United Airlines Back in the Black But Investors Still Disappointed

New York — United Airlines on Wednesday reported a return to profitability in the second quarter of 2022 after a long stretch of losses.

The Chicago-based airline reported a profit of $329 million in an announcement Wednesday after the US stock market closed. A year ago, the balance sheet had shown losses of $434 million. The total operating revenue was of $12.1 billion, up 6% compared to second quarter of 2019, before the pandemic hit.

"I am grateful to the United team that has fought through severe systemic challenges impacting all of global aviation to serve our customers," said United Airlines boss Scott Kirby in a statement. "It's nice to return to profitability – but we must confront three risks that could grow over the next 6-18 months.

"Industry-wide operational challenges that limit the system's capacity, record fuel prices and the increasing possibility of a global recession are each real challenges that we are already addressing.

"These fundamental challenges have already led to higher costs, higher fuel prices but, also higher revenue, which means we're as confident as ever we will deliver on our 9 percent adjusted pre-tax margin target in 2023."

Analysts had expected better quarterly figures and the quarterly report was not well received by investors, with shares initially falling significantly in after-hours trading.

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