United posts US$965m Q3 net profit
United Airlines parent United Continental Holdings reported a Q3 net profit of US$965m, down 80% from a net income of $4.8b in the 2015 September quarter. According to United’s Q3 performance report, in 2015, “after considering all positive and negative evidence, the company concluded that its deferred income taxes would more likely than not be realised. The company released substantially all of its valuation allowance in Q3 of 2015, which resulted in a $3.2b benefit in its provision for income taxes.” As a result, United’s total net income in Q3 2015 was $1.6b (before taxes) plus the $3.2b income tax benefit. By contrast, in Q3 of 2016, United’s income before taxes was $1.5b, with an income tax expense of $545m. United said the company’s effective tax rate for the 3 and 9 months ended Sept 30 was 36%. <br/>
https://portal.staralliance.com/cms/news/hot-topics/2016-10-18/star/united-posts-us-965m-q3-net-profit
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United posts US$965m Q3 net profit
United Airlines parent United Continental Holdings reported a Q3 net profit of US$965m, down 80% from a net income of $4.8b in the 2015 September quarter. According to United’s Q3 performance report, in 2015, “after considering all positive and negative evidence, the company concluded that its deferred income taxes would more likely than not be realised. The company released substantially all of its valuation allowance in Q3 of 2015, which resulted in a $3.2b benefit in its provision for income taxes.” As a result, United’s total net income in Q3 2015 was $1.6b (before taxes) plus the $3.2b income tax benefit. By contrast, in Q3 of 2016, United’s income before taxes was $1.5b, with an income tax expense of $545m. United said the company’s effective tax rate for the 3 and 9 months ended Sept 30 was 36%. <br/>
