4th Quarter 2015 Airline Financial Data
Note: This press release includes revisions to 2014 numbers in Tables 1, 4, 5, 6, 7 and 8 as of May 3, 2016. See noted under each table for the revision details.
U.S. scheduled passenger airlines reported an after-tax net profit of $25.6 billion in 2015 up from $7.5 billion in 2014, the U.S. Department of Transportation’s Bureau of Transportation Statistics (BTS) reported today (Table 1).
Figure 1. U.S. Scheduled Service Passenger Airlines Net Income 2011-2015
As a group, the 25 U.S. airlines that operated scheduled passenger service in 2015 reported an after-tax net profit for the sixth consecutive year.
In addition to the after-tax net profit based on net income reports, the scheduled service passenger airlines reported a $28.0 billion pre-tax operating profit in 2015, up from $14.6 billion in 2014. As a group, the airlines reported a pre-tax operating profit for the seventh consecutive year (Tables 1, 4).
Net income or loss, and operating profit or loss, are two different measures of airline financial performance. Net income or loss may include non-operating income and expenses, nonrecurring items or income taxes. Operating profit or loss is calculated from operating revenues and expenses before taxes and other nonrecurring items.
Total operating revenue for all U.S. passenger airlines in 2015 was $168.9 billion. Airlines collected $126.9 billion from fares, 75.1 percent of total 2015 operating revenue (Table 7).
Total operating expenses for all passenger airlines in 2015 were $140.9 billion, of which fuel costs accounted for $27.0 billion, or 19.2 percent, and labor costs accounted for $45.4 billion, or 32.2 percent (Table 7).
In 2015, passenger airlines collected a total of $3.8 billion in baggage fees, 2.3 percent of total operating revenue, and $3.0 billion from reservation change fees, 1.8 percent of total operating revenue. Fees are included for calculations of net income, operating revenue and operating profit or loss (Table 7).
Baggage fees and reservation change fees are the only ancillary fees paid by passengers that are reported to BTS as separate items. Other fees, such as revenue from seating assignments and on-board sales of food, beverages, pillows, blankets, and entertainment are combined in different categories and cannot be identified separately.
See airline financial data press releases and the airline financial databases for historic data.
Annual Totals for Top 10 Scheduled Passenger Airlines
As a group, the top 10 U.S. scheduled passenger airlines, based on operating revenue, reported an after-tax net profit of $24.2 billion in 2015 (Table 2), up from a profit of $7.3 billion in 2014. These airlines carried 81.9 percent of U.S. airlines’ scheduled service passengers in 2015 and accounted for 94.6 percent of the scheduled passenger airline after-tax net profit.
In addition to the after-tax net income reports, the 10 top airlines reported a $27.3 billion pre-tax operating profit in 2015 (Table 2), up from a $14.2 billion pre-tax operating profit in 2014.
Annual Margins for All Scheduled Passenger Airlines
All U.S. scheduled passenger airlines reported a combined net income margin of 15.2 percent in 2015, up from a net margin of 4.4 percent in 2014. Net margin measures net income or loss as a percentage of operating revenue. These airlines reported an operating profit margin of 16.6 percent in 2015, up from 8.6 percent in 2014. Operating margin measures operating profit or loss as a percentage of operating revenue (Table 7).
4th Quarter Results for All Scheduled Passenger Airlines
U.S. scheduled passenger airlines reported an after-tax net profit of $7.7 billion in the fourth quarter of 2015, down from $9.3 billion in the third quarter and up from $242 million in the fourth quarter of 2014 (Table 4).
Figure 2. U.S. Scheduled Service Passenger Airlines Quarterly Net Income
As a group, the 25 U.S. scheduled service airlines reported an after-tax net profit for the eighth consecutive quarter.
In addition to the after-tax net profit based on net income reports, the scheduled service passenger airlines reported a $5.9 billion pre-tax operating profit in the fourth quarter of 2015, down from $8.8 billion in the third quarter and up from $2.0 billion in the fourth quarter of 2014. As a group, the airlines reported a pre-tax operating profit for the 17th consecutive quarter (Tables 4, 6).
Total operating revenue for all U.S. passenger airlines in the October-December fourth-quarter of 2015 was $40.3 billion. Airlines collected $30.0 billion from fares, 74.3 percent of total fourth-quarter operating revenue (Table 8).
