According to American Airlines CEO Doug Parker, things are looking good for them and the rest of the airline industry. He went so far as to say that airlines may never “lose money again.”
In 2016 American Airlines had a net income of $2.6 billion, so he might know what he’s talking about. On Thursday Doug spoke out at American’s Media and Investor Day and explained his reasoning.
“I don’t think we’re ever going to lose money again. We have an industry that is going to be profitable in good or bad times. We have an airline that is going to be profitable in good or bad times.”
Some of the increase in profit started occurring when larger airlines started merging with smaller ones. These new larger groups were then able to dominate the market where they couldn’t before. Flight prices are currently low and many people are taking advantage of the opportunity to travel.