United Airlines Profit and Sales Climb in Q2

By Paul Riegler on 18 July 2017
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United Airlines announced financial results for the second quarter of 2017.

Despite calls for a boycott of the airline following a highly publicized incident in which a passenger was forcibly removed from an aircraft in a bloodied state, the carrier reported a sizeable increase in profit in Q2.

Net income for the quarter rose to $818 million, up 39% year-over-year. Meanwhile, revenue for the quarter was up as well, by 6.4%, to $10 billion.

The airline’s consolidated passenger revenue per available seat mile, or Prasm, was up 2.1%. Consolidated traffic rose 4.3% year-over-year to 56.4 million RPMs, or revenue passenger miles, on a 4.2% increase in capacity to 67.5 million ASMs, or available seat miles, yielding a load factor of 83.5%, unchanged from Q2 2016.

“We are incredibly proud that the United team delivered the best operational performance among major competitors during one of our busiest quarters,” said Scott Kirby, the airline’s president, in a statement.

The airline said in its second-quarter SEC filing that it has implemented the majority of the ten policy changes it announced in April that are intended to improve the customer experience. The list includes increased compensation incentives to passengers voluntarily accepting a later flight, an initiative to support agents with creative solutions that will get passengers to their final destination in cases of delays using options that include ground transportation and other airlines, a reduction in the amount of overbooking the airline practices, and a promise of less red tape on claims for permanently lost baggage.

(Photo: Accura Media Group)

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