Lates News

United Airlines (UAL) released its second quarter and full-year profit forecast, noting that soaring fuel prices are squeezing profits and casting a shadow over its short-term outlook despite strong demand for premium travel. The Chicago-based airline company expects adjusted earnings per share of $1-2 for the second quarter and $7-11 for the full year. According to data from April 17, the company estimates fuel costs for this quarter to be around $4.30 per gallon, highlighting the pressure brought on by rising energy costs. United Airlines stated that it expects to recover only 40-50% of the fuel cost increase in the second quarter through ticket prices and other revenue measures, increasing to 70-80% in the third quarter and reaching 85-100% in the fourth quarter.