United Airlines Stock Takes Off On Q1 Earnings Beat: The Details

United Airlines Holdings Inc UAL shares left the runway in Tuesday’s after-hours session on the heels of the company’s first-quarter financial results. Here’s a look at the key metrics from the quarter.

Q1 Earnings: United Airlines reported first-quarter revenue of $12.539 billion, which beat the consensus estimate of $12.4 billion, according to Benzinga Pro. The company reported an adjusted quarterly loss 15 cents per share, which beat analyst estimates for a loss of 57 cents per share.

United said capacity was up 9.1% on a year-over-year basis. TRASM (total revenue per available seat mile) was up 0.6%, while CASM (cost per available seat mile) was down 0.6%.

United said it converted a portion of Boeing Co BA Max 10 orders to Boeing Max 9 orders from 2025 to 2027. The company also agreed to letters of intent with two lessors to lease 35 new Airbus A321neos, expected in 2026 and 2027.

United ended the quarter with $16.9 billion in total liquidity and $27.2 billion in total debt and finance lease obligations.

“We’ve adjusted our fleet plan to better reflect the reality of what the manufacturers are able to deliver. And, we’ll use those planes to capitalize on an opportunity that only United has: profitably grow our mid-continent hubs and expand our highly profitable international network from our best in the industry coastal hubs,” said Scott Kirby, CEO of United Airlines.

Outlook: United Airlines reiterated expectations for full-year 2024 adjusted earnings of $9 to $11 per share versus estimates of $9.67 per share.

The company also said it now anticipates 61 narrowbody aircraft and 5 widebody aircraft to be delivered in 2024, given the 737 Max grounding and production capacity constraints.

Management will hold a conference call to discuss these results Thursday morning at 10:30 a.m. ET.

See Also: Delta Flight Returns To Atlanta After Takeoff: Boeing 757 ‘Yawing Aggressively’

UAL Price Action: United Airlines shares were up 4.75% after hours at $43.47 at the time of publication Tuesday, according to Benzinga Pro.

Photo: Courtesy of United Airlines.