The shares of American Airlines rose 1.2 % after the business reported a profit in the third quarter and announced plans to expand capacity to meet increased demand.

In the third quarter, the company made a profit of $169 million, compared to a loss of $2.39 billion in the same period last year. The corporation had a net loss of $641 million in the third quarter, excluding items.

United Airlines reported higher results on Tuesday, and American Airlines is following suit. The carrier's adjusted deficit shrank to $329 million in the September quarter of last year, down from $2.37 billion the previous quarter.

As the holiday season approaches and countries ease restrictions – the United States opened its borders to vaccinated foreign travelers on November 8 – airlines such as Americans are increasing capacity, ordering planes, hiring more employees, and forming codeshare agreements for international travelers.

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In the current quarter, the airline anticipates more than 6,000 peak-day departures. Even yet, capacity will be lower at the end of the year than it was before the outbreak.

According to the corporation, fourth-quarter capacity would be down a maximum of 13% from the fourth quarter of 2019. It anticipates revenue to drop by roughly 20% in the fourth quarter.

The airline ended the quarter with $18 billion in cash and cash equivalents on hand. The company's total operational revenue increased by 183% to $8.97 billion.