Sumary of Despite Sixth Straight Quarterly Loss United Predicts (Pre-Tax) Profits In Third And Fourth Quarters:
- With demand, especially among leisure travelers, rebounding strongly since spring, United Airlines .
- [+] leaders Tuesday reported a much smaller loss for the second quarter and forecast pre-tax profits for the third and fourth quaters ahead.
- ELIJAH NOUVELAGE/Bloomberg © 2021 Bloomberg Finance LP To no one’s surprise United Airlines today said it lost $434 million, or $1.34 per share in the second quarter ended June 30th, but signaled that it expects to be profitable, at least on a pre-tax basis, in both the third and fourth quarters ahead.
- The second quarter loss was the sixth-straight quarterly loss for the Chicago-based carrier, with all of those resulting form the unprecedented impact on travel demand and revenue of the Covid-19 pandemic.
- But United’s management expectation of pre-tax profitability over the last half of this year would seem to indicate that it is expecting a significant increase in demand this fall among business travelers, who typically buy much higher-priced fares.
- Thus far the demand recovery has been driven almost entirely by leisure travel demand.