United Airlines has announced a Q3 adjusted net loss of $329 million on $7.8 billion in revenue. When payroll support under the U.S. Cares Act's third Payroll Support Program extension (PSP3) and other special items are included, net income was $473 million.
On Tuesday (October 19, 2021), United Airlines reported their third quarter 2021 financial results for the period ending September 30, 2021. The carrier reported a third quarter adjusted net loss of $329 million or (1.02) per adjusted diluted share on operating revenue of $7.75 billion. When benefits from the U.S. Cares Act and other special items are included, the carrier reported a net income of $473 million or $1.44 per diluted share. United reported a year-over-two reduction in capacity of 28 percent and a reduction in revenue of 32 percent compared to Q3 2019.
The airline reported a third quarter TRASM (total revenue per available seat mile) decrease of 5.1 percent versus Q3 2019, on a CASM (cost per available seat mile) reduction of 5.6 percent. Excluding fuel, profit sharing and special charges (CASM-ex), United reported a year-over-two increase of 14 percent in cost per available seat mile. At September 30, 2021, United Airlines had a total of $21 billion in liquidity, including cash, cash equivalents, short-term investments and available credit facilities.
In Tuesday’s announcement, United Airlines’ CEO, Scott Kirby, said,
“The recovery was delayed by the Delta variant, but the United team remains focused on our long-term vision – and not getting sidetracked by near-term volatility – meaning we're solidly on track to achieve the targets we set for 2022. From the return of business travel and the planned re-opening of Europe and early indications for opening in the Pacific, the headwinds we've faced are turning to tailwinds, and we believe that United is better positioned to lead the recovery than any airline in the world.
“Our recovery will be supported by investments in technology and other efficiencies that will give our employees the tools they need to take great care of our customers - and keep costs under control. I am grateful to our United team members for their continued commitment to our customers, because it has been essential to our ability to weather the pandemic, and it will fuel our success in the years ahead.”
United Airlines’ shared purpose is “Connecting People. Uniting the World.” In 2019, United and United Express® carriers operated over 1.7 million flights carrying over 162 million guests. United Airlines operates the most comprehensive network among North American carriers with mainland U.S. hubs in Chicago, Denver, Houston, Los Angeles, New York/Newark, San Francisco and Washington, D.C. Shares in the company’s parent, United Airlines Holdings, Inc., are publicly traded on the NASDAQ under the symbol ‘UAL.’
In after hours trading on Tuesday evening (October 19, 2021), shares in United Airlines Holdings, Inc. (NASDAQ: UAL) were up 2.27% at $47.27/share (7:59 PM EDT).
Source: United Airlines/PR Newswire