Net Profit Margin
since 2013
Calculation
American Airlines Group Inc., net profit margin, long-term trends, calculation
| Net profit margin | = | 100 | × | Net income (loss)1 | ÷ | Operating revenues1 | |
|---|---|---|---|---|---|---|---|
| Dec 31, 2023 | 1.56% | = | 100 | × | 822) | ÷ | 52,788) |
| Dec 31, 2022 | 0.26% | = | 100 | × | 127) | ÷ | 48,971) |
| Dec 31, 2021 | -6.67% | = | 100 | × | (1,993) | ÷ | 29,882) |
| Dec 31, 2020 | -51.25% | = | 100 | × | (8,885) | ÷ | 17,337) |
| Dec 31, 2019 | 3.68% | = | 100 | × | 1,686) | ÷ | 45,768) |
| Dec 31, 2018 | 3.17% | = | 100 | × | 1,412) | ÷ | 44,541) |
| Dec 31, 2017 | 4.55% | = | 100 | × | 1,919) | ÷ | 42,207) |
| Dec 31, 2016 | 6.66% | = | 100 | × | 2,676) | ÷ | 40,180) |
| Dec 31, 2015 | 18.57% | = | 100 | × | 7,610) | ÷ | 40,990) |
| Dec 31, 2014 | 6.76% | = | 100 | × | 2,882) | ÷ | 42,650) |
| Dec 31, 2013 | -6.86% | = | 100 | × | (1,834) | ÷ | 26,743) |
Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31).
1 US$ in millions
The financial data reveals notable fluctuations in net income over the analyzed period. Initially, the company experienced a significant net loss in 2013, followed by a sharp recovery with increasing net income reaching a peak in 2015. After 2015, net income generally declined, with a pronounced loss occurring in 2020, corresponding to a period of reduced operating revenues. Modest recovery signs are observable in 2021 through 2023, as net income turned positive again, albeit at levels considerably lower than the mid-decade peak.
Operating revenues demonstrate an overall upward trend from 2013 to 2019, growing steadily each year with minor fluctuations in 2015 and 2016. A substantial decline in operating revenues is evident in 2020, reflecting a significant contraction in business activity. This downturn is followed by a robust rebound in 2021, continuing into 2022 and 2023, surpassing pre-2020 revenue levels.
The net profit margin aligns closely with the trends observed in net income. The margin improved significantly from a negative figure in 2013 to a high point in 2015, indicating strong profitability. Subsequently, the margin contracted gradually until 2019 and then deteriorated sharply in 2020, becoming deeply negative. Post-2020, margins show incremental recovery but remain low, suggesting continued pressure on profitability despite revenue growth.
- Net Income (Loss)
- Significant volatility with peak profitability in 2015; a steep loss in 2020 followed by gradual recovery through 2023.
- Operating Revenues
- Steady growth from 2013 to 2019, sharp decline in 2020, with strong rebound and surpassing of previous highs by 2022 and 2023.
- Net Profit Margin
- Transition from negative to high positive margins by 2015; continuous decline thereafter with a substantial drop in 2020, followed by slow improvement but remaining below earlier peak levels.
The data suggests that while revenue streams have rebounded strongly after the significant downturn in 2020, profitability remains subdued compared to peak years. The 2020 decline aligns with extraordinary challenges, likely impacting operational efficiency and cost structures, as reflected in the net profit margin and net income figures. Recovery efforts have improved results, but margins indicate persistent pressures on earnings quality and cost management.
Comparison to Competitors
American Airlines Group Inc., net profit margin, long-term trends, comparison to competitors
| American Airlines Group Inc. | FedEx Corp. | Uber Technologies Inc. | Union Pacific Corp. | United Airlines Holdings Inc. | United Parcel Service Inc. | |
|---|---|---|---|---|---|---|
| Dec 31, 2023 | 1.56% | 4.41% | 5.06% | 26.45% | 4.87% | 7.37% |
| Dec 31, 2022 | 0.26% | 4.09% | -28.68% | 28.13% | 1.64% | 11.51% |
| Dec 31, 2021 | -6.67% | 6.23% | -2.84% | 29.92% | -7.97% | 13.25% |
| Dec 31, 2020 | -51.25% | 1.86% | -60.76% | 27.38% | -46.04% | 1.59% |
| Dec 31, 2019 | 3.68% | 0.77% | -60.13% | 27.27% | 6.96% | 5.99% |
| Dec 31, 2018 | 3.17% | 6.99% | — | 26.13% | 5.15% | 6.67% |
| Dec 31, 2017 | 4.55% | 4.97% | — | 50.43% | 5.65% | 7.45% |
| Dec 31, 2016 | 6.66% | 3.61% | — | 21.23% | 6.19% | 5.63% |
| Dec 31, 2015 | 18.57% | 2.21% | — | 21.88% | 19.39% | 8.30% |
| Dec 31, 2014 | 6.76% | 4.60% | — | 21.59% | 2.91% | 5.21% |
| Dec 31, 2013 | -6.86% | 3.52% | — | 19.98% | 1.49% | 7.89% |
Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31).
Comparison to Sector (Transportation)
American Airlines Group Inc., net profit margin, long-term trends, comparison to sector (transportation)
| American Airlines Group Inc. | Transportation | |
|---|---|---|
| Dec 31, 2023 | 1.56% | 7.28% |
| Dec 31, 2022 | 0.26% | 4.73% |
| Dec 31, 2021 | -6.67% | 9.05% |
| Dec 31, 2020 | -51.25% | -2.93% |
| Dec 31, 2019 | 3.68% | 2.42% |
| Dec 31, 2018 | 3.17% | 8.67% |
| Dec 31, 2017 | 4.55% | 11.21% |
| Dec 31, 2016 | 6.66% | 7.00% |
| Dec 31, 2015 | 18.57% | 10.88% |
| Dec 31, 2014 | 6.76% | 6.86% |
| Dec 31, 2013 | -6.86% | 6.81% |
Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31).
Comparison to Industry (Industrials)
American Airlines Group Inc., net profit margin, long-term trends, comparison to industry (industrials)
| American Airlines Group Inc. | Industrials | |
|---|---|---|
| Dec 31, 2023 | 1.56% | 8.32% |
| Dec 31, 2022 | 0.26% | 5.04% |
| Dec 31, 2021 | -6.67% | 5.85% |
| Dec 31, 2020 | -51.25% | 0.09% |
| Dec 31, 2019 | 3.68% | 4.11% |
| Dec 31, 2018 | 3.17% | 4.75% |
| Dec 31, 2017 | 4.55% | 5.79% |
| Dec 31, 2016 | 6.66% | 7.43% |
| Dec 31, 2015 | 18.57% | 6.48% |
| Dec 31, 2014 | 6.76% | 8.76% |
| Dec 31, 2013 | -6.86% | 8.23% |
Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31).