United Airlines has lowered its profit forecast for 2026 due to rising fuel costs, projecting adjusted earnings per share between 50 cents and $1.50 in the fourth quarter. This range is considerably below analysts’ expectations of $1.76 per share and implies that full-year adjusted earnings could reach no more than $7.22 per share. Earlier in July, the airline had forecasted earnings between $9 and $11 per share. The company is dealing with higher fuel expenses, expecting to pay an average of $4.80 per gallon in the fourth quarter, a significant increase from $3.90 per gallon in the prior quarter.

Despite the cost pressures, United CEO Scott Kirby emphasized efforts to pass much of the fuel price increases to customers, noting about 72% of the oil price surge has been reflected in ticket prices so far, with hopes to approach full recovery of these costs. This strategy has contributed to passenger numbers rising by over 2% compared to last year, even amid fare hikes. Strong demand continues to support revenue growth, with third-quarter sales reaching $17.88 billion, up 17.4% year-over-year, fueled by higher domestic and international unit revenues.

United’s net income for the third quarter was $1.03 billion, marking an 8.5% increase from the same period in 2025, translating to $3.14 per share. Adjusted earnings per share came in at $2.54, slightly below Wall Street’s predicted $2.57. The airline’s fuel expenses soared 62% year-over-year to $4.84 billion in the quarter, which has put pressure on profit margins despite the favorable demand trends and elevated ticket prices.

The carrier’s financial report highlights the tension between managing surging operating costs and maintaining customer loyalty through pricing strategies. Kirby pointed to the adaptability of United’s workforce amid challenging market conditions and underscored the focus on brand loyalty in sustaining their business. As fuel prices remain volatile, United’s approach will likely continue balancing cost recovery with encouraging passenger bookings in a competitive airline market.