Rising Costs Threaten Profits for Airlines and Corporations
More companies, particularly airlines, are warning that higher costs, including fuel prices and employee pay hikes, will impact their profits this quarter. Delta Air Lines and American Airlines have both revised their earnings forecasts downwards due to increased fuel costs and new labor deals. Labor unions across various industries, from auto to entertainment, are pushing for better compensation. The surge in fuel prices and labor expenses is particularly challenging for airlines, which rely heavily on jet fuel and labor. The rising costs are putting pressure on companies' profitability, with some airlines experiencing lower sales and forecasting deeper losses for the quarter.
- More companies, especially airlines, warn higher costs will eat into profits CNBC
- Spirit and American airlines slash outlooks; Las Vegas dark amid cyber attacks; 3M stock slumps Yahoo Finance
- American Airlines makes a drastic cut to profit forecast as fuel prices soar CNN
- Costlier Fuel and Labor Cut Into Corporate Profit The Wall Street Journal
- 'Canary the in coal mine': Frontier cuts Q3 capacity forecast as bookings sag Flightglobal
Reading Insights
0
1
3 min
vs 4 min read
84%
616 → 101 words
Want the full story? Read the original article
Read on CNBC