United Airlines reports best 1st Quarter financial performance in five years

CHICAGO – United Airlines (UAL) reported its best first-quarter financial results in the past five years, despite a challenging macroeconomic environment.

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 earnings of $391 million, with an adjusted pre-tax margin 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 share¹ 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.

Key Highlights

• Announced updates and enhanced benefits to the United Family of Cards from Chase, with $800 to $2,000 in total annual value for cardholders, and welcome bonus mile offers for new cardholders.
• Received FAA certification for Starlink WiFi, with fast, reliable and free WiFi for MileagePlus members expected onboard certain commercial flights as early as May.
• Achieved our highest customer satisfaction scores for a first quarter, an increase of 10% year over year, recording our highest ever ratings for pilot communication, inflight entertainment and check-in experience based on the Net Promoter Score customer satisfaction scale.
• United operated its largest first quarter schedule by available seat miles in its history, carrying a record of over 450,000 customers per day on average, including nearly 90,000 on average in United’s industry-leading international network.
• United Airlines Ventures (UAV), United’s corporate venture capital unit that invests in start-ups developing innovative technologies for scaling sustainable aviation fuel and advancing the aviation industry, announced an investment by the UAV Sustainable Flight Fund in direct carbon capture startup Heirloom.
• Named to Fortune’s list for Most Admired Companies for the fourth consecutive year.

Customer Experience

• Customers continue to adopt self-service tools for a more seamless travel experience, with digital check-in reaching a record high of 85% in the first quarter and kiosk check-in dropping to a record low rate of 8%.
• Saw increased engagement with the United app as 83% of customers used it for day-of travel needs in the first quarter, a 5% increase year-over-year, driven by in-app enhancements like Spanish translation and new, improved connection information in the Travel Mode feature for quick access to key trip details.
• Returned guest favorite Daelmans Stroopwafel for domestic snacks for flights over 300 miles, introduced a revamped meal service to long-haul Hawaii flights for all cabins, including themed entrees, and added hot meals for economy guests and sundae carts featuring Tillamook ice cream and other desserts for first class passengers.
• Uncorked the exclusive United Polaris wine collaboration with Laurent-Perrier, becoming the only North American airline to serve Laurent-Perrier’s La Cuvée, and introduced three new canned cocktails from Chicago-based Crafthouse Cocktails on domestic flights, in collaboration with James Beard Award-winning mixologist, Charles Joly.
• Named by USA Today to America’s Best Customer Service 2025, and MileagePlus was named to Newsweek’s list of America’s Best Loyalty Programs for 2025.
• Introduced inflight entertainment enhancements such as a Control Tower feature, allowing customers a unique view of an airport’s airfield map.

Operations

• Achieved the Company’s best on-time departure and arrival rates for a first quarter since 2021, and ranked first in on-time departures at United’s hubs in San Francisco, Los Angeles and Washington D.C. among airlines with comparable operations at those airports.
• Recorded the second lowest seat cancel rate for a first quarter in company history, at half the rate of the year-ago period.
• United Express more than doubled its record of 100% completion days in the first quarter, at 21 days.
• Opened a state-of-the-art Tech Ops Training Facility at the airline’s Houston hub and broke ground on a $315 million Tech Ops complex in Orlando in collaboration with the Greater Orlando Aviation Authority.
• Set company records for on-time performance and completion at line stations with at least 10 flights per day.

Network

• In the first quarter, United took delivery of its 1,000th mainline jet, enabling continued expansion of its premium offerings with 69,000 average daily premium seats flown across the system in the quarter, an increase of 7% year-over-year.
• Re-started service to Tel Aviv, Israel from New York/Newark, with twice daily service, more service than any other U.S. airline currently provides.
• United expanded its service to warm-weather, customer-favorite destinations, flying its largest ever first-quarter schedules to the Caribbean, Latin America and Africa, additionally operating its largest first-quarter schedule to domestic sun destinations at over 11 million seats.
• Launched its first-ever nonstop flight between New York/Newark and Dominica in February.
• Added or upgauged 210 flights to help customers reach major special events like college and professional football championships and Mardi Gras.

Employees and Communities

• More than 850 employees volunteered more than 6,900 hours at non-profit organizations supporting local communities around the world in the first quarter, with United’s business resource groups hosting over 30 events in honor of MLK Day of Service and other volunteerism efforts in the quarter.
• As a partner of Airlink, United transported over 8,000 pounds of cargo to Los Angeles to aid those affected by the fires, additionally donating close to 15 million miles and nearly $400,000 for disaster relief with the support of United customers.
• United was recognized as a top employer, being named as one of Forbes’ Best Large Employers in 2025 and one of the Best Workplaces for Black Americans and Women by Newsweek.
• Chief Operations Officer Toby Enqvist was elected to the Special Olympics International Board of Directors in April. He will build on the partnership United launched in 2017 that created the industry-leading Special Olympics Service Ambassador program, enabling Special Olympics Athlete Leaders to use their talents and develop their skills by helping United customers in airports.
• Hosted career day events for high schoolers at Houston and Newark hubs in collaboration with the Houston Texans and New York Giants to educate students on future careers in aviation.

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