Total operating expenses for all passenger airlines in the fourth-quarter of 2015 were $34.4 billion, of which fuel costs accounted for $5.8 billion, or 16.9 percent, and labor costs accounted for $11.4 billion, or 33.3 percent (Table 8).
In the fourth quarter, passenger airlines collected a total of $958 million in baggage fees, 2.4 percent of total operating revenue, and $715 million from reservation change fees, 1.8 percent of total operating revenue. Fees are included for calculations of net income, operating revenue and operating profit or loss (Table 8).
4th Quarter Totals for Top 10 Scheduled Passenger Airlines
As a group, the top 10 U.S. scheduled passenger airlines, based on operating revenue, reported an after-tax net profit of $7.5 billion in the fourth quarter of 2015, down from a profit of $10.8 billion in the third quarter and up from a profit of $239 million in the fourth quarter of 2014 (Table 5).
These airlines carried 63.5 percent of U.S. airlines’ scheduled service passengers in the fourth quarter and accounted for 96.7 percent of the scheduled passenger airline after-tax net profit.
In addition to the after-tax net income reports, the 10 top airlines reported a $5.8 billion pre-tax operating profit in the fourth quarter of 2015, down from a profit of $10.6 billion in the third quarter and up from a $1.9 billion pre-tax operating profit in the fourth quarter of 2014 (Table 6).
4th Quarter Margins for All Scheduled Passenger Airlines
All U.S. scheduled passenger airlines reported a combined net income margin of 19.1 percent in the fourth quarter of 2015, up from a net margin of 0.6 percent in the fourth quarter of 2014. Net margin measures the net income or loss as a percentage of operating revenue. These airlines reported an operating profit margin of 14.6 percent in the fourth quarter of 2015, up from 4.8 percent in the fourth quarter of 2014. Operating margin measures the operating profit or loss as a percentage of operating revenue (Table 8).
Reporting notes
Additional airline financial data can be found on the BTS website, including industry statistics for other individual low-cost and regional airlines. See tables for operating profit/loss, operating revenue and fuel cost and consumption. See the BTS financial databases for more detailed data.
By regulation, for the quarter ending Dec. 31, airlines that operate at least one aircraft that has more than 60 seats or the capacity to carry a payload of passengers, cargo and fuel weighing more than 18,000 pounds must report financial data to BTS by March 31. The airline filings are subject to a process of quality assurance and data validations before release to the public.
Data are compiled from quarterly financial and monthly traffic reports filed with BTS by commercial air carriers. U.S. scheduled passenger airlines are the U.S. airlines that provide scheduled passenger service within the U.S. and between the U.S. and foreign points. Cargo carriers and foreign airlines operating to and from the U.S. are not included.
Financial and traffic data include data received by BTS as of April 20. Revised carrier data and late data filings will be made available monthly on TranStats on the Monday following the second Tuesday of the month. All data are subject to revision. BTS will release first-quarter 2016 data on June 20.
Table 1. Annual U.S. Scheduled Service Passenger Airlines Financial Reports
Reports from 25 airlines in 2015
(Millions of dollars)
2011 | 2012 | 2013 | 2014 | 2015 | Dollar Change ($ in Millions) 2014-2015 | |
---|---|---|---|---|---|---|
Net Income | 489.6 | 98.3 | 12,168.5 | 7,446.5 | 25,595.5 | 18,149 |
Operating Profit/Loss | 5,246.0 | 6,003.3 | 11,311.0 | 14,600.0 | 27,993.2 | 13,393 |
Operating Revenue* | 153,293.9 | 156,470.3 | 161,596.7 | 169,276.5 | 168,874.2 | -402 |
Fares | 114,299.4 | 115,974.8 | 121,332.9 | 127,455.4 | 126,879.5 | -576 |
Baggage Fees | 3,392.7 | 3,449.7 | 3,350.1 | 3,529.3 | 3,813.5 | 284 |
Reservation Change Fees# | 2,389.5 | 2,538.2 | 2,814.1 | 2,939.9 | 3,011.8 | 72 |
Operating Expenses | 148,048.0 | 150,467.0 | 150,285.7 | 154,676.6 | 140,881.0 | -13,796 |
Fuel | 43,754.8 | 44,901.9 | 42,628.9 | 43,431.2 | 26,976.9 | -16,454 |
Labor | 35,377.0 | 37,195.3 | 38,042.7 | 40,770.8 | 45,385.0 | 4,614 |
Source: Bureau of Transportation Statistics, Form 41; Schedules P1.2 and P6
* Passenger airline operating revenue includes two other categories. 1) Transport-related is revenue 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 from associated businesses (aircraft maintenance, fuel sales, restaurants, vending machines, etc). 2) Miscellaneous operating revenue includes pet transportation, sale of frequent flyer award miles to airline business partners and standby passenger fees. See the P1.2 database http://www.transtats.bts.gov/Fields.asp?Table_ID=295.
