United Continental Holdings, the parent company of United Airlines, reported first-quarter earnings Tuesday that beat Wall Street profit expectations but fell shy of revenue estimates as the airline grapples with the prolonged grounding of Boeing’s 737 Max jets.
Here’s what the company reported versus what analysts polled by Refinitiv expected:
- Adjusted earnings per share: $1.15 versus 95 cents expected.
- Revenue: $9.59 billion versus $9.61 billion.
The carrier, which has 14 of Boeing’s 737 Max jets in its fleet, has grounded the aircraft through early July as Boeing rushes to fix a software problem suspected in two recent fatal crashes.
United shares jumped 2.9% after the markets closed Tuesday.
United’s total revenue rose to $9.59 billion during the first quarter, up 6.2% from $9.03 billion during the same period in 2018, the company said in releasing its earnings report after the markets closed Tuesday.
On an unadjusted basis, the company’s profit more than doubled to $292 million, or $1.09 per share, from $145 million, or 51 cents per share, during the same quarter last year.
United’s revenue for each passenger it flies a mile, a key industry metric, rose 1.1% over the same period last year, falling short of 1.5% projected by analysts.
United reiterated its full-year earnings guidance of between $10 and $12 per share for 2019 and said it expects to earn between $11 and $13 a share, on an adjusted basis, in 2020.
Executives are holding a call with analysts at 10:30 a.m. EST on Wednesday.