United Airways (UAL) reviews 3Q 21 income above expectations

United Airways on Tuesday reported higher-than-expected income as vacationers returned in the summertime, regardless of a success from the delta variant. The airline did not give a timeline for when it could return to profitability.

United posted internet revenue of $473 million due to a lift from $1.13 billion in federal payroll assist. Its third-quarter gross sales totaled $7.75 billion in contrast with Wall Road analysts’ expectations for $7.64 billion and down 32% from the identical quarter in 2019, earlier than the Covid-19 pandemic started. It posted a per-share adjusted lack of $1.02, higher than the $1.67 analysts anticipated. That loss strips out the advantage of federal assist.

United shares have been up greater than 1.7% in postmarket buying and selling after United reported its earnings outcomes.

Here is how United carried out within the second quarter in contrast with what Wall Road anticipated, based mostly on common estimates compiled by Refinitiv:

• Adjusted outcomes per share: a lack of $1.02 versus an anticipated lack of $1.67

• Whole income: $7.75 billion versus anticipated $7.64 billion.

United stated it expects its fourth-quarter capability to be down 23% in contrast with 2019 and that its gross sales for the final three months of the yr could be down 25% to 30% from the identical interval two years in the past, when it introduced in $11.38 billion. Airways have offered comparisons to 2019 in an try to indicate the place they stand in contrast with earlier than the pandemic.

Chicago-based United is the second main U.S. provider to report third-quarter earnings. Final week Delta Air Traces posted a revenue however warned a surge in gas costs would weigh on its backside line within the final three months of the yr.

United stated it expects to pay a mean of $2.39 a gallon for gas within the fourth quarter, up from $2.14 within the third quarter.

American Airways, Southwest Airways and Alaska Airways are scheduled to report outcomes Thursday morning.

United Airways executives will talk about outcomes with analysts and reporters on an earnings name Wednesday at 10:30 a.m. ET.