NEW YORK — US Airways Group Inc. reported a fourth-quarter profit on Wednesday, as more people flew during the critical holiday travel period and paid higher fares.
It's the first time US Airways has made money in the last three months of the year since 2006. The major U.S. airlines have reported improved quarterly results due to increased travel demand and higher ticket prices.
The Tempe, Ariz., company, the fourth-largest U.S. airline, reported a profit of $28 million, or 17 cents per share. That compares with a loss of $79 million, or 49 cents per share, in the fourth quarter of 2009.
Revenue rose 11 percent to $2.91 billion. The money it made per passenger rose 3.4 percent in the quarter due to higher ticket prices and more money from fees for checked bags and special seats.
Analysts polled by FactSet Research expected a profit of 6 cents per share on revenue of $2.90 billion.
Fuel costs jumped 23 percent in the period, but overall expenses rose just 7 percent, as the airline trimmed elsewhere to make up for the jump in fuel.
One of the main ways US Airways reduced costs was by operating fewer planes. As a result the planes they flew were fuller. The occupancy rate on US Airways flights hit a record 80.6 percent in the fourth-quarter, which includes the important holiday period. The planes were 78.6 percent full, on average, a year earlier.
For the full year, the airline made a profit of $502 million, or $2.61 per share, compared with a loss of $205 million, or $1.54 per share, in 2009. Fuel prices were 28 percent higher last year than the year before. The money US Airways made per passenger rose 11 percent.
Shares rose 50 cents, or almost 5 percent, to $10.63 in morning trading.