United Airlines Cuts Profit Outlook for 2026 Amid Rising Fuel Costs
United Airlines has revised its profit forecast downward for 2026 due to increasing fuel costs, which are expected to average $4.80 per gallon in the fourth quarter compared to $3.90 in the third. The carrier now anticipates adjusted earnings between 50 cents and $1.50 a share for Q4, significantly below Wall Street's estimate of $1.76. This adjustment implies full-year 2026 earnings could reach no more than $7.22 per share, down from earlier projections of $9 to $11. Despite the lower profit outlook and higher airfares driven by rising costs, United reported strong demand with passenger counts up over 2% year-over-year. Domestic and international unit revenue also increased significantly in Q3, reflecting fare hikes that helped offset some cost pressures. The airline's third-quarter net income rose to $1.03 billion from $949 million a year earlier. The broader industry is grappling with surging fuel prices, which have added billions in costs and pressured profits across the sector.