American Airlines and AbbVie released their latest earnings reports before opening bell this morning. AbbVie reported adjusted earnings of $1.28 per share on $6.5 billion in revenue, compared to the Wall Street estimates of $1.26 per share and $6.5 billion in revenue. In last year’s first quarter, the drug maker reported $6 billion and $1.15 per share.
American Airlines reported adjusted earnings of 61 cents per share on $9.62 billion in revenue, compared to the analyst estimates of 57 cents per share and $9.62 billion. In last year’s first quarter, the airline reported $9.44 billion in revenue.
American Airlines’ profits fall
American Airlines’ GAAP earnings per share fell to 46 cents from $1.14 per share a year ago. Mainline passenger revenue rose to $6.6 billion from $6.56 billion last year, compared to the consensus of $6.54 billion. Revenue per available seat mile increased 3.1%, while total available seat miles fell 1.1% year over year. Fuel expenses skyrocketed by 37.8% year over year.
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American Airlines continues to expand its Basic Economy and Premium Economy fare options and describes early results for both as “encouraging.” The airline returned $563 million to shareholders though stock buybacks and dividends during the first quarter. It plans to invest $4.1 billion in new aircraft this year. For the second quarter, American Airlines expects total revenue per available seat mile to increase by 3% to 5%.
Shares of American Airlines slumped in premarket trading, falling by as much as 3.45% to $44.80.
AbbVie’s earnings rise
AbbVie’s GAAP earnings per share rose to $1.06 per share from 83 cents per share last year. Global Humira sales rose 15.1% on a reported basis, while Imbruvica sales amounted to $551 million, a 44.7% increase as reported. Viekira sales fell 36.3%, while Duodopa sales grew 17%.
AbbVie still expects full-year adjusted earnings to be between $5.44 and $5.54 per share and GAAP earnings to be between $4.55 and $4.65 per share.
Shares of AbbVie were unchanged at $65.04 in premarket trading this morning.