US Airways Posts Record Third Quarter

US AIrways said capacity discipline, schedule integrity and an improving economy led to a a $243 million profit.
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Tempe, Ariz. (

TheStreet

) --

US Airways

(LCC)

reported the highest third-quarter profit in its history.

Excluding special items, the carrier earned $243 million, or $1.23 a share. Analysts surveyed by Thomson Reuters had estimated $1.17 a share. Revenue rose 16.9% to $3.2 billion, in line with estimates.

Including items, US Airways earned $240 million or $1.22 a share. In the same quarter a year earlier, including items, the company lost $80 million, equivalent to a loss of 60 cents a share.

"We have returned US Airways to profitability and a leading position among our peers in financial and operational metrics by reducing capacity, realigning our network to focus on our primary assets, maintaining cost discipline, increasing ancillary revenues and establishing industry-leading operational reliability," said CEO Doug Parker in a prepared statement.

The carrier noted that "a modestly improving economy and continued industry capacity discipline led to improved revenue performance."

During the quarter, total revenue per available seat mile rose 15%, driven by a 13.6% increase in passenger yields. Capacity increased 1.6%. On the cost side, mainline cost per available seat mile excluding fuel and special items was flat at 8.06 cents. Excluding fuel and special items and profit sharing, mainline CASM decreased 1.6% to 7.93 cents.

-- Written by Ted Reed in Charlotte, N.C.

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Ted Reed