American Air Sees Robust Demand Even as Consumer Sentiment Falls

(Bloomberg) — American Airlines Group Inc. said it continues to see strong demand for travel even as rising jet fuel drives up ticket prices and U.S. consumer confidence declines.

“People still want to travel, and travel is still negotiable,” American CEO Robert Isom said in an interview on Bloomberg TV on Wednesday. Isom said the airline continues to see demand for its premium offerings as well as international and domestic travel.

Isom said the airline expects similar levels of profitability in 2026 as in 2025, despite a much higher fuel bill. American reported adjusted net income of $237 million in 2025, excluding special items.

America’s assessment of rising demand came a day after the Conference Board’s confidence gauge fell 0.7 points to 93.1 due to rising prices due to the war in Iran.

The recent rise in fuel prices is particularly challenging for low-income households, despite a largely stable labor market and few signs of large-scale layoffs.

American’s fleet upgrades and new planes will add more premium seats to its planes to reach higher-paying customers, the executive said.

With low-cost carriers under pressure from rising fuel costs, American has said it will not look to expand through acquisitions but instead will grow organically. Isom said purchasing assets such as aircraft or doors could be “opportunistic.”

Isom also reiterated his opposition to the merger of American and rival United Airlines Holdings Inc.

“That was a no from the beginning,” Isom said. “At the end of the day, doing something that would be seen as anti-competitive by almost everyone is something we don’t spend a lot of time on.”

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