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United Continental Holdings Reports 2Q Results  
User currently offlineJamake1 From United States of America, joined May 2004, 1005 posts, RR: 2
Posted (3 years 1 month 1 day 18 hours ago) and read 7104 times:

$577 million profit for quarter. Ends quarter with $8.6 billion in cash. Full press release below:

Excellent results!

http://finance.yahoo.com/news/United...ngs-prnews-192496285.html?x=0&.v=1


United's B747-400. "She's a a cruel lover."
31 replies: All unread, showing first 25:
 
User currently offlinefiveholer From United States of America, joined Jun 1999, 1013 posts, RR: 15
Reply 1, posted (3 years 1 month 1 day 18 hours ago) and read 6990 times:

Wow, that was a quick post! I just got the company email! Pretty exciting to see this!

Danny



Bring back Bethune!
User currently onlineAeroWesty From United States of America, joined Oct 2004, 20494 posts, RR: 62
Reply 2, posted (3 years 1 month 1 day 18 hours ago) and read 6985 times:

Gap between UA's profit and AA's loss: 3/4 billion dollars. For just one quarter. Staggering.

Looks like the merger is going well so far.



International Homo of Mystery
User currently offlineNimish From India, joined Feb 2005, 3219 posts, RR: 9
Reply 3, posted (3 years 1 month 1 day 18 hours ago) and read 6967 times:

How does this compare with the other US majors? Pretty good results - considering the doom and gloom due to the high oil prices!


Latest Trip Report - GoAir BLR-BOM-BLR
User currently offlinewashingtonian From , joined Dec 1969, posts, RR:
Reply 4, posted (3 years 1 month 1 day 17 hours ago) and read 6833 times:

Quoting AeroWesty (Reply 2):
Gap between UA's profit and AA's loss: 3/4 billion dollars. For just one quarter. Staggering.

Indeed, pretty wild.


User currently offlinefun2fly From United States of America, joined Dec 2006, 1035 posts, RR: 1
Reply 5, posted (3 years 1 month 1 day 17 hours ago) and read 6784 times:

Quoting AeroWesty (Reply 2):
Gap between UA's profit and AA's loss: 3/4 billion dollars. For just one quarter. Staggering.

AA did a nice cover up job w/the aircraft order to hide the results.

Pretty nice work on the UA front on earnings with a lot of synergy yet to be realized between the carriers in the future. Impressive numbers despite $100bbl fuel.


User currently offlinebobnwa From United States of America, joined Dec 2000, 6464 posts, RR: 9
Reply 6, posted (3 years 1 month 1 day 17 hours ago) and read 6721 times:

Quoting Nimish (Reply 3):
How does this compare with the other US majors? Pretty good results - considering the doom and gloom due to the high oil prices!

Other than AA the other US majors have not announded as yet. Delta reports today folowed shortly by US


User currently offlinedelimit From United States of America, joined Jan 2009, 1508 posts, RR: 2
Reply 7, posted (3 years 1 month 1 day 17 hours ago) and read 6617 times:

Quoting bobnwa (Reply 6):
Other than AA the other US majors have not announded as yet. Delta reports today folowed shortly by US

Both of whom are expected to also report profits I believe.

Nice work, UA.

Glanced briefly, but didn't see it. What's UA's outstanding debt total at?


User currently offlineJamake1 From United States of America, joined May 2004, 1005 posts, RR: 2
Reply 8, posted (3 years 1 month 1 day 17 hours ago) and read 6617 times:

Quoting Nimish (Reply 3):
How does this compare with the other US majors? Pretty good results - considering the doom and gloom due to the high oil prices!

US just reported: $106 mil profit. I've posted their press release in a separate thread.



United's B747-400. "She's a a cruel lover."
User currently offlineTOMMY767 From United States of America, joined Aug 2003, 6584 posts, RR: 9
Reply 9, posted (3 years 1 month 1 day 17 hours ago) and read 6571 times:

WOW. I guess UA/CO is a powerhouse.


"Folks that's the news and I'm outta here!" -- Dennis Miller
User currently onlineUnited1 From United States of America, joined Oct 2003, 5935 posts, RR: 9
Reply 10, posted (3 years 1 month 1 day 15 hours ago) and read 6234 times:

Quoting delimit (Reply 7):
What's UA's outstanding debt total at?

Just a little over 14 billion at the end of the quarter... that's down from 15.8 at the end of last year.



Semper Fi - PowerPoint makes us stupid.
User currently offlineUAL777UK From United Kingdom, joined Nov 2005, 3356 posts, RR: 1
Reply 11, posted (3 years 1 month 1 day 14 hours ago) and read 6112 times:

Great figures and as fun2fly stated there are a lot of synergies yet to be recognised as a result of the merger.

Good to see debt was reduced as well.

AA seems to be going in the opposite direction so far as I can see?


User currently offlineapodino From United States of America, joined Apr 2005, 4257 posts, RR: 6
Reply 12, posted (3 years 1 month 1 day 14 hours ago) and read 6097 times:

Wow, they are doing well. And 8.6 Billion in cash? They are looking really good going forward. Now if they get their other issues sorted out...this is going to be the one to watch going forward.

