United Airlines announced on Wednesday that its second-quarter profit had increased by 23% to $1.32 billion, boosted by high passenger numbers in U.S. airports. This surge in profit allowed the company to offset elevated expenses from fuel and labor cost increases.
However, United Airlines cautioned that its third-quarter results are anticipated to fall below Wall Street’s projections.
Similar to Delta Air Lines, United pointed out its worries about the excess number of flights being added by airlines, causing an oversupply of seats in the market and preventing prices from rising.
To address this issue, airlines are planning to cut back on their schedules starting in mid-August, aiming to balance supply and demand, and consequently gain more control over pricing.
Based in Chicago, United Airlines reported a second-quarter profit of $4.14 per share, excluding exceptional gains and losses, surpassing analysts’ expectations of $3.93 per share reported in a FactSet survey.
The airline’s revenue for the quarter was recorded at $14.99 billion, slightly lower than the anticipated $15.04 billion, as indicated by analysts.
