UAL Q2 2025 Earnings

Call Details

• Call Title: United Airlines Holdings, Inc. Q2 2025 Earnings Call
• Date: July 17, 2025 at 2:30 PM UTC
• Management Team:
  • Scott Kirby (Chief Executive Officer)
  • Toby Enqvist (Executive Vice President and Chief Operations Officer)
  • Andrew Nocella (Executive Vice President and Chief Commercial Officer)
  • Mike Leskinen (Executive Vice President and Chief Financial Officer)
  • Kristina Edwards (Managing Director of Investor Relations)

Call Summary

Financial Performance

• United's top line revenue increased 1.7% to a record $15.2 billion in the quarter.
• Consolidated TRASM for the quarter was down 4% on a 5.9% increase in capacity.
• Adjusted for Newark events, United TRASM would have been down 2% to 3% and EPS would have been at the high end of guidance.
• Reported earnings per share were $3.87 compared to Wall Street expectations of $3.81.
• Second quarter CASMx grew 2.2% year over year.
• Cargo revenue was up 4% year over year on record volumes.
• Loyalty revenue grew 9% year over year.
• The company generated over $1.1 billion of free cash flow in the quarter and ended the quarter with $18.6 billion in liquidity.

Guidance

• Third quarter EPS is expected to be between $2.25 and $2.75.
• Full-year EPS guidance remains between $9 and $11.
• The Newark disruption reduced Q2 margins by approximately 1.2 points and is expected to linger into Q3 with roughly a one-point margin impact.
• The company expects similar cost performance to Q2 in both Q3 and Q4.
• United expects to generate over $2 billion in free cash flow for the full year.
• Published industry domestic capacity for August and September shows slightly less capacity year over year versus prior published plans, which the company expects to be beneficial.
• The company built conservatism into full-year guidance to allow for one additional 'act of God' type event in the outlook.