United Reports March 2018 Operational Performance
Apr 9, 2018, 3:14 pm
#1
Moderator: United Airlines
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United Reports March 2018 Operational Performance
United Reports March 2018 Operational Performance
CHICAGO, April 9, 2018 /PRNewswire/ -- United Airlines (UAL) today reported March 2018 operational results.
UAL's March 2018 consolidated traffic (revenue passenger miles) increased 6.5 percent and consolidated capacity (available seat miles) increased 3.8 percent versus March 2017. UAL's March 2018 consolidated load factor increased 2.2 points compared to March 2017.
CHICAGO, April 9, 2018 /PRNewswire/ -- United Airlines (UAL) today reported March 2018 operational results.
UAL's March 2018 consolidated traffic (revenue passenger miles) increased 6.5 percent and consolidated capacity (available seat miles) increased 3.8 percent versus March 2017. UAL's March 2018 consolidated load factor increased 2.2 points compared to March 2017.
March 2018 Preliminary Operational Results
.................................................. .......... 2018 . 2017 . Change
Mainline Departure Performance1.... 70.5% 67.0% 3.5 pts
Mainline Completion Factor .............. 98.0% 98.7% (0.7) pts
1 Based on mainline scheduled flights departing by or before scheduled departure time {D:0}
04/09/2018 United Continental Holdings Investor Update
FlightStats Global Airlines Arrival Performance - March 2018 (full network stats)
Reported A:14 for UA as 84.4%, DL 84.8%, AA 84.8%, WN 79.3%
Completion factor UA as 97.0%, DL 97.6%, AA 96.1%, WN 98.1%
Prior reports
United Reports February 2018 Operational Performance; Michele J. Hooper joins UCH BoD
United Reports March 2017 Operational Performance
Last edited by WineCountryUA; Apr 9, 2018 at 3:22 pm
Apr 9, 2018, 3:17 pm
#2
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United Airlines to Hold Live Webcast of First-Quarter 2018 Financial Results
April 06, 2018
CHICAGO, April 6, 2018 /PRNewswire/ -- United Airlines will hold a conference call to discuss first-quarter 2018 financial results on Wednesday, April 18, at 9:30 a.m. CT/10:30 a.m. ET. A live, listen-only webcast of the conference call will be available at ir.united.com. The company will issue its first-quarter financial results and second-quarter 2018 investor update after market close on Tuesday, April 17.
The webcast will be available for replay within 24 hours of the conference call and then archived on the website for three months.
April 06, 2018
CHICAGO, April 6, 2018 /PRNewswire/ -- United Airlines will hold a conference call to discuss first-quarter 2018 financial results on Wednesday, April 18, at 9:30 a.m. CT/10:30 a.m. ET. A live, listen-only webcast of the conference call will be available at ir.united.com. The company will issue its first-quarter financial results and second-quarter 2018 investor update after market close on Tuesday, April 17.
The webcast will be available for replay within 24 hours of the conference call and then archived on the website for three months.
Apr 9, 2018, 9:43 pm
#5
Join Date: Feb 2008
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United projects capacity of +3.6% and PRASM of +2.7%, sounds good, sort of like those magic weight loss pills, but it tells you nothing about how well United is actually doing... Delta already projected capacity of +3% with TRASM of +5% in its 4/3/18 update.https://s1.q4cdn.com/231238688/files...tor-Update.pdf In context this is a HORRIBLE report.
And its just as bad in margin. UA is projecting an around 2% margin, Delta a 6.5% to 7.5% margin.
Really, really bad under-performance. This is far worse than the recent under-performance.
Look demand is high, capacity has been constrained, and the airlines are (or should be) minting $$$. Yet it appears with a similar capacity raise, United under-performed Delta by 2.3% in PRASM growth, and DAL got a margin that was more than 3x as big.
Look, United is clearly a serious long term laggard at this point, and despite having the best presence in the best business markets in the US, and starting in 2011 with the best network and fleet by far, through stupidity, arrogance, and following the Hunter Keay playbook of product and service cuts, it has become the K-mart of airlines.
While the Hunter Keays of the world have been arguing since 2011 that having a good quality product and good customer service was irrelevent, since people bought on price and schedual, and as such airlines should cut their way to bigger profits, the last seven years ought to have disproved that theory for all but those who are willfully blind.
p.s. DAL's number is TRASM not PRASM, so the actual head to head margin is not determinable, but the direction is clear from the investor updates.
And its just as bad in margin. UA is projecting an around 2% margin, Delta a 6.5% to 7.5% margin.
Really, really bad under-performance. This is far worse than the recent under-performance.
Look demand is high, capacity has been constrained, and the airlines are (or should be) minting $$$. Yet it appears with a similar capacity raise, United under-performed Delta by 2.3% in PRASM growth, and DAL got a margin that was more than 3x as big.
