Source: US DOT

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U.S. scheduled passenger airlines reported a third-quarter 2021 after-tax net profit of $2.7 billion and a pre-tax operating loss of $187 million.

The third-quarter positive after-tax net profit is the second consecutive quarterly profit and the second quarterly profit since the onset of the COVID-19 pandemic. The airlines increased their second-quarter profit ($1.0 billion) by 170%. The third-quarter pre-tax operating loss of $187 million was also improved from the second-quarter loss of $3.6 billion.

U.S. airline financial reports are filed quarterly with the Bureau of Transportation Statistics (BTS). See the tables that accompany this release on the BTS website for additional third-quarter 2021 financial results (Tables 1-6).

Payroll protection payments received by airlines are included as net income. Payroll protection payments used for salaries are included as labor expenses.

Systemwide operations, includes 24 U.S. airlines:

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After-tax net profit/loss (net income)

  • $2.7 billion profit in 3Q 2021
  • Compared to $1.0 billion profit in 2Q 2021
  • Compared to $11.8 billion loss in 3Q 2020
  • Compared to $4.6 billion profit in pre-pandemic 3Q 2019

Pre-tax operating profit/loss

  • $187 million loss in 3Q 2021
  • Compared to $3.6 billion loss in 2Q 2021
  • Compared to $15.9 billion loss in 3Q 2020
  • Compared to $6.4 billion profit in pre-pandemic 3Q 2019

Total 3Q 2021 operating revenue: $39.4 billion
Share of total 3Q 2021 operating revenue:

  • Fares: $27.0 billion, 68.6%, compared to $8.2 billion in 3Q 2020
  • Baggage fees: $1.6 billion, 4.0%, compared to $601.3 million in 3Q 2020
  • Reservation change fees: $233.6 million, 0.6%, compared to $61.9 million in 3Q 2020

Fees above are included for calculations of net income, operating revenue and operating profit or loss.

Total 3Q 2021 operating expenses: $39.6 billion
Share of total 3Q 2021 operating expenses:

  • Fuel: $6.7 billion, 16.8%, compared to 2.1 billion in 3Q 2020
  • Labor: $13.9 billion, 35.2%, compared to 12.5 billion in 3Q 2020

Domestic operations, includes 24 U.S. airlines:

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After-tax domestic net profit/loss (net income)

  • $2.6 billion profit in 3Q 2021
  • Compared to $1.8 billion profit in 2Q 2021
  • Compared to $9.5 billion loss in 3Q 2020
  • Compared to $3.2 billion profit in pre-pandemic 3Q 2019

Pre-tax domestic operating profit/loss

  • $81 million profit in 3Q 2021
  • Compared to $2.1 billion loss in 2Q 2021
  • Compared to $13.7 billion loss in 3Q 2020
  • Compared to $4.7 billion profit in pre-pandemic 3Q 2019

3Q 2021 domestic operating revenue: $32.4 billion
Share of total 3Q 2021 domestic operating revenue:

  • Fares: $22.0 billion, 67.8%, compared to 7.1 billion in 3Q 2020
  • Baggage fees: $1.3 billion, 3.9%, compared to 520.7 million in 3Q 2020
  • Reservation change fees: $205.1 million, 0.6%, compared to 53.3 million in 3Q 2020

3Q 2021 domestic operating expenses: $32.3 billion
Share of total 3Q 2021 domestic operating expenses:

  • Fuel: $5.1 billion, 15.7%, compared to 1.6 billion in 3Q 2020
  • Labor: $11.2 billion, 34.7%, compared to 10.5 billion in 3Q 2020

International operations, includes 19 U.S. airlines:

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 After-tax international net profit/loss (net income)

  • $148.7 million profit in 3Q 2021
  • Compared to $773.8 billion loss in 2Q 2021
  • Compared to $2.3 billion loss in 3Q 2020
  • Compared to $1.3 billion profit in pre-pandemic 3Q 2019

Pre-tax international operating profit/loss

  • $267.6 million loss in 3Q 2021
  • Compared to $1.5 billion loss in 2Q 2021
  • Compared to $2.3 billion loss in 3Q 2020
  • Compared to $1.7 billion profit in pre-pandemic 3Q 2019

3Q 2021 international operating revenue: $7.0 billion
Share of total 3Q 2021 international operating revenue:

  • Fares: $5.1 billion, 72.5%, compared to 1.1 billion in 3Q 2020
  • Baggage fees: $302.6 million, 4.3%, compared to 80.6 million in 3Q 2020
  • Reservation change fees: $28.5 million, 0.4%, compared to 8.6 million in 3Q 2020

3Q 2021 international operating expenses: $7.3 billion
Share of total 3Q 2021 international operating expenses:

  • Fuel: $1.6 billion, 21.7%, compared to 452.3 million in 3Q 2020
  • Labor: $2.7 billion, 37.3%, compared to 1.9 billion in 3Q 2020

3rd Quarter Margins

Net margin is the net income or loss as a percentage of operating revenue. Operating margin is the operating profit or loss as a percentage of operating revenue.

Systemwide:

Net income margin:

  •  6.9% in 3Q 2021
  • Compared to -83.8% in 3Q 2020

Operating margin:

  • -0.5% in 3Q 2021
  • Compared to -113.5% in 3Q 2020

Domestic

Net income margin:

  • 7.9% in 3Q 2021
  • Compared to -78.7% in 3Q 2020

Operating margin:

  • 0.3% in 3Q 2021
  • Compared to -113.9% in 3Q 2020

International

Net income margin:

  • 2.1% in 3Q 2021
  • Compared to -113.9% in 3Q 2020

Operating margin:

  • -3.8% in 3Q 2021
  • Compared to -111.1% in 3Q 2020

Reporting notes

Additional data: BTS website, see tables for operating profit/lossoperating revenue and fuel cost and consumption. See the BTS financial databases for more detailed data including numbers for individual airlines.