Table 5. Domestic Quarterly U.S. Scheduled Passenger Airlines Revenue, Expenses and Profits, 3Q 2017
Reports from 24 airlines in 3Q 2017, (Millions of dollars)
Dataset Table:
| 3Q 2016 | 3Q 2017 | Change | 2016-2017 % Change | % of 3Q 2017 Revenue or Expense Total | |
|---|---|---|---|---|---|
| Operating Revenue | |||||
| Passenger Fares (scheduled/charter) | 23,598.4 | 24,117.4 | 519.0 | 2.20 | 71.67 |
| Cargo | 235.0 | 251.4 | 16.4 | 6.98 | 0.75 |
| Baggage | 867.6 | 950.1 | 82.5 | 9.51 | 2.82 |
| Reservation Changes | 467.6 | 464.7 | -2.9 | -0.62 | 1.38 |
| Transport-Related* | 6,703.4 | 6,693.3 | -10.1 | -0.15 | 19.89 |
| Other** | 1,063.6 | 1,172.8 | 109.2 | 10.27 | 3.49 |
| Total Operating Revenue*** | 32,935.6 | 33,649.7 | 714.1 | 2.17 | 100.00 |
| Operating Expense | |||||
| Fuel | 4,080.2 | 4,547.7 | 467.5 | 11.46 | 15.72 |
| Labor | 9,171.9 | 9,726.0 | 554.1 | 6.04 | 33.63 |
| Rentals | 1,717.2 | 1,711.0 | -6.2 | -0.36 | 5.92 |
| Depreciation & Amortization | 1,517.4 | 1,616.2 | 98.8 | 6.51 | 5.59 |
| Landing Fees | 588.8 | 603.2 | 14.4 | 2.45 | 2.09 |
| Maintenance Materials | 464.4 | 456.9 | -7.5 | -1.61 | 1.58 |
| Transport-Related* | 4,438.6 | 4,638.7 | 200.1 | 4.51 | 16.04 |
| Other**** | 5,516.0 | 5,624.0 | 108.0 | 1.96 | 19.44 |
| Total Operating Expense | 27,494.5 | 28,923.7 | 1,429.2 | 5.20 | 100.00 |
| Profits or Losses | |||||
| Operating Profit | 5,441.1 | 4,726.0 | -715.1 | -13.14 | N/A |
| Operating Margin# (%) | 16.5 | 14.0 | -2.5 | N/A | N/A |
| Nonoperating Income/(Expense)## | -1,002.7 | -415.7 | 587.0 | -58.54 | N/A |
| Pre-Tax Income | 4,438.4 | 4,310.3 | -128.1 | -2.89 | N/A |
| Income Tax Benefit/(Expense) | -1,854.2 | -1,672.0 | 182.2 | -9.83 | N/A |
| Other Income/(Expense) | 0.0 | 0.0 | 0.0 | 0.0 | N/A |
| Net Income | 2,584.2 | 2,638.4 | 54.2 | 2.10 | N/A |
| Net Margin### (%) | 7.8 | 7.8 | 0.0 | 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