User currently offlineAADC10 From United States of America, joined Nov 2004, 2087 posts, RR: 0
Reply 13, posted (3 years 1 month 1 day 13 hours ago) and read 5904 times:

Quoting Jamake1 (Thread starter):
Excellent results!

Investors do not appear to think so. After shooting up before the announcement, UAL share prices dropped 1%.

Bottom line profits dropped Y/Y. Good relative to the industry but not enough for investors.


User currently onlineUnited1 From United States of America, joined Oct 2003, 5935 posts, RR: 9
Reply 14, posted (3 years 1 month 1 day 13 hours ago) and read 5870 times:

Quoting AADC10 (Reply 13):
Quoting Jamake1 (Thread starter):
Excellent results!

Investors do not appear to think so. After shooting up before the announcement, UAL share prices dropped 1%.

That has to do with oil shooting up to $100 a barrel again and has nothing to do with UAs results which beat expectations. Incidentally AA has dropped 8 percent today, DL just under 1%, WN dropped just under 1% and US around 3.5%.



Semper Fi - PowerPoint makes us stupid.
User currently offlineJamake1 From United States of America, joined May 2004, 1005 posts, RR: 2
Reply 15, posted (3 years 1 month 1 day 13 hours ago) and read 5835 times:

Quoting AADC10 (Reply 13):
Bottom line profits dropped Y/Y. Good relative to the industry but not enough for investors.

Profits dropped Y/Y for everbody due to fuel...except for AA, where losses significantly widened.



United's B747-400. "She's a a cruel lover."
User currently offlineBCEaglesCO757 From United States of America, joined Mar 2011, 242 posts, RR: 2
Reply 16, posted (3 years 1 month 1 day 12 hours ago) and read 5673 times:

Quoting Jamake1 (Thread starter):
Ends quarter with $8.6 billion in cash.

Wow. Great job by everybody at work. UA and CO.

8.6 BILLION ? Wow............

Now with all that cash on hand maybe they could hire juuuust a few people to help us out.

Not trying to rain on the parade. I'm happy for ther results and thankful for my job. But it's a prime example of a company in the US sitting on a ton of cash,but not hiring even a small amount of people. Which from this insiders view....we could use a little help to put it nicely.

But letting go of people for sure with the merger.

Great job by all the UA/CO employees.


User currently offlineLAXintl From United States of America, joined May 2000, 25056 posts, RR: 46
Reply 17, posted (3 years 1 month 1 day 12 hours ago) and read 5581 times:

Earnings call notes:


Financial:
o Solid financial and operational performance for the Qtr.
o Net Profit $577mil - 6% pre tax margin.
o Revenue up 9% to 9.7Bil.
o Expenses up 12% (985mil), primarily due fuel prices.
o Fuel expense up $1.1bil yoy. Had $278mil fuel hedge gain.
o Aircraft maintenance cost up 20% yoy due volume of checks and engine overhaul cost, and merger related integration.
o Total debt down $1bil to approx $14Bil during Qtr incl. prepayments of aircraft funding facilities.
o Unrestricted cash $8.6Bil.
o $750mil cash flow in Qtr.
o Accrued $90mil in employee profit sharing.

Merger:
o Merger integration well on the way. – policy procedures mostly aligned. Working on technology now. 15 major platforms to be aligned – for example single pax service platform by Q1 2012.
o 275 of 370 airports are now working jointly. Have features such as airport kiosk allow pax to check into either airline
o Joint labor agreements must result in sustainable long term cost structures. Will unlikely to make goal of having things in place by end of 2011.
o Launch joint United Club’s in Q3 which will include remodels of several global lounges.
o New Mileage Plus to be rolled out in Q4.

Network:
o Traffic basically flat yoy.
o Network yield up 10%.
o Latin America entity, especially Central America very strong which saw 20.2% revenue increase, yield +22.7% yoy.
o Pacific up RASM 5.7%, premium cabin traffic strong especially to China (up 13% yoy). $100mil rev loss in Q2 due Japan weakness. Japan point of sales net bookings improving expect more normal traffic flows by Q4.
o Atlantic segment up primarily on Middle East and India demand both experiencing double digit growth.
o Q4 Atlantic capacity will be down 6% in cooperation with JV partners.
o Consistent corporate travel returning.
o Q2 fares were good due pricing increases.
o Cargo volume down 13%, but yield up over 20% providing a 5% revenue boost.
o Cross fleeting will allow better manage capacity esp in International arena. Each subsidiary has unique fleet benefits.

Looking ahead:
o Tepic economic environment esp in US.
o Q3 looks OK. PRASM in July up 7% so far, but weaker than Q2 growth.
o CASM up 1-2% rest of year.
o Fuel price concern. 51% of remainder of 2011 fuel hedged.
o More “merchandizing” opportunities for added ancillary revenues out there.
o CAPEX $1bil in full year – mostly all in customer focus areas and integration
o 2012 capacity growth likely will be flat at the moment. Have ability to manage up/down as needed.
o Look forward to 6 - 787s planned in 2012.

