United Airlines Reports Best First-Quarter Financial Performance in Five Years

United Airlines has reported its best first-quarter financial results in the past five years, despite a challenging macroeconomic environment.

Best Q1 Results

United reported a first-quarter profit, with record revenue of $13.2 billion, and total revenue per available seat mile (TRASM) growth of 0.5% year-over-year. The company had first quarter pre-tax earnings of $478 million, with a pre-tax margin of 3.6%; and adjusted pre-tax earnings1 of $391 million, with an adjusted pre-tax margin1 of 3.0%. The company also achieved diluted earnings per share of $1.16 and adjusted diluted earnings per share1 of $0.91, within the guidance range provided at the start of the quarter.

United continued to build brand loyalty in the first quarter and saw strong growth across its diversified revenue streams. Premium cabin revenue rose 9.2%, business revenue was up 7.4% and revenue from Basic Economy was up 7.6% year-over-year. International travel remained strong, with Atlantic RASM up 4.7% and Pacific RASM up 8.5% year-over-year. Other revenue streams such as cargo and loyalty remained resilient and were up 9.7% and 9.4% year-over-year, respectively. Forward bookings over the last two weeks have remained stable, with premium cabins up 17% and international up 5% year-over-year.

United believes our proven ability to win brand-loyal customers is a competitive advantage and will make United resilient in any economic environment. In response to the current demand environment, United is removing 4 percentage points of scheduled domestic capacity starting in the third quarter of 2025. United is also continuing to make prudent adjustments to the utilization rate of its fleet, including ongoing reductions in off-peak flying on lower demand days. The airline expects to continue this approach into the fourth quarter of 2025. Additionally, as previously announced, United will retire 21 aircraft earlier than previously planned.

"Our strategy coming out of the COVID pandemic was simple: Build the best airline in the world to attract brand-loyal customers. The people of United Airlines have executed and built that airline," said United CEO Scott Kirby. "United Next is on track and we will continue to execute our multiyear plan that has allowed United to thrive in any demand environment. It has given us industry-leading margins in the good times and we expect to expand our lead further in challenging economic times. Our ability to win brand-loyal customers and the resiliency of our business is a competitive advantage, and we are accelerating our investments in our product, service, technology and experience to further expand that lead."

Ongoing investments include the six additional gates at Chicago O'Hare expected to be awarded to United this fall based on a preliminary assessment by the Chicago Department of Aviation, due to United's continued growth and commitment to Chicago and O'Hare. The airline is also expanding at San Francisco and plans to have the fastest WiFi in the sky with Starlink installed on its entire two-cabin United Express fleet by the end of this year. Customers will also continue to benefit from our technology investments such as new, more detailed connection information in the United app to help customers make their connection, and Spanish translations that led to increased digital check-ins for international travel.

United's operation started 2025 stronger than any previous year since 2021. In the first quarter the airline flew the largest schedule by available seat miles in its history, carrying a record of over 450,000 customers per day on average. United achieved the best on-time arrival and departure rate for a first quarter since 2021 and cut its seat cancellation rate in half compared to the first quarter of 2024. Running a safe, reliable operation continues to be United's top priority.

First-Quarter Financial Results

• Capacity up 4.9% compared to first-quarter 2024.
• Total operating revenue of $13.2 billion, up 5.4% compared to first-quarter 2024.
• TRASM up 0.5% compared to first-quarter 2024.
• CASM down 3.4%, and CASM-ex up 0.3%, compared to first-quarter 2024.
• Pre-tax earnings of $0.5 billion, with a pre-tax margin of 3.6%; adjusted pre-tax earnings of $0.4 billion, with an adjusted pre-tax margin of 3.0%.
• Net income of $0.4 billion; adjusted net income of $0.3 billion.
• Diluted earnings per share of $1.16; adjusted diluted earnings per share of $0.91.
• Average fuel price per gallon of $2.53.
• Generated $3.7 billion of operating cash flow.
• Generated $2.3 billion of free cash flow.
• Ending available liquidity of $18.3 billion.
• Total debt, finance lease obligations and other financial liabilities of $27.7 billion at quarter end.
• Net leverage of 2.0x.
• Year-to-date repurchased approximately $451 million of shares.