United Airlines (UAL) Q1 2026 earnings summary

Executive summary

• Achieved record first quarter revenue of $14.6 billion, up 10.6% year-over-year, with strong demand across all customer segments and regions.

• Q1 diluted EPS rose 85% year-over-year to $2.14; adjusted diluted EPS up 31% to $1.19, within guidance.

• Maintained best Q1 on-time departure rate among top eight U.S. carriers and carried a record number of passengers.

• Implemented significant commercial and product initiatives, including digital enhancements, new fare structures, and fleet upgrades.

• Navigated elevated jet fuel prices and industry disruptions, maintaining top-tier operational reliability and customer satisfaction.

Financial highlights

• Net income was $699 million, up 80.4% year-over-year; adjusted net income $389 million.

• Q1 earnings per share reached $1.19, up 31% year-over-year, despite a $340 million higher fuel bill.

• Free cash flow for the quarter was $2.9 billion; operating cash flow $4.8 billion.

• Pre-tax margin expanded to 3.4%, a 40 basis point increase from the prior year.

• Ending available liquidity stood at $17.2 billion.

Outlook and guidance

• Targeting double-digit pre-tax margins in 2027, with a goal to recover 100% of fuel price increases.

• Q2 EPS guidance set at $1-$2, with full-year 2026 EPS expected in the $7-$11 range.

• Expect to recapture 40%-50% of increased fuel costs in Q2, 70%-80% in Q3, and 85%-100% by Q4.

• Capacity for Q3 and Q4 projected to be flat to up 2% year-over-year.

• Over 250 new aircraft deliveries expected by April 2028; Starlink Wi-Fi fleet-wide by end of 2027.