United Continental operating profit down 14%, to continue capacity cuts

United Continental Holdings revenue up 9% - financial highlights for three months ended 30-Sep-2011:

• Total operating revenue: USD10,171 million, +8.7% year-on-year;
• Total operating costs: USD9236 million, +11.6%;
  • Fuel*: USD3371 million, +32.7%;
  • Labour: USD2020 million, -0.4%;
• Operating profit: USD935 million, -13.5%;
• Net profit: USD653 million, -23.4%;
• Passenger numbers: 38.0 million, -2.2%;
• Passenger load factor: 85.3%, -0.6 ppt;
• Passenger yield: USD 13.57 cents, +10.1%;
• Total revenue per ASM: USD 15.26 cents, +9.5%;
• Cost per ASM: USD 13.86 cents, +12.5%;
• Cost per ASM excl fuel and special items: USD 8.62 cents, +1.5%;
• Total assets: USD39,054 million, -1.4% when compared to period ended 31-Dec-2010;
• Cash and cash equivalents: USD6984 million, -13.4% when compared to period ended 31-Dec-2010;
• Total liabilities: USD36,742 million, -3.0% when compared to period ended 31-Dec-2010;
• 4Q2011 forecast:
  • Capacity (ASMs): -2.6% to -3.6%;
    • Domestic: -4.6% to -5.6%;
    • International: Flat. [more - original PR] [more - CAPA Analysis]

*Includes fuel expense for both mainline and regional operations

United Continental: "Due to significant increases in fuel prices, the company plans to reduce consolidated capacity from previous 2011 projections by reducing flight frequencies, indefinitely postponing the start of flights to certain markets and exiting less profitable routes. The company is also analysing the removal of certain less fuel-efficient aircraft from its fleet and will be taking other cost-saving measures." Company statement. Source: United Continental, 27-Oct-2011.