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More Flyers and Higher Fares Boost United’s 4Q Profit to $140 Million

Jan 23, 2014 8:45 am

Skift Take

United’s 4Q profits completely turned around in one year in part to higher fares, but also higher ancillary revenue, which jumped 15 percent to almost $21 per passenger last quarter.

— Samantha Shankman

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Nam Y. Huh  / AP Photo

In this Saturday, Dec. 21, 2013, file photo, Holiday travelers check in at the United Airlines ticket counter at Terminal 1 in O'Hare International Airport in Chicago. Nam Y. Huh / AP Photo


The parent of United Airlines says fourth-quarter net income totaled $140 million as more passengers flew, and paid more for their tickets. The airline’s fuel bill also shrank.

United Continental Holdings Inc. earned $140 million, or 37 cents per share. A year earlier it lost $620 million, or $1.87 per share.

Not counting special charges, United would have earned 78 cents per share — well above the 66 cents expected by analysts surveyed by FactSet.

Revenue rose more than 7 percent to $9.33 billion, also higher than analysts had expected.

Passengers paid 3 percent more per mile to fly compared to a year earlier.

United said in November that it intends to cut $2 billion in annual costs. The company is still working to integrate Continental after their 2010 merger.

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