Look, United is clearly a serious long term laggard at this point, and despite having the best presence in the best business markets in the US, and starting in 2011 with the best network and fleet by far, through stupidity, arrogance, and following the Hunter Keay playbook of product and service cuts, it has become the K-mart of airlines.
While the Hunter Keays of the world have been arguing since 2011 that having a good quality product and good customer service was irrelevent, since people bought on price and schedual, and as such airlines should cut their way to bigger profits, the last seven years ought to have disproved that theory for all but those who are willfully blind.
p.s. DAL's number is TRASM not PRASM, so the actual head to head margin is not determinable, but the direction is clear from the investor updates.
Apr 9, 2018, 10:24 pm
#6
Join Date: Aug 2007
Location: Tx
Programs: AA, UA, WN
Posts: 812
I think kirby has the answer...."we need more cowbell" (CR2s) and "you want bread, $3" (no catering on short flights).
As said before airlines are printing money but how much is UA printing that is organic vs just meeting demand?
As said before airlines are printing money but how much is UA printing that is organic vs just meeting demand?
Apr 10, 2018, 7:45 am
#7
Join Date: May 2013
Posts: 3,361
United projects capacity of +3.6% and PRASM of +2.7%, sounds good, sort of like those magic weight loss pills, but it tells you nothing about how well United is actually doing... Delta already projected capacity of +3% with TRASM of +5% in its 4/3/18 update.https://s1.q4cdn.com/231238688/files...tor-Update.pdf In context this is a HORRIBLE report.
And its just as bad in margin. UA is projecting an around 2% margin, Delta a 6.5% to 7.5% margin.
Really, really bad under-performance. This is far worse than the recent under-performance.
Look demand is high, capacity has been constrained, and the airlines are (or should be) minting $$$. Yet it appears with a similar capacity raise, United under-performed Delta by 2.3% in PRASM growth, and DAL got a margin that was more than 3x as big.
Look, United is clearly a serious long term laggard at this point, and despite having the best presence in the best business markets in the US, and starting in 2011 with the best network and fleet by far, through stupidity, arrogance, and following the Hunter Keay playbook of product and service cuts, it has become the K-mart of airlines.
While the Hunter Keays of the world have been arguing since 2011 that having a good quality product and good customer service was irrelevent, since people bought on price and schedual, and as such airlines should cut their way to bigger profits, the last seven years ought to have disproved that theory for all but those who are willfully blind.
p.s. DAL's number is TRASM not PRASM, so the actual head to head margin is not determinable, but the direction is clear from the investor updates.
And its just as bad in margin. UA is projecting an around 2% margin, Delta a 6.5% to 7.5% margin.
Really, really bad under-performance. This is far worse than the recent under-performance.
Look demand is high, capacity has been constrained, and the airlines are (or should be) minting $$$. Yet it appears with a similar capacity raise, United under-performed Delta by 2.3% in PRASM growth, and DAL got a margin that was more than 3x as big.
Look, United is clearly a serious long term laggard at this point, and despite having the best presence in the best business markets in the US, and starting in 2011 with the best network and fleet by far, through stupidity, arrogance, and following the Hunter Keay playbook of product and service cuts, it has become the K-mart of airlines.
While the Hunter Keays of the world have been arguing since 2011 that having a good quality product and good customer service was irrelevent, since people bought on price and schedual, and as such airlines should cut their way to bigger profits, the last seven years ought to have disproved that theory for all but those who are willfully blind.
p.s. DAL's number is TRASM not PRASM, so the actual head to head margin is not determinable, but the direction is clear from the investor updates.
Another common and eruditic theme in your post is the (alleged) management consulting services provided by Hunter Keay. I’d like to read the source material you’re referring to. Could you please post a link?
As a final aside, I do not believe it is in the best interest of the community to make claims that suggest regulatory violations have occurred. If you believe Hunter Keay violated FINRA rules, you should report it here: File a Tip | FINRA.org.
Apr 10, 2018, 8:32 am
#8
Join Date: Sep 2007
Location: Washington DC
Programs: Delta DM CO PE OZ GE AMTRAK
Posts: 524
United projects capacity of +3.6% and PRASM of +2.7%, sounds good, sort of like those magic weight loss pills, but it tells you nothing about how well United is actually doing... Delta already projected capacity of +3% with TRASM of +5% in its 4/3/18 update.https://s1.q4cdn.com/231238688/files...tor-Update.pdf In context this is a HORRIBLE report.
And its just as bad in margin. UA is projecting an around 2% margin, Delta a 6.5% to 7.5% margin.
Really, really bad under-performance. This is far worse than the recent under-performance.
