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United Airlines has reported its third-quarter earnings, surpassing Wall Street expectations. The company announced diluted earnings per share (EPS) of $2.90 and adjusted EPS of $2.78, which were at the higher end of its guidance. Revenue increased by 2.6% compared to the previous year, reaching $15.2 billion. Pre-tax earnings stood at $1.3 billion, with an 8.2% margin.
The airline provided guidance for higher earnings in the fourth quarter, projecting EPS in the range of $3.00 to $3.50. Management anticipates a significant year-over-year improvement in unit revenues over the third quarter. Premium cabin revenues grew by approximately 6%, while economy fare revenue rose by 4%. Cargo revenues increased by 3%, and loyalty revenues saw a notable 9% rise. United also reported strong operational performance, operating its largest summer mainline schedule and achieving its lowest third-quarter cancellation rate on record.
Delta Air Lines recently reported its own third-quarter results, which also exceeded analyst expectations. Delta highlighted strong premium cabin revenue growth and robust performance from its loyalty program, though it noted higher fuel prices across the industry and some weakness in Main Cabin performance. Delta’s fuel price risk was mitigated by its own refinery operations.
