NEW YORK (TheStreet) -- When American Airlines Group (AAL) - Get Report  reported its latest financial results earlier this morning, the airline posted record profit for the fourth quarter and all of 2015. 

For the quarter, earnings came in at $2 a share, topping consensus estimates by 3 cents a share and up from $1.52 a share a year ago.

Revenue of $9.63 billion matched Wall Street's expectations and dropped 5.2% from $10.16 billion it generated in the same quarter last year.

A sharp decline in fuel costs boosted the company's quarterly and annual figures. But the company saw its passenger revenue per available seat mile drop by 6% year-over-year. 

Overall, the company was able to counter a year-over-year decline in revenue by saving almost $1.1 billion on jet fuel. 

For the full year, American reported earnings of $9.12 a share, "Highest profits of any airline in our industry's history," CEO Doug Parker said.

Bears however, are concerned about the growing competition from low-cost rivals and softening demand in Latin America. Adding to this, there are fears of a rapidly spreading Zika virus in the region, which may likely impact the company's sales, Reuters noted. 

Shares are slumping 1.68% to $37.50 on Friday morning.

TST Recommends

Separately, TheStreet Ratings currently has a "Buy" rating with a letter grade of B-. 

The company's strengths can be seen in multiple areas, such as its impressive record of earnings per share growth, notable return on equity, expanding profit margins, good cash flow from operations and compelling growth in net income.

Recently, TheStreet Ratings objectively rated this stock according to its "risk-adjusted" total return prospect over a 12-month investment horizon. Not based on the news in any given day, the rating may differ from Jim Cramer's view or that of this articles's author.

You can view the full analysis from the report here: AAL

Image placeholder title


data by