v3.26.3
Revenue Recognition
 9 Months Ended
Sep. 30, 2026
Entity Information [Line Items]  
Revenue Recognition Revenue Recognition
Revenue
The following are the significant categories comprising our operating revenues (in millions):
Three Months Ended September 30,Nine Months Ended September 30,
2026202520262025
Passenger revenue:
Passenger travel$13,761 $11,402 $39,372 $34,004 
Loyalty revenue - travel (1)
1,139 1,069 3,237 2,981 
Total passenger revenue14,900 12,471 42,609 36,985 
Cargo274 212 761 612 
Other:
Loyalty revenue - marketing services983 831 3,068 2,566 
Other revenue178 177 544 471 
Total other revenue1,161 1,008 3,612 3,037 
Total operating revenues$16,335 $13,691 $46,982 $40,634 
(1)Loyalty revenue included in passenger revenue is principally comprised of mileage credit redemptions, which were earned from travel or co-branded credit card and other partners.
The following is our total passenger revenue by geographic region (in millions):
Three Months Ended September 30,Nine Months Ended September 30,
2026202520262025
Domestic$10,489 $8,723 $30,205 $26,010 
Latin America1,618 1,340 5,307 4,795 
Atlantic
2,438 2,109 5,893 5,160 
Pacific355 299 1,204 1,020 
Total passenger revenue$14,900 $12,471 $42,609 $36,985 
We attribute passenger revenue by geographic region based upon the origin and destination of each flight segment.
Contract Balances
Our significant contract liabilities are comprised of (1) outstanding loyalty program mileage credits that may be redeemed for future air travel, non-air travel and other awards, reported as loyalty program liability on the condensed consolidated balance sheets; and (2) ticket sales for transportation that has not yet been provided, reported as air traffic liability on the condensed consolidated balance sheets.
September 30, 2026December 31, 2025
(In millions)
Loyalty program liability$11,514 $10,564 
Air traffic liability9,414 7,158 
Total$20,928 $17,722 
The balance of the loyalty program liability fluctuates based on seasonal patterns, which impact the volume of mileage credits issued through travel or sold to co-branded credit card and other partners (deferral of revenue) and mileage credits redeemed (recognition of revenue). Changes in loyalty program liability are as follows (in millions):
Balance at December 31, 2025$10,564 
Deferral of revenue4,304 
Recognition of revenue (1)
(3,354)
Balance at September 30, 2026 (2)
$11,514 
(1)Principally relates to revenue recognized from the redemption of mileage credits for air travel, non-air travel and other awards. Mileage credits are combined in one homogeneous pool and are not separately identifiable. As such, the revenue is comprised of mileage credits that were part of the loyalty program liability balance at the beginning of the period, as well as mileage credits that were issued during the period.
(2)Mileage credits can be redeemed at any time and generally do not expire as long as the AAdvantage member has any type of qualifying activity at least every 24 months or if the AAdvantage member is the primary holder of a co-branded credit card. As of September 30, 2026, our current loyalty program liability was $4.4 billion and represents our current estimate of revenue expected to be recognized in the next 12 months based on historical trends, with the balance reflected in long-term loyalty program liability expected to be recognized as revenue in periods thereafter.
Additionally, as of September 30, 2026, our loyalty program liability includes a one-time cash payment associated with the extension of a partner agreement announced in 2025.
The air traffic liability principally represents tickets sold for future travel on American, our regional carriers and partner airlines. The balance in our air traffic liability also fluctuates with seasonal travel patterns. The contract duration of passenger tickets is generally one year. Accordingly, any revenue associated with tickets sold for future travel will be recognized within 12 months. For the nine months ended September 30, 2026, $5.3 billion of revenue was recognized in passenger revenue that was included in our air traffic liability at December 31, 2025.
American Airlines, Inc.  
Entity Information [Line Items]  
Revenue Recognition Revenue Recognition
Revenue
The following are the significant categories comprising American’s operating revenues (in millions):
Three Months Ended September 30,Nine Months Ended September 30,
2026202520262025
Passenger revenue:
Passenger travel$13,761 $11,402 $39,372 $34,004 
Loyalty revenue - travel (1)
1,139 1,069 3,237 2,981 
Total passenger revenue14,900 12,471 42,609 36,985 
Cargo274 212 761 612 
Other:
Loyalty revenue - marketing services983 831 3,068 2,566 
Other revenue177 174 541 465 
Total other revenue1,160 1,005 3,609 3,031 
Total operating revenues$16,334 $13,688 $46,979 $40,628 
(1)Loyalty revenue included in passenger revenue is principally comprised of mileage credit redemptions, which were earned from travel or co-branded credit card and other partners.
The following is American’s total passenger revenue by geographic region (in millions):
Three Months Ended September 30,Nine Months Ended September 30,
2026202520262025
Domestic$10,489 $8,723 $30,205 $26,010 
Latin America1,618 1,340 5,307 4,795 
Atlantic
2,438 2,109 5,893 5,160 
Pacific355 299 1,204 1,020 
Total passenger revenue$14,900 $12,471 $42,609 $36,985 
American attributes passenger revenue by geographic region based upon the origin and destination of each flight segment.
Contract Balances
American’s significant contract liabilities are comprised of (1) outstanding loyalty program mileage credits that may be redeemed for future air travel, non-air travel and other awards, reported as loyalty program liability on the condensed consolidated balance sheets; and (2) ticket sales for transportation that has not yet been provided, reported as air traffic liability on the condensed consolidated balance sheets.
September 30, 2026December 31, 2025
(In millions)
Loyalty program liability$11,514 $10,564 
Air traffic liability9,414 7,158 
Total$20,928 $17,722 
The balance of the loyalty program liability fluctuates based on seasonal patterns, which impact the volume of mileage credits issued through travel or sold to co-branded credit card and other partners (deferral of revenue) and mileage credits redeemed (recognition of revenue). Changes in loyalty program liability are as follows (in millions):
Balance at December 31, 2025$10,564 
Deferral of revenue4,304 
Recognition of revenue (1)
(3,354)
Balance at September 30, 2026 (2)
$11,514 
(1)Principally relates to revenue recognized from the redemption of mileage credits for air travel, non-air travel and other awards. Mileage credits are combined in one homogeneous pool and are not separately identifiable. As such, the revenue is comprised of mileage credits that were part of the loyalty program liability balance at the beginning of the period, as well as mileage credits that were issued during the period.
(2)Mileage credits can be redeemed at any time and generally do not expire as long as the AAdvantage member has any type of qualifying activity at least every 24 months or if the AAdvantage member is the primary holder of a co-branded credit card. As of September 30, 2026, American’s current loyalty program liability was $4.4 billion and represents American’s current estimate of revenue expected to be recognized in the next 12 months based on historical trends, with the balance reflected in long-term loyalty program liability expected to be recognized as revenue in periods thereafter.
Additionally, as of September 30, 2026, American’s loyalty program liability includes a one-time cash payment associated with the extension of a partner agreement announced in 2025.
The air traffic liability principally represents tickets sold for future travel on American, its regional carriers and partner airlines. The balance in American’s air traffic liability also fluctuates with seasonal travel patterns. The contract duration of passenger tickets is generally one year. Accordingly, any revenue associated with tickets sold for future travel will be recognized within 12 months. For the nine months ended September 30, 2026, $5.3 billion of revenue was recognized in passenger revenue that was included in American’s air traffic liability at December 31, 2025.