US major airlines earned combined $2.32 billion in 2010 net income

United Continental led the US industry with pro forma 2010 net income of $854 million. Courtesy photo.

The US's eight largest airline companies (counting United Airlines and Continental Airlines as one) earned collective 2010 net income of $2.32 billion with all but American Airlines profitable for the full year, ATW calculated.

That result reversed a $3.21 billion net loss in 2009. Total 2010 revenue rose 14.8% compared to 2009 to $122.18 billion, outpacing a 7.9% lift in expenses to $115.14 billion, producing operating income of $7.05 billion, reversed from an operating deficit of $236 million in 2009.

US majors maintained their commitment to capacity discipline in 2010, collectively raising ASMs just 1.1% over 2009. Traffic increased 3.1% and load factor improved 1.6 points to 82.4%. Average yield increased 7% to 13.22 cents as RASM lifted 11.7% to 11.59 cents and CASM heightened 6.6% to 11.41 cents. CASM ex-fuel was up 2.1% to 7.82 cents.

United Continental Holdings, parent of merger partners UA and CO, led the US industry with pro forma 2010 net income of $854 million, reversed from a combined UA/CO loss of $718 million in 2009. Delta Air Lines posted 2010 net income of $593 million, a major reversal from a $1.24 billion net loss in 2009, while Southwest Airlines' $459 million 2010 profit more than quadrupled a $99 million profit in 2009 and marked the LCC's 38th consecutive year in the black.

American parent AMR Corp. was the worst performer among US majors in 2010, incurring a net loss of $471 million that was narrowed from a net deficit of $1.47 billion in 2009.