United Airlines Holdings, Inc. (UAL Quick QuoteUAL - Free Report) reported solid first-quarter 2026 results wherein the company’s earnings and revenues beat the Zacks Consensus Estimate and improved on a year-over-year basis.

UAL's first-quarter 2026 adjusted earnings per share (EPS) (excluding 95 cents from non-recurring items) of $1.19 surpassed the Zacks Consensus Estimate of $1.08 and increased 30.8% on a year-over-year basis. The reported figure lies within the guided range of $1.00-$1.50.

Operating revenues of $14.6 billion outpaced the Zacks Consensus Estimate of $14.3 billion and increased 10.5% year over year. Passenger revenues (which accounted for 90.1% of the top line) increased 11% year over year to $13.1 billion. UAL flights transported 42,486 passengers in the first quarter, up 4.1% year over year.

Cargo revenues fell 1.6% year over year to $422 million. Revenues from other sources rose 10.5% year over year to $1.02 billion.

Despite challenges such as the $340 million increase in fuel expense from the year-ago reported quarter, UAL’s diverse revenue sources contributed to its first-quarter results. These include premium revenues, which increased 14% year over year, loyalty revenues, which rose 13% year over year and revenue from Basic Economy, which increased 7% year over year. Business revenue also remained strong, up 14% year over year for the first quarter. The first quarter was United Airlines' highest-revenue first quarter ever, with positive PRASM growth in every region.

United Airlines Holdings Inc Price, Consensus and EPS Surprise

United Airlines Holdings Inc price-consensus-eps-surprise-chart | United Airlines Holdings Inc Quote

UAL’s chief executive officer, Scott Kirby, stated, "Our strong financial position and success in winning brand-loyal customers enabled United to quickly make tactical adjustments to higher fuel prices while maintaining our long-term focus."

Other Details of UAL’s Q1 Earnings Report

Below, we present all comparisons (in % terms) with the first quarter of 2025 figures unless otherwise stated.

Airline traffic, measured in revenue passenger miles, grew 6.5%. Capacity, measured in available seat miles, expanded 3.4%. Since traffic outpaced capacity expansion, the consolidated load factor (percentage of seats filled by passengers) rose 2.4 points on a year-over-year basis to 81.6%. 

Consolidated passenger revenue per available seat mile (a key measure of unit revenues) inched up 7.4% year over year. Total revenue per available seat mile increased 6.9% year over year. The average yield per revenue passenger mile rose 4.2% year over year to 20.77 cents. The average aircraft fuel price per gallon grew 9.9% year over year to $2.78. Fuel gallons consumed were up 2.4% year over year.

Operating expenses (on a reported basis) increased 8% year over year to $13.6 billion. Consolidated unit cost or cost per available seat mile, excluding fuel, third-party business expenses, profit-sharing and special charges, inched up 5.9% year over year to 13.95 cents.

UAL exited the first quarter of 2026 with cash and cash equivalents of $7.86 billion compared with $5.94 billion at the prior-quarter end. Long-term debt, finance leases and other financial liabilities were $21.9 billion compared with $20.5 billion at the end of the prior quarter.

UAL repurchased almost $27 million of shares in the first quarter of 2026.

UAL’s Outlook

For second-quarter 2026, UAL anticipates adjusted EPS between $1.00 and $2.00. The Zacks Consensus Estimate of $1.91 lies within the guidance.

For 2026, UAL now anticipates adjusted EPS between $7.00 and $11.00 compared with the prior guided view of $12.00-$14.00. The Zacks Consensus Estimate of $7.95 lies within the updated guidance.

Adjusted total capital expenditures for 2026 are still anticipated to be less than $8 billion.

United Airlines expects to recover 40-50% of the fuel price increase in the second quarter, 70-80% of the fuel price increase in the third quarter and 85-100% of the fuel price increase in the fourth quarter of 2026 through its revenues.

The average aircraft fuel price is expected to be around $4.30 per gallon in the second quarter of 2026. Based on the current fuel environment, UAL is expecting year-over-year capacity to be flat to up almost 2% in both the third and fourth quarters of 2026.

UAL’s adjusted diluted earnings per share guidance for the second quarter and full-year 2026 assumes the Gulf Coast jet forward curve as of April 17, 2026. Fuel remains highly volatile. If prices remain on a downward trend, UAL anticipates being in the upper half of the adjusted diluted earnings per share guidance range for each of the second quarter and full year 2026, and if fuel re-escalates, UAL anticipates being in the lower half of the adjusted diluted earnings per share for both the second quarter and full year.

UAL’s Zacks Rank

Currently, UAL carries a Zacks Rank #4 (Sell).

You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Q1 Performances of Other Transportation Companies

Delta Air Lines (DAL Quick QuoteDAL - Free Report) reported first-quarter 2026 earnings (excluding $1.08 from non-recurring items) of 64 cents per share, which beat the Zacks Consensus Estimate of 61 cents. Earnings increased 39.1% on a year-over-year basis due to high labor costs. Adjusted revenues in the March-end quarter were $14.2 billion, beating the Zacks Consensus Estimate of $14 billion and increasing on a year-over-year basis. 

J.B. Hunt Transport Services (JBHT Quick QuoteJBHT - Free Report) posted first-quarter 2026 earnings per share of $1.49, up 27% from $1.17 a year ago. The result topped the Zacks Consensus Estimate by $0.04, a 2.8% surprise.

Operating revenues totaled $3.06 billion, rising 4.6% year over year. Revenues beat the consensus mark of $2.94 billion, resulting in a 3.9% surprise, as demand proved resilient across several service offerings, led by Intermodal volume growth and higher revenue per load in select highway-related businesses.