American Airlines this week widened its projections for a full-year loss and said it will have to slow network expansion in 2027 as jet fuel prices continue to rise.
The carrier on Thursday said it expects an adjusted loss per diluted share between $1 and $1.60 for all of 2026. At the close of the second quarter in July, that range reached from a gain of 65 cents to a loss of 65 cents.
Overall, American posted a strong third quarter, and still expects year-over-year revenue growth between 19.5% and 22.5% in the fourth quarter. But fuel costs seem likely to eat away at profits. The airline now anticipates an average fuel price of approximately $4.70 per gallon, nearly double the price paid in the fourth quarter of 2025. At that price, American’s fuel expense would increase by about $2.8 billion compared to the fourth quarter of 2025.
The carrier also signaled that, like many of its U.S. competitors, it will limit capacity growth heading into next year.
“Given elevated fuel prices, American expects network growth in 2027 to slow from 2026 levels,” the carrier said.
For the fourth quarter alone, American is projecting an adjusted loss per diluted share between 50 cents and $1.10.
American’s leadership has faced growing pressure to improve profitability and close the gap with rivals United and Delta. CEO Robert Isom said Thursday that the carrier’s commercial strategy is working and cited significant revenue gains across premium cabin, main cabin, domestic, and international.