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Dec 31, 2024
United Airlines Q4 2024 Earnings Report
Achieved record profit in Q4, surpassing expectations, and reaffirmed the path to double-digit pre-tax margin.
Key Takeaways
United Airlines reported strong Q4 2024 financial results with a significant increase in pre-tax margin. The company saw growth in premium, corporate, and Basic Economy revenues, as well as loyalty and cargo. They also finished first in on-time performance at all seven of their U.S. hubs.
Q4 pre-tax margin increased by 3.2 points year-over-year, or 3.5 points on an adjusted basis.
United finished the year as the leader in on-time departures across all seven of its United hubs.
The company sees robust demand in the first quarter of 2025.
Premium revenue was up 10%, corporate revenue was up 7% and revenue from Basic Economy was up 20% year-over-year.
Revenue by Segment
Forward Guidance
United sees strong demand trends in the first quarter with domestic RASM expected to turn solidly positive year-over-year, as well as continued improvement in international RASM.
Positive Outlook
- Strong demand trends in the first quarter.
- Domestic RASM expected to turn solidly positive year-over-year.
- Continued improvement in international RASM.
- Airline operated its largest domestic schedule in fourth quarter history, at 11% more flights than last year.
- Airline flew the largest international schedule of any U.S. carrier by available seat miles – 35% larger than the next largest U.S. carrier.
Challenges Ahead
- Execution risks associated with strategic operating plan.
- Changes in fleet and network strategy or other factors outside our control resulting in less economic aircraft orders.
- Reliance on a limited number of suppliers to source a majority of our aircraft, engines and certain parts.
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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