efficiencies from restructuring and fleet renewal, creates strong momentum towards our planned merger with US Airways. And we are especially pleased to set aside $59 million this quarter in expectation of making our first profit-sharing payout since 2001 to our people who have done so much to put American back on top."
In the third quarter of 2013, GAAP net profit was $289 million, a $527 million improvement compared to the prior-year period. Excluding reorganization and special items, the third quarter 2013 net profit was $530 million. This is a $420 million improvement compared to the prior-year period. In the quarter, AMR had $241 million of reorganization and special items.