United Airlines Beats Q2 Estimates Despite Rising Fuel Costs

United Airlines Holdings reported second-quarter adjusted earnings of $1.99 per share on revenue of $17.7 billion, beating analyst estimates. Despite the strong quarterly performance, the company issued a warning that escalating hostilities between the United States and Iran have sparked a surge in oil prices, adding an estimated $6 billion in fuel expenses for 2026 over initial projections.

The fuel price spike since early July has already added $575 million to expected third-quarter costs. To counter these pressures, the carrier raised the low end of its full-year adjusted earnings forecast to $9–$11 per share, increasing it from a previous range of $7–$11.

United expects to recover 80% to 90% of the fuel cost increase during the third quarter and aims to fully offset the costs by the fourth quarter through a combination of capacity cuts and higher fares. As a hedge against further geopolitical uncertainty and oil price volatility, the company raised $3.7 billion in new liquidity through private bank transactions.