American Airlines Group, Inc. · NASDAQ:AAL
American Airlines — Q4 2024 Earnings Presentation
18 slides from American Airlines's earnings presentation, Jan 23, 2025
Slide 1: Fourth-Quarter and Full-Year 2024 Financial Results
January 23, 2025 FOURTH- QUARTER AND FULL-YEAR 2024 FINANCIAL RESULTS American Airlines Group Inc. Exhibit 99.2
Slide 2: Forward-looking statements
Certain of the statements contained in this presentation should be considered forward-looking statements within the meaning of the Securities Act of 1933, as amended, the Securities Exchange Act of 1934, as amended, and the Private Securities Litigation Reform Act of 1995. These forward- looking sta
Slide 3: Strong fourth-quarter and full-year results
Strong fourth-quarter and full-year results • Achieved $15 billion total debt1 reduction goal a full year ahead of schedule. • Generated $4 billion in full-year operating cash flow and record full-year free cash flow2 of $2.2 billion. • Record full-year revenue of $54 billion. • Fourth-quarter GAAP
Slide 4: Fourth-quarter financial results
Fourth-quarter financial results Note: May not recalculate due to rounding. 1. See GAAP to non-GAAP reconciliation at the end of this presentation. Source: Airline financials. GAAP Non-GAAP1 (in millions, except share and per share amounts) Q4 2024 Q4 2023 Q4 2024 Q4 2023 Operating income $1,134 $65
Slide 5: Moderate capex enables strong free cash flow generation
$1.9 ~ $2 - $2.5 ~ $3 - $3.5 2024 2025E 2026E - 2030E Avg. Moderate capex enables strong free cash flow generation 1. Free cash flow is a non-GAAP measure. The company defines free cash flow as net cash provided by operating activities less net cash used in investing activities, adjusted for (1) net
Slide 6: Achieved $15 billion total debt reduction goal one year ahead of plan
$54 $39 < $35 $15 Q2 2021 (peak levels) Total debt reduction YE 2024 YE 2027E Achieved $15 billion total debt reduction goal one year ahead of plan Note: Numbers may not recalculate due to rounding. 1. Total debt includes debt, finance and operating lease liabilities and pension obligations. Source:
Slide 7: Commercial update
Commercial update
Slide 8: Co-branded credit card agreement
Co-branded credit card agreement • Citi to become the exclusive U.S. issuer of AAdvantage® co-branded credit cards in 2026. • 10-year agreement expected to expand loyalty and rewards offering for AAdvantage® members and Citi-branded cardmembers. • Combined Citi®/AAdvantage® card portfolio projected
Slide 9: Sales and distribution progress
(11%) (10%) (9%) Q2 24 Q3 24 Q4 24 Q1 25E Sales and distribution progress Indirect Channel Flown Revenue Performance1 9 • Revenue share in indirect channels showed continued improvement in Q4. • Remain on track to regain historical share of indirect revenue by year-end 2025 and expect sequential imp
Slide 10: First-quarter and full-year outlook
First-quarter and full-year outlook 1. CASM-ex is cost per available seat mile (CASM) excluding fuel and net special items and is a non-GAAP measure. All adjusted operating margin and adjusted earnings (loss) per diluted share guidance excludes the impact of net special items and are non-GAAP measur
Slide 11: Thank you, #AATeam!
Thank you, #AATeam!
Slide 12: GAAP to non-GAAP reconciliation
GAAP to non-GAAP reconciliation Reconciliation of GAAP Financial Information to Non-GAAP Financial Information American Airlines Group Inc. (the Company) sometimes uses financial measures that are derived from the condensed consolidated financial statements but that are not presented in accordance w
Slide 13: Reconciliation of Operating Income Excluding Net Special Items
GAAP to non-GAAP reconciliation Reconciliation of Operating Income Excluding Net Special Items 3 Months Ended December 31, Percent Increase 12 Months Ended December 31, Percent Increase 2024 2023 (Decrease) 2024 2023 (Decrease) (in millions) (in millions) Operating income as reported $ 1,134 $ 656 $
Slide 14: Reconciliation of Net Income Excluding Net Special Items
GAAP to non-GAAP reconciliation 3 Months Ended December 31, Percent Increase 12 Months Ended December 31, Percent Increase Reconciliation of Net Income Excluding Net Special Items 2024 2023 (Decrease) 2024 2023 (Decrease) (in millions, except share and per share amounts) (in millions, except share a
Slide 15: Free cash flow reconciliation
Free cash flow reconciliation The Company's free cash flow summary is presented in the table below, which is a non-GAAP measure that management believes is useful information to investors and others in evaluating the Company's ability to generate cash from its core operating performance that is avai
Slide 16: Adjusted EBITDAR margin reconciliation
Adjusted EBITDAR margin reconciliation The Company's adjusted EBITDAR and adjusted EBITDAR margin are presented below, which are non-GAAP measures that management uses to evaluate the Company's current operating performance. These non-GAAP measures may not be comparable to similarly titled non-GAAP
Slide 17: Net debt reconciliation
Net debt reconciliation Net debt is a non-GAAP measure defined as debt, finance and operating lease liabilities and pension obligations, net of unrestricted cash and short-term investments. See below for the reconciliation of net debt. Net Debt (at end of period) December 31, 2024 Debt and finance l
Slide 18: American Airlines
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American Airlines Group — Q4 2024 Earnings Presentation on 6ix