American Airlines Beats Q2 Earnings Estimates Despite Q1 Loss; CEO Urges Boeing on Safety Issues

In the given article, American Airlines reported a loss for Q1 but forecasted higher-than-expected earnings for Q2. The airline expects adjusted EPS between $1.15 and $1.45 in Q2 compared to estimates of $1.18 compiled by LSEG analysts. Despite an initial dip in financial results, American remains confident about achieving its full-year targets announced earlier. CEO Robert Isom urged Boeing to improve the quality control and safety issues that have affected several airlines including Southwest, United, and Alaska Airlines. The airline will receive seven fewer aircraft from Boeing than previously anticipated due to these crises but expects minimal impact on operations as per Isom’s statement in an interview with CNBC. This is summarized as American suffered a net loss of $312 million or 48 cents/share for Q1, compared to profits worth $10m or 2cents/share last year. Revenue rose by almost 3% at $12.57bn while operating expenses increased nearly 7%, with salaries and related costs increasing substantially. These numbers have been provided after deducting non-operating, nonrecurring items such as labor contract costs (Phil LeBeau contributed to this report).