TLDR
- United Airlines reported Q4 adjusted earnings of $3.10 per share, crushing the $2.93 consensus on $15.4 billion revenue
- Annual 2025 earnings of $10.62 per share exceeded forecasts, with revenue reaching $59.07 billion
- Premium segment revenue jumped 9% while loyalty program revenue increased 10% in Q4
- Company guides 2026 full-year earnings at $12 to $14 per share with Q1 at $1.00 to $1.50 per share
- Shares rallied 3.4% in after-hours trading after closing down 4.3% at $108.57
United Airlines crushed Wall Street expectations with fourth-quarter results that sent shares higher in extended trading. The carrier posted adjusted earnings of $3.10 per share on revenue of $15.4 billion.
The results topped analyst estimates of $2.93 per share on the same revenue figure. The quarterly revenue marked the highest in company history.
For full-year 2025, United delivered adjusted earnings of $10.62 per share. Analysts projected $10.57 per share.
Revenue for the year reached $59.07 billion, beating the $59.05 billion consensus by a small margin. This represented a 3.5% year-over-year increase and another record.
United Airlines Holdings, Inc., UAL
The stock surged 3.4% after hours following a 4.3% regular session decline to $108.57. Year-to-date, shares are down 2.9% but up 1.1% over the past year.
Strong Demand From High-Value Customers
Premium travelers powered United’s outperformance. Premium revenue climbed 9% in the fourth quarter and 11% for the full year.
The loyalty program generated 10% more revenue in Q4 and 9% more annually. Even basic economy fares contributed, rising 7% in the quarter and 5% for the year.
United carried 181 million passengers in 2025 while flying an average of 496,000 people daily. The airline operated its largest mainline schedule ever.
The carrier also achieved the lowest flight cancellation rate per seat among major U.S. network airlines. CEO Scott Kirby credited brand-loyal customers for the strong performance.
Early 2026 data shows continued momentum. The week ending January 4 set a record for flown revenue, while the week ending January 11 broke records for ticketing and business sales.
Fleet Expansion and 2026 Guidance
United expects to take delivery of more than 120 aircraft this year. The fleet additions include over 100 narrowbody planes and roughly 20 Boeing 787 widebody jets.
The widebody deliveries mark the most for any U.S. passenger airline in a single year since 1988. Infrastructure improvements are also underway at Washington Dulles and Houston hubs.
For the first quarter of 2026, United forecasts earnings between $1.00 and $1.50 per share. Full-year guidance spans $12 to $14 per share.
Analysts had expected $1.13 for Q1 and $13.19 for the full year. The guidance came after Delta Air Lines issued a disappointing outlook last week that pressured airline stocks.
Shutdown Creates Headwinds
The fourth quarter wasn’t without challenges. A 43-day federal government shutdown weighed on results.
United offered full refunds to all customers regardless of whether flights were canceled. The carrier promoted this policy aggressively to boost customer satisfaction.
The strategy worked, helping lift November bookings and the overall quarter. But the shutdown’s total impact on bookings and costs cut pre-tax earnings by approximately $250 million.
UBS analyst Atul Maheswari rates the stock a Buy with a $145 price target. This implies 27.6% upside from Friday’s $113.50 closing price.
He expects United’s corporate and premium customer focus to drive favorable first-quarter trends. The company holds its earnings conference call Wednesday at 10:30 a.m. Eastern time.
Get 3 Free Stock Ebooks
Discover top-performing stocks in AI, Crypto, and Technology with expert analysis.
- Top 10 AI Stocks - Leading AI companies
- Top 10 Crypto Stocks - Blockchain leaders
- Top 10 Tech Stocks - Tech giants
