Table 10. Quarterly U.S. Scheduled Passenger Airlines Revenue, Expenses and Profits, 4Q 2017
Reports from 23 airlines in 4Q 2017, (Millions of dollars)
Dataset Table:
| 4Q 2016 | 4Q 2017 | Change | 2016-2017 % Change | % of 4Q 2017 Revenue or Expense Total | |
|---|---|---|---|---|---|
| Operating Revenue | |||||
| Passenger Fares (scheduled/charter) | 31,121.1 | 32,274.3 | 1,153.2 | 3.71 | 73.62 |
| Cargo | 717.3 | 843.7 | 126.4 | 17.62 | 1.92 |
| Baggage | 1,163.8 | 1,157.4 | -6.4 | -0.55 | 2.64 |
| Reservation Changes | 670.6 | 675.0 | 4.4 | 0.66 | 1.54 |
| Transport-Related* | 7,101.3 | 7,388.8 | 287.5 | 4.05 | 16.85 |
| Other** | 1,321.4 | 1,499.9 | 178.5 | 13.51 | 3.42 |
| Total Operating Revenue*** | 42,095.5 | 43,839.1 | 1,743.6 | 4.14 | 100.00 |
| Operating Expense | |||||
| Fuel | 6,026.2 | 7,053.4 | 1,027.2 | 17.05 | 17.75 |
| Labor | 13,189.8 | 13,563.5 | 373.7 | 2.83 | 34.14 |
| Rentals | 2,173.1 | 2,218.6 | 45.5 | 2.09 | 5.58 |
| Depreciation & Amortization | 2,179.8 | 2,308.4 | 128.6 | 5.90 | 5.81 |
| Landing Fees | 749.9 | 757.7 | 7.8 | 1.04 | 1.91 |
| Maintenance Materials | 648.0 | 608.7 | -39.3 | -6.06 | 1.53 |
| Transport-Related* | 4,521.9 | 5,092.4 | 570.5 | 12.62 | 12.82 |
| Other**** | 7,964.9 | 8,131.9 | 167.0 | 2.10 | 20.47 |
| Total Operating Expense | 37,453.6 | 39,734.6 | 2,281.0 | 6.09 | 100.00 |
| Profits or Losses | |||||
| Operating Profit | 4,641.9 | 4,104.5 | -537.4 | -11.58 | N/A |
| Operating Margin# (%) | 11.0 | 9.4 | -1.7 | N/A | N/A |
| Nonoperating Income/(Expense)## | -646.6 | -538.5 | 647.1 | 50.00 | N/A |
| Pre-Tax Income | 3,995.3 | 3,566.1 | -429.2 | -10.74 | N/A |
| Income Tax Benefit/(Expense) | -1,444.3 | 1,575.1 | 3,019.4 | -209.06 | N/A |
| Other Income/(Expense) | 0.0 | 0.0 | 0.0 | 0.0 | N/A |
| Net Income | 2,551.0 | 5,141.1 | 2,590.1 | 101.53 | N/A |
Notes:
* Transport-Related is revenue/expenses from services which grow from and are incidental to the air transportation services performed by the air carrier. Examples are in-flight onboard sales (food, liquor, pillows, etc), code share revenues, revenues and expenses from associated businesses (aircraft maintenance, fuel sales, restaurants, vending machines, etc).
** Other revenue includes miscellaneous operating revenue (including pet transportation, sale of frequent flyer award miles to airline business partners and standby passenger fees) and public service revenues subsidy.
*** Based on U.S. Department of Transportation accounting standards, Total Operating Revenues are overstated by code share revenues which are included in both the mainline Transport-Related Revenues and the code share Passenger Revenue. Code share revenues are expensed out in the mainline Transport-Related Expense to allow a true Operating Profit(Loss). This reporting may understate all components of operating revenue, including Passenger Revenue, as a percentage of Total Operating Revenue.
**** Other expense includes purchase of materials such as passenger food and other materials; and purchase of services such as advertising, communication, insurance, outside flight equipment maintenance, traffic commissions and other services.
# Operating margin is the operating profit or loss as a percentage of operating revenue
## Nonoperating Income and Expense includes interest on long-term debt and capital leases, other interest expense, foreign exchange gains and losses, capital gains and losses and other income and expenses.
### Net margin is the net income or loss as a percentage of operating revenue
Source:
Bureau of Transportation Statistics, Form 41; Schedules P1.2 and P6