Look demand is high, capacity has been constrained, and the airlines are (or should be) minting $$$. Yet it appears with a similar capacity raise, United under-performed Delta by 2.3% in PRASM growth, and DAL got a margin that was more than 3x as big.
Look, United is clearly a serious long term laggard at this point, and despite having the best presence in the best business markets in the US, and starting in 2011 with the best network and fleet by far, through stupidity, arrogance, and following the Hunter Keay playbook of product and service cuts, it has become the K-mart of airlines.
While the Hunter Keays of the world have been arguing since 2011 that having a good quality product and good customer service was irrelevent, since people bought on price and schedual, and as such airlines should cut their way to bigger profits, the last seven years ought to have disproved that theory for all but those who are willfully blind.
p.s. DAL's number is TRASM not PRASM, so the actual head to head margin is not determinable, but the direction is clear from the investor updates.
And its just as bad in margin. UA is projecting an around 2% margin, Delta a 6.5% to 7.5% margin.
Really, really bad under-performance. This is far worse than the recent under-performance.
Look demand is high, capacity has been constrained, and the airlines are (or should be) minting $$$. Yet it appears with a similar capacity raise, United under-performed Delta by 2.3% in PRASM growth, and DAL got a margin that was more than 3x as big.
Look, United is clearly a serious long term laggard at this point, and despite having the best presence in the best business markets in the US, and starting in 2011 with the best network and fleet by far, through stupidity, arrogance, and following the Hunter Keay playbook of product and service cuts, it has become the K-mart of airlines.
While the Hunter Keays of the world have been arguing since 2011 that having a good quality product and good customer service was irrelevent, since people bought on price and schedual, and as such airlines should cut their way to bigger profits, the last seven years ought to have disproved that theory for all but those who are willfully blind.
p.s. DAL's number is TRASM not PRASM, so the actual head to head margin is not determinable, but the direction is clear from the investor updates.
in addition, what is wrong for United to lag behind Delta? what if Delta makes 10% margin forever, and United only makes 5% margin forever? not sure where you work. but is your company industry leading in any sense? does your company always make the best margin in the industry? if not, can i say your company sucks and why dont you just disband yourself?
What is very encouraging this March is the increase in revenue and PRASM especially in international traffic. if things keep up like this, it will be very good for United.
Apr 10, 2018, 8:52 am
#9
Join Date: Jan 2005
Location: New York, NY
Programs: UA, AA, DL, Hertz, Avis, National, Hyatt, Hilton, SPG, Marriott
Posts: 9,450
United typically posts abysmal 1Q results, and this quarter is shaping up to be its best 1Q in terms of margin and PRASM performance since 2013. We are also seeing traffic outpacing capacity growth and no appreciable PRASM hit with numbers coming in on the high end of guidance.
Apr 10, 2018, 8:53 am
#10
Join Date: Dec 2016
Posts: 1,485
it would only be under-performance if they are doing worse than expected. They are doing better than expected, so I don't see how this could be an under performance. Let's see what the numbers look like for Q2. UA typically does worse than other legacies in Q1. Easter is partly in Q1 this year, which helps everyone's numbers.
Apr 10, 2018, 9:47 am
#11
Join Date: Oct 2017
Programs: SPG, Marriott, UA, AA, CX, SQ
Posts: 165
And just like perfect Swiss clock work , the meaningless rants of RASM appear once again
I continue to encourage my Willis Tower contact to steer UA INSIDER away, and these kinds of low quality posts for the sake of “hearing all sides” fully justifies my call.
And nothing is more tragic than all this PRASM chest thumbing is to have UA Prez Scott Kirby publicly declare DL being absolutely the lowest profit margin of the Big 3 in NYC. UA has 15% margin in NYC, DL is 4%. That just shows when DL actually has to compete, they fail miserably.
I continue to encourage my Willis Tower contact to steer UA INSIDER away, and these kinds of low quality posts for the sake of “hearing all sides” fully justifies my call.
And nothing is more tragic than all this PRASM chest thumbing is to have UA Prez Scott Kirby publicly declare DL being absolutely the lowest profit margin of the Big 3 in NYC. UA has 15% margin in NYC, DL is 4%. That just shows when DL actually has to compete, they fail miserably.
Apr 10, 2018, 12:11 pm
#12
Join Date: Feb 2008
Programs: 6 year GS, now 2MM Jeff-ugee, *wood LTPlt, SkyPeso PLT
Posts: 6,526
United typically posts abysmal 1Q results, and this quarter is shaping up to be its best 1Q in terms of margin and PRASM performance since 2013. We are also seeing traffic outpacing capacity growth and no appreciable PRASM hit with numbers coming in on the high end of guidance.
