Table 11. Domestic 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) | 23,299.3 | 23,946.2 | 646.9 | 2.78 | 71.13 |
| Cargo | 247.2 | 256.8 | 9.6 | 3.88 | 0.76 |
| Baggage | 956.4 | 918.0 | -38.4 | -4.02 | 2.73 |
| Reservation Changes | 449.0 | 452.0 | 3.0 | 0.67 | 1.34 |
| Transport-Related* | 6,580.7 | 6,867.0 | 286.3 | 4.35 | 20.40 |
| Other** | 1,081.1 | 1,224.2 | 143.1 | 13.24 | 3.64 |
| Total Operating Revenue*** | 32,613.7 | 33,664.2 | 1,050.5 | 3.22 | 100.00 |
| Operating Expense | |||||
| Fuel | 4,220.7 | 4,848.7 | 628.0 | 14.88 | 16.14 |
| Labor | 9,747.2 | 10,025.8 | 278.6 | 2.86 | 33.37 |
| Rentals | 1,709.8 | 1,742.9 | 33.1 | 1.94 | 5.80 |
| Depreciation & Amortization | 1,607.8 | 1,659.5 | 51.7 | 3.22 | 5.52 |
| Landing Fees | 591.3 | 580.4 | -10.9 | -1.84 | 1.93 |
| Maintenance Materials | 502.8 | 469.3 | -33.5 | -6.66 | 1.56 |
| Transport-Related* | 4,343.8 | 4,910.7 | 566.9 | 13.05 | 16.35 |
| Other**** | 5,829.2 | 5,804.6 | -24.6 | -0.42 | 19.32 |
| Total Operating Expense | 28,552.6 | 30,041.9 | 1,489.3 | 5.22 | 100.00 |
| Profits or Losses | |||||
| Operating Profit | 4,061.1 | 3,622.3 | -438.8 | -10.80 | N/A |
| Operating Margin# (%) | 12.5 | 10.8 | -1.7 | N/A | N/A |
| Nonoperating Income/(Expense)## | -556.5 | -448.4 | 108.1 | -19.42 | N/A |
| Pre-Tax Income | 3,504.6 | 3,173.9 | -330.7 | -9.44 | N/A |
| Income Tax Benefit/(Expense) | -1,207.1 | 1,670.1 | 2,877.2 | -238.36 | N/A |
| Other Income/(Expense) | 0.0 | 0.0 | 0.0 | 0.0 | N/A |
| Net Income | 2,297.5 | 4,844.0 | 2,546.5 | 110.84 | N/A |
| Net Margin### (%) | 7.0 | 14.4 | 7.3 | N/A | 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