Other:
o Airline focus is “Smart Business customer” in mind. Elite traveler volumes are growing.
o Working on strategy for wi-fi across entire domestic fleet.
o Online CO&UA.com sales have seen “significant” growth first 6-mos of 2011.
o Does not view AA order as limiting future flexibility by taking up too many delivery slots. Says AA order finally pushed Boeing to make a decision on 737 fleet which is good for industry.
o Airline industry is “brutally taxed”, heavier than vices such as alcohol and have concerns about things happening in DC and overseas. About 20% of passenger fares go towards various governmental fees.

[Edited 2011-07-21 11:10:23]


From the desert to the sea, to all of Southern California
User currently offlineMSPNWA From United States of America, joined Apr 2009, 1932 posts, RR: 2
Reply 18, posted (3 years 1 month 1 day 12 hours ago) and read 5479 times:

Pretty remarkable for UA to come that close to matching 2010 Q2 results. Excellent quarter.

User currently offlineSonomaFlyer From United States of America, joined Apr 2010, 1762 posts, RR: 0
Reply 19, posted (3 years 1 month 1 day 12 hours ago) and read 5456 times:
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I'm surprised given the merger expenses and the brutal fuel market that their performance was this strong and their unrestricted cash so large.

Get the labor issues resolved UA and go out and kick some tail...


User currently offlineyeelep From United States of America, joined Apr 2011, 653 posts, RR: 0
Reply 20, posted (3 years 1 month 1 day 12 hours ago) and read 5420 times:

Quoting Jamake1 (Reply 15):
Profits dropped Y/Y for everbody due to fuel...except for AA, where losses significantly widened.

Except for Alaska Air Group. Profits were 84M last year, 89.6M this year for the 2nd qaurter.

[Edited 2011-07-21 11:41:45]

[Edited 2011-07-21 11:42:33]

User currently offlineyellowtail From United States of America, joined Jun 2005, 6089 posts, RR: 2
Reply 21, posted (3 years 1 month 1 day 8 hours ago) and read 5048 times:

Quoting LAXintl (Reply 17):
o Latin America entity, especially Central America very strong which saw 20.2% revenue increase, yield +22.7% yoy.

I tell you...even at the miniscule BZE station...I can see this....UA is really beginning to hurt AA in Central America. I see UA's planes pretty full while AA is having fare sales

I mentioned this in another thread awhile back about the shift for travellers from this region away from transiting MIA and got pounced upon...but if you are going anywhere but SoFla....UA and DL are really gaining ground.



When in doubt, hold on to your altitude. No-one has ever collided with the sky.
User currently offlinegoblin211 From United States of America, joined Jun 2010, 1209 posts, RR: 0
Reply 22, posted (3 years 1 month 1 day 8 hours ago) and read 4947 times:

So how hard of a time is it if so many airlines are profiting. Looks like to me the only problem is oil. Unless you're AA then you have other problems. Caongrats UA and keep up the good work!


From the airport with love
User currently offlineFlyASAGuy2005 From United States of America, joined Sep 2007, 7004 posts, RR: 11
Reply 23, posted (3 years 1 month 1 day 8 hours ago) and read 4897 times:

Quoting fun2fly (Reply 5):

AA did a nice cover up job w/the aircraft order to hide the results.

Didn't pull the wool over far enough. AA fell to a "sell" rating not too long after. The order announcement was timed all for PR.

Quoting bobnwa (Reply 6):
Other than AA the other US majors have not announded as yet. Delta reports today folowed shortly by US

They nomrally do but it's not until the 27th. My bet is they are cleaning up the employee buyout. They will take a special charge on that as far as I know.



What gets measured gets done.
User currently offlineLAXtoATL From United States of America, joined Oct 2009, 1590 posts, RR: 2
Reply 24, posted (3 years 1 month 1 day 7 hours ago) and read 4702 times:

Quoting yeelep (Reply 20):
Except for Alaska Air Group. Profits were 84M last year, 89.6M this year for the 2nd qaurter.

Alaska Air reported net profit of $28M versus $58M last year (GAAP). Those are the true numbers without any exclusions. The $89M number excludes losses associated with fuel hedges (about $70M).


25 idjim319 : Its nice to see some positive news coming in from a US airline!! Good on United! I hope they can keep it up. It seemed like so many bad news stories f
26 PacificClipper : The other news which I don't think has been previously announced is the intent to have the int'l premium cabin refurbs completed sometime next year. G
27 N766UA : Well they charge for freaking everything now, I'd hope they could turn a dime.
28 yeelep : The losses from fuel hedges was 44.1M, the rest was fleet transition cost at Horizon 16.7M. Congrats to all at Continited.
29 FRAIAD : Congratulations to my favorite airline. Good job UA.
30 LAXtoATL : Thanks for the correction.
31 joeman : Just think how much more they could have made or will if they put a couple thousand people out of work at CLE, transfer a few hundred daily connecting
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