Companies
United Airlines posts record revenue but guides fourth-quarter profit sharply lower on fuel
Revenue rose 17% to $17.88 billion, while the fuel bill climbed about 62%.
United Airlines reported record third-quarter revenue of $17.88 billion, up 17% from a year earlier, and adjusted earnings of $2.54 a share. Its fuel bill rose about 62% to $4.84 billion.
The company guided fourth-quarter adjusted earnings to between 50 cents and $1.50 a share, well below what Wall Street had expected, and said fuel costs were the main reason. United also said it expects fourth-quarter revenue to grow more than 20% from a year earlier, and that passenger counts remain higher than last year.
The guidance shows how the oil spike is reaching airline earnings even when demand holds up. See our story on Brent crude near $110 for the latest on prices.
