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American Airlines shares tumbled almost 11 per cent in pre-market trading as fuel costs and mis-steps with corporate travellers prompted it to set a profit outlook more dour than its peers.

The Fort Worth, Texas-based carrier said it expected adjusted earnings of between $1.70 and $2.70 a share this year, with the midpoint of that range about 9 per cent below the $2.42 a share expected by Wall Street.

The guidance contrasted with sunnier forecasts from rivals Delta Air Lines and United Airlines. Delta expects to earn more than $7.35 a share in 2025 based on consumers’ eager appetite for travel, while United anticipates adjusted earnings of between $11.50 and $13.50 a share.

American pinned its outlook on travel demand and the cost of fuel. The company is also still recovering from a mis-step last year that alienated corporate travellers, causing some to defect to other carriers.

This is a developing story

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