US3 Q2 earnings - AA/DL/UA

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Iniziamo da UA

United Airlines (UAL) today reported second-quarter 2024 financial results. The company had pre-tax earnings of $1.7 billion, with a pre-tax margin of 11.6%; adjusted pre-tax earnings1 of $1.8 billion, with an adjusted pre-tax margin1 of 12.1%. The company expects pre-tax margin to be near the top of the industry. The company also achieved diluted earnings per share of $3.96; adjusted diluted earnings per share1 of $4.14, in line with second-quarter 2024 guidance provided at the start of the quarter. The company continues to expect full-year 2024 adjusted diluted earnings per share2 of $9 to $11.

United reduced costs and delivered CASM of down 4.8% and better-than-expected CASM-ex1 of up 2.1%. The airline also generated net cash provided by operating activities of $2.9 billion and $1.9 billion of free cash flow in the quarter.

Second-Quarter Financial Results
• Capacity up 8.3% compared to second-quarter 2023.
• Total operating revenue of $15.0 billion, up 5.7% compared to second-quarter 2023.
• TRASM down 2.4% compared to second-quarter 2023.
• CASM down 4.8%, and CASM-ex1 up 2.1%, compared to second-quarter 2023.
• Pre-tax earnings of $1.7 billion, with a pre-tax margin of 11.6%; adjusted pre-tax earnings1 of $1.8 billion, with an adjusted pre-tax margin1 of 12.1%.
• Net income of $1.3 billion; adjusted net income1 of $1.4 billion.
• Diluted earnings per share of $3.96; adjusted diluted earnings per share1 of $4.14.
• Average fuel price per gallon of $2.76.
• Ending available liquidity4 of $18.2 billion.
• Total debt and finance lease obligations of $26.6 billion at quarter end.
• Trailing twelve months adjusted net debt to adjusted EBITDAR of 2.6x3.
• In July, voluntarily pre-paid the remaining $1.8 billion outstanding balance of the MileagePlus term loan with an interest rate near 11%.

Operations
• Flew the most customers for a second quarter in company history, carrying 44.4 million passengers, and set the record for the most ever customers carried in a day by the airline at 565,000.
• Completed 34 days rated first amongst U.S. airlines for on-time departures, closing the quarter with the second best on-time departures amongst U.S. carriers.
• United Express achieved the lowest cancel rate for a second quarter5 in company history.
• Opened a state-of-the-art cargo facility at the New York/Newark airport, expanding the airline's cargo space at the hub to 319,000 square feet.

full press release: https://www.united.com/en/us/newsroom/announcements/cision-125341

 

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AA comunica il 25JUL

 

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DL

Delivered industry-leading operational performance, underpinning trusted brand and customer loyalty

Record June quarter revenue with mid-teens operating margin and strong cash generation

Continued debt repayment, progressing balance sheet toward investment grade metrics

Announced a 50 percent increase to dividend payment beginning in September quarter

Reiterating full year guide for EPS of $6 to $7 and free cash flow of $3 to $4 billion

ATLANTA, July 11, 2024 /PRNewswire/ -- Delta Air Lines (NYSE: DAL) today reported financial results for the June quarter and provided its outlook for the September quarter. Highlights of the June quarter, including both GAAP and adjusted metrics, are on page five and incorporated here.

"Thanks to the incredible work of our 100,000 people, Delta is delivering industry-leading operational performance and best-in-class service for our customers. We delivered record June quarter revenue and pre-tax income of $2 billion with a 15 percent operating margin. Our people are the best in the industry, and we are pleased to recognize their efforts with more than $640 million accrued in the first half toward next year's profit sharing," said Ed Bastian, Delta's chief executive officer.

"For the September quarter, we expect a double-digit operating margin and a pre-tax profit of approximately $1.5 billion. With strong first half results and visibility into the second half, we remain confident in our full-year guidance."

JuneQuarter 2024 GAAP Financial Results

• Operating revenue of $16.7 billion
• Operating income of $2.3 billion with an operating margin of 13.6 percent
• Pre-tax income of $1.8 billion with a pre-tax margin of 10.6 percent
• Earnings per share of $2.01
• Operating cash flow of $2.5 billion
• Payments on debt and finance lease obligations of $1.4 billion
• Total debt and finance lease obligations of $18.0 billion at quarter end

JuneQuarter 2024 Adjusted Financial Results

• Operating revenue of $15.4 billion, 5.4 percent higher than the June quarter 2023
• Operating income of $2.3 billion with an operating margin of 14.7 percent
• Pre-tax income of $2.0 billion with a pre-tax margin of 13.0 percent
• Earnings per share of $2.36
• Operating cash flow of $2.5 billion
• Free cash flow of $1.3 billion
• Adjusted debt to EBITDAR of 2.8x, down from 3.0x at the end of 2023
• Return on invested capital of 13.1 percent

JuneQuarter 2024 Cost Performance

• Operating expense of $14.4 billion and adjusted operating expense of $13.1 billion
• Adjusted non-fuel costs of $9.8 billion
• Non-fuel CASM was 13.14¢, an increase of 0.6 percent year-over-year
• Adjusted fuel expense of $2.8 billion was up 12 percent year-over-year
• Adjusted fuel price of $2.64 per gallon increased 5 percent year-over-year with a refinery benefit of 6¢ per gallon
• Fuel efficiency, defined as gallons per 1,000 ASMs, was 14.3, a 1.1 percent improvement year-over-year

Balance Sheet, Cash and Liquidity

"Through the first half of the year, Delta delivered $2.7 billion in free cash flow, enabling $2.1 billion in debt repayment and a 50 percent increase in our quarterly dividend beginning in the September quarter," Janki said. "Debt reduction remains our top financial priority and we are progressing toward investment grade ratings, with gross leverage improving to 2.8x at the end of the first half."

• Adjusted net debt of $19.2 billion at June quarter end, a reduction of $2.3 billion from the end of 2023
• Payments on debt and finance lease obligations for the June quarter of $1.4 billion
• Weighted average interest rate of 4.3 percent with 94 percent fixed rate debt and 6 percent variable rate debt
• Adjusted operating cash flow in the June quarter of $2.5 billion, and with gross capital expenditures of $1.2 billion, free cash flow was $1.3 billion
• Air Traffic Liability ended the quarter at $9.4 billion, up $2.4 billion compared to the end of 2023