United Airlines Holdings Inc (UAL)
Pretax margin
| Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings before tax but after interest (EBT) (ttm) | US$ in thousands | 4,168,000 | 3,632,000 | 3,832,000 | 3,480,000 | 3,388,000 | 3,747,000 | 3,414,000 | 2,486,000 | 990,000 | -985,000 | -1,535,000 | -2,558,000 | -2,557,000 | -4,085,000 | -7,020,000 | -8,459,000 | -8,822,000 | -5,605,000 | -1,924,000 | 1,433,000 |
| Revenue (ttm) | US$ in thousands | 57,063,000 | 55,994,000 | 55,635,000 | 54,827,000 | 53,717,000 | 52,491,000 | 50,884,000 | 48,818,000 | 44,955,000 | 40,747,000 | 35,620,000 | 28,979,000 | 24,634,000 | 19,854,000 | 14,593,000 | 10,597,000 | 15,355,000 | 22,831,000 | 31,722,000 | 41,649,000 |
| Pretax margin | 7.30% | 6.49% | 6.89% | 6.35% | 6.31% | 7.14% | 6.71% | 5.09% | 2.20% | -2.42% | -4.31% | -8.83% | -10.38% | -20.58% | -48.11% | -79.82% | -57.45% | -24.55% | -6.07% | 3.44% |
December 31, 2024 calculation
Pretax margin = EBT (ttm) ÷ Revenue (ttm)
= $4,168,000K ÷ $57,063,000K
= 7.30%
The pretax margin of United Airlines Holdings Inc has shown a fluctuating trend over the past few years. Starting from a positive 3.44% in March 2020, the margin turned negative in June 2020, indicating that the company's expenses exceeded its earnings before taxes. The negative trend continued through the end of 2021, with significant declines in margins, reaching a low of -79.82% in March 2021.
From the second quarter of 2022 onwards, there was a gradual improvement in the pretax margin, with the company moving from double-digit negative margins to positive territory by December 2022. The positive trend continued into 2024, with the pretax margin ranging between 6.31% and 7.30%. This turnaround in profitability reflects management's efforts to control costs, enhance operational efficiency, and potentially achieve higher revenues.
Overall, the pretax margin of United Airlines Holdings Inc has shown resilience in the face of challenges, with the company successfully reversing its negative trend and achieving a positive margin by the end of 2022, signaling a potential recovery in profitability.
Peer comparison
Dec 31, 2024