Meaning

Aircraft utilization
Revenues received from total airline operations including
scheduled and non-scheduled service. Sources of revenue
Operating Revenue
include passenger, cargo, excess baggage and certain other
transport-related revenue.

Revenue received by the airline from the carriage of

Passenger Revenue
passengers in scheduled operations

Revenue Passenger Miles This is the basic measure of airline passenger traffic. It
reflects how many of an airline's available seats were
(RPMs)
actually sold

A common industry measurement of airline output that

Available Seat Miles (ASMs) refers to one aircraft seat flown one mile, whether occupied
or not
Revenue per Available Seat
Mile (RASM) performance measure

Total Revenue per Available

Often referred to as a measure of unit revenue
Seat Mile (TRASM)

he number of Revenue Passenger Miles (RPMs) expressed as

a percentage of ASMs, either on a particular flight or for the
Load factor
entire system. Load factor represents the proportion of
airline output that is actually consumed

Measure of unit cost in the airline industry. CASM is

calculated by taking all of an airline’s operating expenses
Cost per Available Seat Mile
Sometimes, fuel or transport-related expenses are withheld
(CASM)
from CASM calculations to better isolate and directly
compare operating expenses.

The average distance flown, measure in statute miles, per

Stage Length
aircraft departure

A common practice utilized to normalize comparisons of

Stage Length Adjusted Total TRASM between carriers. Operating costs and revenues are
Revenue per Equivalent Seat significantly impacted by the distance flown and this
Mile (SLA TRESM) analytical approach is designed to compare results as if all
carriers fly the same missions.

A common practice utilized to normalize comparisons of

Stage Length Adjusted
Passenger Yield between carriers. Operating costs and
Passenger Yield (Passenger
revenues are significantly impacted by the distance flown
Revenue Per Revenue
and this analytical approach is designed to compare results
Passenger Mile)
as if all carriers fly the same missions.
 Measure of average fare paid per mile, per passenger, is
useful measure in assessing changes in fares over time. Yield
Passenger Yield is not useful for comparisons across markets and/or airlines,
as it varies dramatically by stage length and does not
incorporate load factor (unlike PRASM).

One measure to determine an airline’s labor productivity. It

is calculated by dividing an airline’s total revenue by the
Revenue per Employee
number of airline employee full-time equivalents as
reported to the US Department of Transportation.
equation Measure by
Block hours / number of days AC available in services block hour per day

USD

Passenger Revenue*Miles RPMs

Seats * Number of flown Disatnce by Mile Miles

Total revenue / Available Seat Mile USD/Seat

Total Operating revenue / Available Seat Mile USD/ Seat

RPM/ASM %

Operating Expense / ASM USD/ Seat

Miles Flown / Total AC departure performed

Passenger Revenue/ RPM USD/ Mile