US Airways announces $62 million net loss in second quarter
Bankrupt US Airways Group Inc., in the process of merging with America West Holdings Corp., Friday posted a second quarter net loss of $62 million, compared to a net profit of $34 million in the same period last year.
Operating profit for the second quarter shrank 51 percent to $41 million, compared to $83 million in the same quarter 2004. Revenues were down slightly to $1.94 billion, from $1.95 billion. US Airways’ fuel cost in the second quarter was up 69 percent to $445 million.
“Record fuel prices continue to offset the tremendous progress we have made in reducing costs, and we are further hampered by our inability to hedge fuel while in Chapter 11,” said Bruce R. Lakefield, US Airways’ president and chief executive officer.
For the year-to-date, US Airways reported a net loss of $343 million, compared to a deficit of $143 million after the first six months last year. Operating loss deepened to $159 million, from $59 million. Revenues were down slightly at $3.57 billion, from $3.65 billion.