#: 2014 Reservation Change Fee numbers and 2014-2015 dollar change for that category were revised on May 3, 2016.
Table 2. Annual Large Airline Systemwide (Domestic + International) Net Income, Profits and Revenue
Ranked by 2015 Operating Revenue
(millions of dollars)
Rank | Airline | Net Income | Operating Profit or Loss | Operating Revenue | Revenue from Fares | Percent of Revenue from Fares (%) |
---|---|---|---|---|---|---|
1 | AA-US Combined | 7,895 | 6,189 | 41,084 | 29,173 | 0.71 |
2 | Delta | 4539 | 7,845 | 40,816 | 28,437 | 0.70 |
3 | United | 7,301 | 5,167 | 37,864 | 26,333 | 0.70 |
4 | Southwest | 2181 | 4,117 | 19,820 | 18,347 | 0.93 |
5 | JetBlue | 677 | 1,198 | 6,416 | 5,907 | 0.92 |
6 | Alaska | 829 | 1,291 | 5,594 | 3,961 | 0.71 |
7 | Hawaiian | 193 | 431 | 2,313 | 2,015 | 0.87 |
8 | Spirit | 331 | 509 | 2,142 | 1,267 | 0.59 |
9 | SkyWest | 113 | 216 | 1,932 | 1,876 | 0.97 |
10 | Frontier | 146 | 276 | 1,604 | 1,277 | 0.80 |
10-Carrier Total | 24,204 | 27,239 | 159,585 | 118,592 | 0.74 | |
All Passenger Airlines | 25,596 | 27,993 | 168,874 | 126,880 | 0.75 |
Source: Bureau of Transportation Statistics, Form 41; Schedule P1.2 http://www.transtats.bts.gov/Fields.asp?Table_ID=295
Note: American and US Airways began combined reporting with 3Q 2015 data. American’s numbers in this table include US Airways’ numbers reported separately from January through June 2015. For US Airways report, see Schedule P1.2 http://www.transtats.bts.gov/Fields.asp?Table_ID=295.
Table 3. Annual Large Airline Systemwide (Domestic + International) Expense
Ranked by 2015 Operating Revenue
(millions of dollars)
Rank | Airline | Operating Expenses | Fuel Costs | Percent for Fuel (%) | Labor Costs | Percent for Labor (%) |
---|---|---|---|---|---|---|
1 | AA-US Combined | 34,895 | 6,189 | 17.7 | 10,066 | 28.8 |
2 | Delta | 32,971 | 6,503 | 19.7 | 10,445 | 31.7 |
3 | United | 32,697 | 6,345 | 19.4 | 10,014 | 30.6 |
4 | Southwest | 15,704 | 3,616 | 23.0 | 6,689 | 42.6 |
5 | JetBlue | 5,218 | 1,348 | 25.8 | 1,628 | 31.2 |
6 | Alaska | 4,303 | 808 | 18.8 | 1,233 | 28.6 |
7 | Hawaiian | 1,882 | 416 | 22.1 | 526 | 27.9 |
8 | Spirit | 1,632 | 461 | 28.3 | 378 | 23.2 |
9 | SkyWest | 1,716 | 115 | 6.7 | 732 | 42.6 |
10 | Frontier | 1,328 | 346 | 26.1 | 313 | 23.6 |
10-Carrier Total | 132,346 | 26,148 | 19.8 | 42,023 | 31.8 | |
All Passenger Airlines | 140,881 | 26,977 | 19.1 | 45,385 | 32.2 |
Source: Bureau of Transportation Statistics, Form 41; Schedule P1.2 http://www.transtats.bts.gov/Fields.asp?Table_ID=295
Note: American and US Airways began combined reporting with 3Q 2015 data. American’s numbers in this table include US Airways’ numbers reported separately from January through June 2015. For US Airways report, see Schedule P1.2 http://www.transtats.bts.gov/Fields.asp?Table_ID=295.
