United Airlines Posts First Quarter Loss of $1.7 Billion in ‘Worst Financial Crisis in Aviation History’

By Paul Riegler on 1 May 2020
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United Airlines announced financial results for the first quarter of 2020.

The Chicago-based airline recorded a loss of $1.7 billion compared to a $292 million profit in the same period in 2019.  Revenue was $8 billion, down 19% year over year.

The loss was its biggest since 2008.

“We will not hesitate to make difficult decisions we believe will ensure the long term success of our company,” said the airline’s CEO, Oscar Munoz.  “When demand returns, we believe we’ll be positioned to bounce back strongly and quickly because of our early and aggressive efforts to fight the worst financial crisis in aviation history.”

The airline said it has about $9.6 billion in liquidity, after raising $4 billion during the quarter, not accounting for government aid. United said it expects its daily cash burn to average $40 million to $45 million during the second quarter.

American Airlines, the world’s largest airline, reported a $2.2 billion loss earlier in the week on earnings of $8.52 billion.

(Photo: Accura Media Group)

Accura News

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