American Airlines has reported a robust performance in its cargo division for the second quarter of 2025, offering a silver lining to an otherwise mixed financial report. While passenger revenues saw a slight decline, the airline’s airfreight business continued its upward trajectory, delivering consistent growth in both revenue and yield.
For the three months ending 30 June, American Airlines generated US$211 million in cargo revenue, marking an 8.2 percent increase compared to the same period in 2024. Year-to-date figures also showed positive momentum, with cargo revenue reaching US$400 million, up 4.7 percent from the previous year.
The rise in revenue was supported by a modest growth in volume. Cargo ton miles—a key industry metric indicating the volume of freight transported—rose by 1.2 percent in the quarter to 521 million. Over the first half of the year, the figure edged up to 1.004 billion, a slight increase from 999 million in the same period last year.
Perhaps more telling than the volume growth was the increase in cargo yield, which reflects the amount earned per ton mile. For the second quarter, yield rose to 40.48 cents, up from 37.87 cents a year ago—a 6.9 percent improvement. For the year to date, yield climbed by 4.2 percent to reach 39.84 cents per ton mile.
This sustained increase in yield suggests that American is benefiting not just from moving more cargo, but from doing so more profitably. Factors such as improved pricing strategies, more efficient belly cargo utilisation, and a stabilisation in supply chain dynamics may have contributed to the uplift.
The cargo gains come at a time when the airline’s passenger operations are facing headwinds. Passenger revenue for the quarter slipped 0.6 percent to US$13.1 billion, with load factors and yields slightly down year-on-year. Operating income also declined by 18 percent compared to the same quarter last year.
Still, the airfreight results serve as a bright spot. In a statement, American Airlines said it continues to adapt to evolving market conditions and is focusing on strengthening its diversified revenue streams.
The airline’s overall fuel costs dropped significantly during the quarter—down 13 percent to US$2.29 per gallon—providing some cost relief across both passenger and cargo operations. Lower fuel expenses, paired with higher cargo yield, likely helped offset some of the challenges in the passenger segment.
