United Airlines is soaring high in 2025, reporting its best first-quarter financial results in five years. Despite ongoing challenges in the global economy, the airline managed to pull off a record-breaking $13.2 billion in revenue for Q1.
The company’s performance marks a clear upward trend, powered by growth across several areas. From premium cabin bookings to strong demand for international travel, the airline saw positive gains in nearly every part of its business. Revenue per available seat mile—a key airline metric—grew by 0.5% year-over-year, while capacity increased by 4.9%.
United posted pre-tax earnings of $478 million, with a margin of 3.6%. When adjusted, the pre-tax earnings were $391 million, resulting in a 3.0% margin. Diluted earnings per share reached $1.16, with adjusted EPS at $0.91—both falling within the company’s expected guidance.
Even more encouraging, United’s premium cabin revenue climbed by 9.2%, business travel was up 7.4%, and Basic Economy saw a 7.6% increase. International routes performed especially well, with the Pacific region seeing an 8.5% revenue rise and the Atlantic market not far behind at 4.7%.
Other areas like cargo and customer loyalty programs also showed strength. Cargo revenue grew by 9.7% and loyalty revenue by 9.4% compared to the same quarter last year. Forward bookings over the past two weeks suggest the upward momentum may continue, with a 17% rise in premium cabin reservations and 5% more international bookings than the year before.
As part of a broader strategic shift, United plans to trim 4 percentage points of its domestic capacity starting in the third quarter of 2025. This move is aimed at better aligning with current travel demand and improving efficiency. The airline is also reducing flight frequency on slower travel days and retiring 21 aircraft earlier than planned.
These adjustments are part of the airline’s multiyear “United Next” plan, which was launched following the COVID-19 pandemic. The initiative is designed to expand United’s lead in the industry through product innovation, service upgrades, and advanced technology.
The airline is also increasing its presence in Chicago, where six new gates are expected to be awarded at O’Hare International Airport this fall. This reflects United’s strong growth in the city and continued investment in one of its key hubs.
United Airlines appears well-positioned to navigate whatever lies ahead. With a loyal customer base, smart strategy, and steady financials, the airline is demonstrating it can not only survive economic headwinds but also thrive in them.
