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Jun 30, 2024
United Airlines Q2 2024 Earnings Report
Announced second-quarter earnings, achieving EPS expectations and demonstrating industry leadership in pre-tax margin.
Key Takeaways
United Airlines reported a strong second quarter in 2024, achieving pre-tax earnings of $1.7 billion and diluted earnings per share of $3.96. The company's revenue diversity advantages, including premium revenue and Basic Economy revenue, drove near-top-of-industry margins. United is strategically managing costs and capacity, expecting further improvements as industry-wide oversupply eases.
Achieved pre-tax earnings of $1.7 billion with an 11.6% pre-tax margin.
Diluted earnings per share reached $3.96, aligning with initial guidance.
Premium revenue grew by 8.5%, and Basic Economy revenue increased by 38% year-over-year.
Strategic cost management led to a 4.8% decrease in CASM.
Revenue by Segment
Revenue by Geographic Location
Forward Guidance
United expects leading unit revenue performance among its largest peers in the second half of the third quarter. The airline anticipates domestic capacity reductions and is positioned to benefit from its revenue diversity advantages.
Positive Outlook
- Expect best unit revenue performance among large peers in Q3.
- See mid-August as inflection point when industry-wide oversupply eases.
- Premium revenue growth continues to accelerate.
- Basic Economy revenue growth remains strong.
- Domestic road warrior market share is increasing.
Challenges Ahead
- Industry-wide oversupply in the domestic market persists.
- Airlines have begun to cancel loss-making capacity.
- Cost management remains a focus amid industry challenges.
- Capacity adjustments are being made to address current trends.
Revenue & Expenses
Visualization of income flow from segment revenue to net income
Historical Earnings Impact
Analyze how earnings announcements historically affect stock price performance
Avg. Return Before/After Earnings
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