American forecasts lower unit revenue, says took 'aggressive' action after sales strategy backfires

American Airlines is forecasting a drop in unit revenue of as much as 4.5% for the third quarter as high demand failed to make up for an industry-wide glut of flights that have forced airlines to slash fares.

The carrier's profit fell 46% during the second quarter even though revenues rose.

The carrier has been grappling with an industry-wide oversupply of flights and a direct-to-consumer sales strategy it adopted that backfired. It said in an earnings release Thursday that it has "taken swift and aggressive action to reorient its sales and distribution strategy" after complaints from travel agents and customers.

Here is how American performed in the second quarter compared with Wall Street estimates compiled by LSEG:

Shares of American fell about 8% in premarket trading Thursday.