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United overcomes tropical storms to raise summer profits

Tropical storms across United Airlines’ network during the summer failed to push the carrier’s financial performance off course

Pre-tax profits came in at $1.1 billion for the three months to September 30, up from $993 million in the same period last year.

Tropical storms across the system are estimated to have reduced diluted earnings per share by approximately $0.07, the airline said.

Overall passenger carryings rose by 9.1% to 42.8 million in the period.

The carrier expects to recoup about 90% of an estimated $2.5 billion hike in fuel costs this year.

United introduced a new boarding process at 1,000 airport gates around the world.

The process is “designed to reduce customers’ stress by spending less time waiting in line and providing them with improved boarding information”.

The airline’s three-year growth plan – where it will offer more flights between its hubs in Chicago, Denver and Houston and smaller cities – “has been essential to our success.”

CEO Oscar Munoz said: “Our stand-out third-quarter performance, which produced double-digit revenue growth as we more than offset the steep increase in fuel costs, is proof that United is building momentum.

“Our growth plan has been essential to our success, and we’re more confident than ever we’ll achieve the ambitious adjusted earnings per share target of $11 to $13 we laid out for 2020.”

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