High-end travelers have strong demand! United Airlines (UAL.US) Q3 profits exceed expectations, expected Q4 revenue will reach a new high.

United Airlines (UAL.US) announced third-quarter earnings that exceeded market expectations. The airline company expects profits to increase by the end of the year driven by high brand loyalty among passengers and demand for its premium seats. The financial report shows that United Airlines' third-quarter revenue increased by 2.6% year-on-year to $15.23 billion, slightly lower than the market's expectation of $15.28 billion. Adjusted earnings per share were $2.78, higher than the market's expectation of $2.66. In recent years, United Airlines and its competitor Delta Air Lines, Inc. (DAL.US) have been actively promoting high-end products in an effort to differentiate themselves from low-cost airlines and capitalize on the resurgence of demand for luxury travel experiences. This strategy has helped American Airlines Group Inc. improve its financial situation after a sharp decline in passenger traffic earlier this year. United Airlines CEO Scott Kirby stated that the company's efforts to attract and retain discerning passengers, as well as investments in its fleet, have provided resilience during economic fluctuations. He mentioned that with the continuous improvement of the economy and demand in the fourth quarter, the company has significant upside potential. United Airlines reported a 6% increase in revenue from its premium cabins and a 4% increase in revenue from its basic economy cabins. However, the company's overall passenger load factor for the quarter was 84.4%, lower than the market's expectation of 85.3%. Delta Air Lines, Inc. reported a passenger load factor of 86% last week. Looking ahead, United Airlines expects to achieve its highest quarterly total revenue in the fourth quarter. The company anticipates adjusted earnings per share to be between $3.00 and $3.50 in the fourth quarter, surpassing the market's expectation of $2.82. United Airlines also expects its full-year performance to be at the higher end of its previous guidance range. The company previously forecasted adjusted earnings per share to be between $9 and $11 in July. Investors will be interested in United Airlines' commentary on the outlook of the U.S. economy and its operations at Newark Liberty International Airport during the earnings conference call scheduled for Thursday. This airport is one of United Airlines' major international hubs and experienced a system outage earlier this year. Additionally, the expected labor agreement with flight attendants next year is also a focus of market attention.