United Airlines reported that its total capacity went up by approximately 23.4 percent during the first three months of the year.
United Airlines Holdings Inc (NASDAQ: UAL) announced its first-quarter (Q1 2023) financial results on April 18. According to the announcement, the company recorded a $256 million pre-tax loss for the first three months of the year. Nevertheless, the company reassured shareholders that it expects a strong international demand during the second quarter, estimated to be twice the domestic rate. As a result, UAL shares closed April 18 trading at $43.04, up 1.56 during the day. Additionally, the shares had gained about 1.30 percent during the after-hours to trade around $43.60, thus booking a total of 14.60 percent gains YTD. United Airlines has a reported market capitalization of approximately $13.86 billion.
United Airlines Q1 2023 Financial Results
According to the announcement, United Airlines reported a Q1 adjusted loss per share of 63 cents versus 73 cents expected by analysts. The total revenue for the first quarter came in at $11.43 billion, versus the $11.42 billion estimated by Wall Street analysts. Notably, the company’s operating revenue for the first three months of the year grew by about 51.1 percent compared to the first quarter of 2022. As for the total revenue per available seat mile (TRASM), the company noted that it grew by about 22.5 percent.
United Airlines reported that its total capacity went up by approximately 23.4 percent during the first three months of the year. The company purchased average fuel per gallon at $3.33 during the first quarter.
Commenting on the first quarter results, United Airlines CEO Scott Kirby approved the team’s performance.
“Our industry-leading operational performance contributed to an all-time high operating cash flow in the first quarter and keeps us on track to achieve our cost targets for the full year…We are watching the macroeconomic risks carefully, but demand remains strong, especially internationally, where we are growing at twice the domestic rate. We expect all of these factors will keep us on track to achieve our full-year adjusted diluted EPS1 target,” Kirby noted.
Quarterly Highlights
Subject to government approval, the company announced several new international routes including the largest South Pacific network expansion, to and from the continental US. The company plans to operate nearly 40 percent more flights from the United States to Australia and New Zealand. During the first quarter, the company launched the United Airlines Ventures Sustainable Flight Fund to support start-ups focused on decarbonizing air travel.
However, it is the $32 million Inflight Training Center in Houston to train a total of 15,000 people in 2023, including 4,000 flight attendants, that the company is most proud of.
Let’s talk crypto, Metaverse, NFTs, CeDeFi, and Stocks, and focus on multi-chain as the future of blockchain technology.
Let us all WIN!
Subscribe to our telegram channel.
Join
