United Airlines (UAL) today announced its first-quarter 2018 financial results.
UAL reported first-quarter net income of $147 million, diluted earnings per share of $0.52, pre-tax earnings of $184 million and pre-tax margin of 2.0 percent.
Excluding special charges and mark-to-market adjustments, UAL reported first-quarter net income of $143 million, diluted earnings per share of $0.50, pre-tax earnings of $179 million and pre-tax margin of 2.0 percent.
UAL has repurchased $747 million of its common shares year-to-date through April 16, 2018, representing approximately 4 percent of its shares outstanding as of year-end 2017.
Consolidated passenger revenue per available seat mile (PRASM) increased 2.7 percent year-over-year.
Consolidated total revenue per available seat mile (TRASM) increased 3.4 percent year-over-year.
Consolidated unit cost per available seat mile (CASM) increased 4.3 percent year-over-year.
First-quarter consolidated CASM, excluding special charges, third-party business expenses, fuel and profit sharing, increased 0.6 percent year-over-year.
UAL now expects full-year 2018 diluted earnings per share, excluding special charges and mark-to-market adjustments, to be $7.00 to $8.501.
"The exceptional operational performance United's employees delivered over the past quarter is impressive. Even more so when we consider United achieved the best departure performance among our largest competitors despite four nor'easters and other weather disruptions." said Oscar Munoz, chief executive officer of United Airlines. "With our first-quarter financial results and our increased confidence in the outlook for the remainder of the year, we are tightening our adjusted EPS guidance range for the full year to $7.00 to $8.50. We continue to execute our strategy to strengthen and grow our domestic network, drive asset efficiency and productivity, while also continuing our focus on our customers."
For more information on UAL's second-quarter 2018 guidance, please visit ir.united.com for the company's investor update.
First-Quarter Highlights
Operations and Employees
Ranked first among our largest competitors in on-time departures and second among the same group in fewest cancelled flights.
Introduced and began training our team on United's new customer service decision framework, the core4, which focuses on the principles of being safe, caring, dependable and efficient.
Ranked number one among global carriers in Newsweek's 2017 Global 500 Green Rankings, one of the most recognized environmental performance assessments of the world's largest publicly traded companies.
Announced new global partnership with the Special Olympics.
Flew hundreds of Team USA Olympic and Paralympic Winter Games 2018 athletes – along with coaches and family members – to PyeongChang, South Korea, continuing the 38-year relationship between United and the United States Olympic Committee.
Customer Experience
Announced United Premium Plus that will provide more space, comfort and amenities on select international flights starting later this year.
Expanded menu selections for our Snack Shop and Bistro on Board and launched a new menu for customers flying from Canada to the U.S.
Announced that consumers can now earn and use United MileagePlus award miles at participating BP retail stations.
Eliminated charges for customers' second checked bag on all routes from North America to China and Hong Kong.
Network and Fleet
Launched two new international routes from Houston to Sydney and Denver to London.
Announced new service between six domestic hubs and eight destinations in California, Ohio, North Dakota, South Dakota, Virginia and Wisconsin.
As part of our joint venture relationship, Air New Zealand announced new nonstop service between Auckland and Chicago beginning this fall.
Announced year-round service between San Francisco and Auckland beginning April 2019.
Awarded tentative authority by the U.S. Department of Transportation to begin offering daily nonstop service between Houston and Havana, Cuba.
Took delivery of six new aircraft: four Boeing 787-9s and two Boeing 777-300ERs.
Announced newest aircraft type, the Boeing 737 MAX 9, to be introduced in domestic flight schedules starting in June.
Entered into an agreement to purchase 20 used Airbus A319 aircraft with expected delivery dates scheduled in 2020 and 2021.