United Airlines posts another loss, warns difficult months ahead as pandemic drags on

A Boeing 787 Dreamliner operated by United Airways takes off from Los Angeles Global Airport.

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United Airways on Wednesday posted a fourth-quarter loss and warned gross sales would proceed to suffer within the early fragment of 2021 as the coronavirus pandemic drags on.

Here is how United performed within the quarter, in contrast with what Wall Avenue expected, according to moderate estimates compiled by Refinitiv:

  • Adjusted earnings per portion: an absence of $7 versus an expected lack of $6.60 a portion.
  • Income: $3.41 billion versus expected $3.44 billion in income.

United’s fourth-quarter income fell 69% from a yr earlier to $3.41 billion, below analysts’ estimates of $3.44 billion. Its get lack of $1.9 billion within the quarter compares with a $641 million profit a yr earlier.

The Chicago-primarily based mostly airline reported an adjusted lack of $7 a portion, in contrast with estimates for an absence of $6.60 per portion. It burned about $33 million a day on moderate within the quarter, together with debt and severance payments.

The carrier isn’t searching ahead to a brief turnaround early this yr. First-quarter income will likely shall be found 65% to 70% below 2019 stages, the airline acknowledged. It estimated first-quarter ability will be down now not now not up to 51% below the the same months of 2019, echoing a the same outlook from American Airways.

United’s shares had been down 1.5% in afterhours buying and selling following the document.

Airline executives hang acknowledged frequent availability of coronavirus vaccines will gasoline a recovery in air gallop. Nonetheless the vaccine rollout has been leisurely and chaotic, marked by a shortage of doses.

United executives will retain a call to remark about its income and outlook at 10: 30 a.m. ET Thursday.