From CNBC: 2024-04-17 16:46:23

United Airlines shares surged over 17% to a seven-month high after forecasting second-quarter earnings significantly beating Wall Street estimates. The carrier expects to earn between $3.75 and $4.25 per share in Q2 and reiterated a full-year forecast of $9 to $11 per share. The airline cut aircraft-delivery expectations for the year.

United plans to lease 35 Airbus A321neos in 2026 and 2027 amid Boeing’s production caps and federal scrutiny. It converted some Boeing 737 MAX 10 orders to MAX 9s. The carrier lowered its annual capital expenditure estimate to $6.5 billion and faces FAA safety reviews. It postponed plans due to certification delays.

Due to Boeing 737 MAX 9 grounding, United reported a net loss of $124 million in Q1. Revenue rose almost 10% to $12.54 billion, with a loss per share of 15 cents adjusted compared to an expected loss of 57 cents. CEO Scott Kirby brushed off safety concerns about Boeing 787 Dreamliner raised by a whistleblower.



Read more at CNBC:: United Airlines (UAL) 1Q 2024 earnings