Table 4. Quarterly U.S. Scheduled Service Passenger Airlines Financial Reports
Reports from 25 airlines in 4Q 2015
(Millions of dollars)
4Q 2014 | 1Q 2015 | 2Q 2015 | 3Q 2015 | 4Q 2015 | Dollar Change 4Q2014-4Q2015 | |
---|---|---|---|---|---|---|
Net Income | 242 | 3,115 | 5,515 | 9,268 | 7,698 | 7,456 |
Operating Profit/Loss | 1,969 | 5,096 | 8,155 | 8,832 | 5,894 | 3,925 |
Operating Revenue* | 40,910 | 39,135 | 43,944 | 45,201 | 40,343 | -567 |
Fares | 30,579 | 29,416 | 33,249 | 34,090 | 29,976 | -603 |
Baggage Fees | 879 | 864 | 962 | 1,019 | 958 | 79 |
Reservation Change Fees# | 703 | 768 | 773 | 755 | 715 | 12 |
Operating Expenses | 38,941 | 34,044 | 35,788 | 36,370 | 34,449 | -4,492 |
Fuel | 10,950 | 7,188 | 7,926 | 7,071 | 5,817 | -5,133 |
Labor | 10,265 | 10,366 | 10,969 | 11,868 | 11,449 | 1,184 |
Source: Bureau of Transportation Statistics, Form 41; Schedules P1.2 and P6
* Passenger airline operating revenue includes two other categories. 1) Transport-related is revenue 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 from associated businesses (aircraft maintenance, fuel sales, restaurants, vending machines, etc). 2) Miscellaneous operating revenue includes pet transportation, sale of frequent flyer award miles to airline business partners and standby passenger fees. See the P1.2 database http://www.transtats.bts.gov/Fields.asp?Table_ID=295.
#: 4Q 2014 Reservation Change Fee numbers and 4Q2014-4Q2015 dollar change for that category were revised on May 3, 2016.
Table 5. Quarterly Large Airline Systemwide (Domestic + International) Net Income
Ranked by 4Q 2015 Operating Revenue
(millions of dollars)
Rank | Airline | 4Q 2014 | 1Q 2015 | 2Q 2015 | 3Q 2015 | 4Q 2015 | Dollar Change 4Q2014-4Q2015 |
---|---|---|---|---|---|---|---|
1 | AA-US Combined | 439 | 808 | 1,465 | 1,722 | 4,552 | 4,113 |
American | 178 | 569 | 1,052 | 1,722 | N/A | N/A | |
US Airways | 261 | 239 | 414 | N/A | N/A | N/A | |
2 | Delta | -703 | 748 | 1,490 | 1,319 | 988 | 1,690 |
3 | United | -9 | 509 | 1,193 | 4,776 | 824 | 832 |
4 | Southwest | 190 | 453 | 608 | 584 | 536 | 346 |
5 | JetBlue | 87 | 137 | 152 | 198 | 190 | 103 |
6 | Alaska | 147 | 145 | 228 | 268 | 187 | 40 |
7 | Hawaiian | 15 | 33 | 50 | 71 | 39 | 24 |
8 | Spirit | 58 | 69 | 80 | 103 | 79 | 21 |
9 | SkyWest | -11 | 17 | 31 | 37 | 28 | 39 |
10 | Frontier | 25 | 31 | 54 | 29 | 19 | -6 |
10-Carrier Total | 239 | 2,951 | 5,352 | 10,829 | 7,441 | 7,201 | |
All Passenger Airlines# | 242 | 3,115 | 5,515 | 9,268 | 7,698 | 7,456 |
Source: Bureau of Transportation Statistics, Form 41; Schedule P1.2
Note: American and US Airways began combined reporting with 3Q 2015 data. American’s numbers in this table include US Airways’ numbers reported separately from January through June 2015. For US Airways report, see Schedule P1.2 http://www.transtats.bts.gov/Fields.asp?Table_ID=295.
#: 4Q 2014 All Passenger Airlines numbers and 4Q2014-4Q2015 dollar change for that category were revised on May 3, 2016.
