United posts record Q3 profit

United posts record Q3 profit
By admin


United Airlines has reported a third-quarter 2014 net income of A$1.26 billion (US$1.1b), its highest ever quarter-result and almost double year-on-year.

The airline reported revenue increased 3.3% and operating expenses dropped 3.6% in the quarter.

The profit was an increase of 99% year-on-year, according to a report on ETN, and including special items, net income was US$924 million.

The jump in revenue was reportedly from extra fees for various items such as checked baggage and leg room seats which contributed to more than US$22 per passenger, a 10.9% increase over the same period last year.

"We are seeing good results from our revenue initiatives, and over the next several quarters, we expect to build on our early momentum," United’s chief revenue officer, Jim Compton said in a statement on USA today.

"Our team continues to pursue and implement changes that will enhance revenue performance."

United’s consolidated passenger revenue per available seat mile (PRASM) was up 3.9% in the Q3 2014 compared with the same period last year.

 “Our third-quarter results demonstrate continued progress,” United’s chariman and ceo, Jeff Smisek said. “We still have significant opportunity ahead to grow our margins and improve the quality and efficiency of everything we do.”

Email the Travel Weekly team at traveldesk@travelweekly.com.au

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