Shares of airline companies, including American Airlines Group Inc AAL and Delta Air Lines, Inc. DAL, are trading higher in sympathy with United Airlines Holdings Inc UAL, which reported better-than-expected third-quarter results.
United Airlines reported quarterly earnings of $2.81 per share, which beat the analyst consensus estimate of $2.27. The company also reported quarterly sales of $12.90 billion, which beat the analyst consensus estimate of $12.75 billion by 1%. This sales figure is a 66.45% increase over sales of $7.75 billion in the same period last year.
Looking forward through the end of the year, United Airlines says the company expects the strong COVID recovery trends to continue to overcome the recessionary pressures in the macroeconomic environment.
The airline now expects the fourth-quarter adjusted operating margin to be above 2019 for the first time. United Airlines says the company also remains confident in the 2023 United Next adjusted pre-tax margin target of ~9%.
"I am grateful to United employees who delivered an incredible performance this quarter taking care of our customers and producing, by most metrics, the best operational quarter in our history," said United Airlines CEO Scott Kirby.
"Despite growing concerns about an economic slowdown, the ongoing COVID recovery trends at United continue to prevail, and we remain optimistic that we'll continue to deliver strong financial results in the fourth quarter, 2023, and beyond," Kirby stated.
© 2023 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.