Table 6. Quarterly Large Airline Systemwide (Domestic + International) Operating Profit/Loss
Ranked by 4Q 2015 Operating Revenue
(millions of dollars)
Rank | Airline | 4Q 2014 | 1Q 2015 |
2Q 2015 |
3Q 2015 |
4Q 2015 |
Dollar Change 4Q2014-4Q2015 |
---|---|---|---|---|---|---|---|
1 | AA-US Combined | 840 | 1,202 | 1,957 | 2,003 | 1,063 | 223 |
American | 345 | 760 | 1,206 | 2,003 | N/A | N/A | |
US Airways | 495 | 441 | 752 | N/A | N/A | N/A | |
2 | Delta | -772 | 1,399 | 2,477 | 2,222 | 1,722 | 2,494 |
3 | United | 626 | 741 | 1,446 | 1,900 | 1,081 | 456 |
4 | Southwest | 620 | 780 | 1,085 | 1,225 | 1,026 | 406 |
5 | JetBlue | 161 | 244 | 282 | 350 | 323 | 162 |
6 | Alaska | 240 | 238 | 362 | 433 | 258 | 18 |
7 | Hawaiian | 77 | 72 | 92 | 156 | 111 | 33 |
8 | Spirit | 90 | 109 | 112 | 157 | 120 | 30 |
9 | SkyWest | -5 | 37 | 59 | 68 | 52 | 57 |
10 | Frontier | 39 | 50 | 88 | 99 | 40 | 1 |
10-Carrier Total | 1,916 | 4,871 | 7,962 | 10,615 | 5,796 | 3,880 | |
All Passenger Airlines# | 1,969 | 5,096 | 8,155 | 8,832 | 5,894 | 3,925 |
Source: Bureau of Transportation Statistics, Form 41; Schedule P1.2
Note: American and US Airways began combined reporting with 3Q 2015 data. American’s numbers in this table include US Airways’ numbers reported separately from January through June 2015. For US Airways report, see Schedule P1.2 http://www.transtats.bts.gov/Fields.asp?Table_ID=295.
#: 4Q 2014 All Passenger Airlines numbers and 4Q2014-4Q2015 dollar change for that category were revised on May 3, 2016.
Table 7. Jan-Dec U.S. Scheduled Passenger Airlines Revenue, Expenses and Profits
Reports from 25 airlines in 2015
(millions of dollars)
Jan-Dec 2014 | Jan-Dec 2015 | $ Change | 2014-2015 % Change | % of YTD 2015 Revenue or Expense Total | |
---|---|---|---|---|---|
Operating Revenue | |||||
Passenger Fares (scheduled/charter) | 127,455.4 | 126,879.5 | -575.9 | -0.45 | 75.13 |
Cargo | 3,078.2 | 2,890.1 | -188.1 | -6.11 | 1.71 |
Baggage | 3,529.3 | 3,813.5 | 284.2 | 8.05 | 2.26 |
Reservation Changes | 2,939.9 | 3,011.8 | 71.9 | 2.45 | 1.78 |
Transport-Related* | 28,125.2 | 27,384.0 | -741.2 | -2.64 | 16.22 |
Other**### | 4,148.5 | 4,895.3 | 746.8 | 18.00 | 2.90 |
Total Operating Revenue### | 169,276.5 | 168,874.2 | -402.3 | -0.24 | 100.00 |
Operating Expense | |||||
Fuel | 43,431.2 | 26,976.9 | -16,454.3 | -37.89 | 19.15 |
Labor | 40,770.8 | 45,385.0 | 4,614.2 | 11.32 | 32.22 |
Rentals | 8,507.9 | 8,611.8 | 103.9 | 1.22 | 6.11 |
Depreciation & Amortization | 7,083.0 | 7,483.4 | 400.4 | 5.65 | 5.31 |
Landing Fees | 2,803.5 | 2,853.2 | 49.7 | 1.77 | 2.03 |
Maintenance Materials | 2,882.5 | 2,534.6 | -347.9 | -12.07 | 1.80 |
Transport-Related* | 20,711.0 | 18,172.5 | -2,538.5 | -12.26 | 12.90 |
Other***### | 28,486.7 | 28,863.6 | 376.9 | 1.32 | 20.49 |
Total Operating Expense### | 154,676.6 | 140,881.0 | -13,795.6 | -8.92 | 100.00 |
Profits or Losses | |||||
Operating Profit | 14,600.0 | 27,993.2 | 13,393.2 | 91.73 | N/A |
Operating Margin**** (%) | 8.6 | 16.6 | 8.0 | N/A | N/A |
Nonoperating Income/(Expense)# | -4,748.1 | -4,103.5 | 644.6 | -13.58 | N/A |
Pre-Tax Income | 9,851.9 | 23,889.8 | 14,037.9 | 142.49 | N/A |
Income Tax Benefit/(Expense) | -2,405.5 | 1,705.7 | 4,111.2 | -170.91 | N/A |
Other Income/(Expense) | 0.0 | 0.0 | 0.0 | N/A | N/A |
Net Income | 7,446.5 | 25,595.5 | 18,149.0 | 243.73 | N/A |
Net Margin## (%) | 4.4 | 15.2 | 10.8 | N/A | N/A |
Source: Bureau of Transportation Statistics, Form 41; Schedules P1.2 http://www.transtats.bts.gov/Fields.asp?Table_ID=295 and P6 http://www.transtats.bts.gov/Fields.asp?Table_ID=291
###: 2014 Total Operating Revenue, Other Revenue, Total Operating Expense, Other Expense numbers. dollar change and percent change for those categories were revised on May 3, 2016.
