The heavy snowstorm that hit at least 20 US states in recent days, including the capital Washington and New York City, has "frozen" airline revenue, directly affected by the disruption of the country's main airports.
American Airlines estimates that the recent winter storm will cause losses of up to $200 million, which will be reported in the first quarter 2026 financial statements. However, the actual amount could be even higher, depending on the strength of the impact of the weather conditions on the industry.
“The storm has resulted in more than nine thousand flight cancellations to date, making it the largest weather-related operational disruption in American Airlines history,” the airline said in a statement. This will mean, according to the company, a 1.5 percentage point increase in the cost per available seat mile.
The storm, which was strongest last weekend in the United States, is expected to result in insured losses of at least US$1 billion, according to industry experts.
On Monday, January 26, the company reported that five of its nine operations centers were severely affected by Tropical Storm Fern. The greatest damage was to its main center, located at Dallas International Airport.
"It is also affecting cities that normally lack the necessary infrastructure to handle these conditions, which in turn has created staffing problems, as team members, suppliers, and federal partners are having difficulty getting around on the roads," the airline explained.
According to American Airlines CEO Robert Isom, the airline should "get back on track" in the next two or three days, despite the enormous financial impact, Reuters reported.
On Tuesday, January 27th, the airline's shares on Nasdaq were down 2.9% at approximately 11:20 AM (local time). Over the last five days, losses totaled 6%.
The snowstorm, however, was not the only negative impact recently caused by disruptions to aircraft operations at major American airports.
According to the company, the US government shutdown in November 2025, caused by delays in Congressional approval of the federal budget, affected the sector due to the shutdown of public employees working in air traffic control. The negative impact as a result reached US$325 million.
The projected impact of the winter storm on next quarter's revenue is included in the company's 2025 earnings report. Over the past 12 months, American Airlines achieved revenue of $54.6 billion, a 0.8% increase over the $54.2 billion in 2024.
The airline's total operating revenue in the fourth quarter increased 2.5% to approximately US$14 billion, slightly below the US$14.03 billion expected by analysts.
Most of the impact of the shutdown in 2025 was felt in domestic operations, where revenue per passenger fell 2.5% compared to the previous year.
"Excluding the negative impact of the government shutdown, revenue per domestic passenger would have been positive for the quarter. Premium products continued to deliver exceptional performance, with revenue per passenger in this segment exceeding that of economy class in the fourth quarter," American Airlines reported.
The company reduced its debt by US$2.1 billion in 2025, ending the year with US$36.5 billion in total debt and US$30.7 billion in net debt. The expectation is to reach the target of US$35 billion in total debt in 2026, a year ahead of schedule.
In any case, even though it is calculating the loss for the next quarter, the company reported that revenue for the first weeks of 2026 shows double-digit growth compared to the same period of the previous year, driven by the strong performance of premium cabins and corporate channels.
Over the past 12 months, the airline's shares have depreciated by 17.8%. American Airlines is valued at US$9.3 billion.