Both UA and DL added substantial capacity (UA 3.6%, DL about 3%) yet Delta outperformed (again). Look, I get that this is in isolation better than the alternative - they hit the high end of the already lower range of guidance - but going into this quarter UAL's comps from 1Q 2017 was a PRASM of 12.00c/mi; Delta's was 13.28c/mi. Yet even from that higher base, Delta outperformed. Explain that?
Bottom line, United continues to try to sell sub-standard product, sub-standard service, and has a damaged brand. Until the experience that United provides for passengers (particularly those who are flying for business) is better than what the competition offers, United will keep under-performing, until the next recession/fuel spike puts them deeply into the red.
Last edited by spin88; Apr 10, 2018 at 12:17 pm
Apr 10, 2018, 12:24 pm
#13
Join Date: Jan 2005
Location: New York, NY
Programs: UA, AA, DL, Hertz, Avis, National, Hyatt, Hilton, SPG, Marriott
Posts: 9,450
Excuses, Excuses. in 1Q 2011 - before "changes you will like" - Delta lost $(318M); UAL only lost $(136M). Did Florida suddenly appear in 2012 fixing all woes? Both are major diversified carriers, both have moved their networks (more with DL, less with UA) to try to increase their share of higher margin flying, and each had basically the same networks last year, yet UA got 2.3% less in PRASM growth, and as I noted UA's margin was only 1/3 that of Delta.
Both UA and DL added substantial capacity (UA 3.6%, DL about 3%) yet Delta outperformed (again). Look, I get that this is in isolation better than the alternative - they hit the high end of the already lower range of guidance - but going into this quarter UAL's comps from 1Q 2017 was a PRASM of 12.00c/mi; Delta's was 13.28c/mi. Yet even from that higher base, Delta outperformed. Explain that?
Bottom line, United continues to try to sell sub-standard product, sub-standard service, and has a damaged brand. Until the experience that United provides for passengers (particularly those who are flying for business) is better than what the competition offers, United will keep under-performing, until the next recession/fuel spike puts them deeply into the red.
Both UA and DL added substantial capacity (UA 3.6%, DL about 3%) yet Delta outperformed (again). Look, I get that this is in isolation better than the alternative - they hit the high end of the already lower range of guidance - but going into this quarter UAL's comps from 1Q 2017 was a PRASM of 12.00c/mi; Delta's was 13.28c/mi. Yet even from that higher base, Delta outperformed. Explain that?
Bottom line, United continues to try to sell sub-standard product, sub-standard service, and has a damaged brand. Until the experience that United provides for passengers (particularly those who are flying for business) is better than what the competition offers, United will keep under-performing, until the next recession/fuel spike puts them deeply into the red.
Last edited by WineCountryUA; Apr 10, 2018 at 12:52 pm Reason: discuss the issues; not the poster(s)
Apr 10, 2018, 12:41 pm
#14
Join Date: Aug 2007
Location: Tx
Programs: AA, UA, WN
Posts: 812
I actually enjoy reading the analysis from both sides...why even have this thread if all we want to read "UA is the best...the end"
The comps being made are exactly the line of thinking the non "rah rah" crowd is doing at the investor level.
And to take Kirby's analysis of DLs profit margin in one market with no proof is just as laughable as believing his attempt to incentivize employees with a lottery was going to work.
The comps being made are exactly the line of thinking the non "rah rah" crowd is doing at the investor level.
And to take Kirby's analysis of DLs profit margin in one market with no proof is just as laughable as believing his attempt to incentivize employees with a lottery was going to work.
Last edited by WineCountryUA; Apr 10, 2018 at 12:54 pm Reason: removed quote of deleted material; discuss the issues; not the poster(s)
Apr 10, 2018, 12:55 pm
#15
Join Date: Oct 2017
Programs: SPG, Marriott, UA, AA, CX, SQ
Posts: 165
I actually enjoy reading the analysis from both sides...why even have this thread if all we want to read "UA is the best...the end"
The comps being made are exactly the line of thinking the non "rah rah" crowd is doing at the investor level. I guess this forum should chastise those on the call that try to make similar comparisons
On another note since when did UA Insider come back? And to take Kirby's analysis of DLs profit margin in one market with no proof is just as laughable as believing his attempt to incentivize employees with a lottery was going to work.
The comps being made are exactly the line of thinking the non "rah rah" crowd is doing at the investor level. I guess this forum should chastise those on the call that try to make similar comparisons
On another note since when did UA Insider come back? And to take Kirby's analysis of DLs profit margin in one market with no proof is just as laughable as believing his attempt to incentivize employees with a lottery was going to work.
and let’s see ... he’s #2 at one of the world’s largest airlines ... [Moderator edit]
Last edited by Ocn Vw 1K; Apr 10, 2018 at 1:34 pm Reason: Per FT Rule 12 - discuss the topic and not other members in a personal way.