* 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.
*** 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.
Table 8. Quarterly U.S. Scheduled Passenger Airlines Revenue, Expenses and Profits
Reports from 25 airlines in 4Q 2015
(millions of dollars)
4Q 2014 | 4Q 2015 | Change | 2014-2015 % Change | % of 4Q 2015 Revenue or Expense Total | |
---|---|---|---|---|---|
Operating Revenue | |||||
Passenger Fares (scheduled/charter) | 30,579.5 | 29,975.9 | -603.6 | -1.97 | 74.30 |
Cargo### | 821.7 | 710.8 | -110.9 | -13.50 | 1.76 |
Baggage | 879.1 | 957.8 | 78.7 | 8.95 | 2.37 |
Reservation Changes### | 702.7 | 715.0 | 12.3 | 1.75 | 1.77 |
Transport-Related* | 6,859.9 | 6,707.3 | -152.6 | -2.22 | 16.63 |
Other**### | 1,067.2 | 1,275.7 | 208.5 | 19.54 | 3.16 |
Total Operating Revenue### | 40,910.1 | 40,342.5 | -567.6 | -1.39 | 100.00 |
Operating Expense | |||||
Fuel | 10,950.1 | 5,817.2 | -5,132.9 | -46.88 | 16.89 |
Labor | 10,264.8 | 11,449.0 | 1,184.2 | 11.54 | 33.23 |
Rentals | 2,097.9 | 2,144.2 | 46.3 | 2.21 | 6.22 |
Depreciation & Amortization | 1,824.5 | 1,916.6 | 92.1 | 5.05 | 5.56 |
Landing Fees | 696.9 | 694.2 | -2.7 | -0.39 | 2.02 |
Maintenance Materials | 737.4 | 557.1 | -180.3 | -24.45 | 1.62 |
Transport-Related* | 4,954.5 | 4,351.2 | -603.3 | -12.18 | 12.63 |
Other*** | 7,415.2 | 7,519.5 | 104.3 | 1.41 | 21.83 |
Total Operating Expense | 38,941.3 | 34,449.0 | -4,492.3 | -11.54 | 100.00 |
Profits or Losses | |||||
Operating Profit | 1,968.8 | 5,893.5 | 3,924.7 | 199.34 | N/A |
Operating Margin**** (%) | 4.8 | 14.6 | 9.8 | N/A | N/A |
Nonoperating Income/(Expense)# | -1,735.5 | -1,289.7 | 445.8 | -25.69 | N/A |
Pre-Tax Income | 233.3 | 4,603.9 | 4,370.6 | 1,873.38 | N/A |
Income Tax Benefit/(Expense) | 8.9 | 3,094.7 | 3,085.8 | 34,671.91 | N/A |
Other Income/(Expense) | 0.0 | 0.0 | 0.0 | N/A | N/A |
Net Income | 242.2 | 7,698.5 | 7,456.3 | 3,078.57 | N/A |
Net Margin## (%) | 0.6 | 19.1 | 18.5 | N/A | N/A |
Source: Bureau of Transportation Statistics, Form 41; Schedules P1.2 and P6
###: 4Q2014 Total Operating Revenue, Cargo Revenue, Reservation Change Fee Revenue and Other Revenue numbers, dollar change and percent change for those categories were revised on May 3, 2016.
* 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.
*** 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.