United Airlines profit jumps 23%, but third-quarter forecast disappoints amid industry overcapacity

United Airlines’ Q2 profit rose more than 20% from last year as strong demand for international travel boosted the carrier’s results, but its third-quarter forecast came in shy of estimates as an oversupply of flights weighs on fares. United said Wednesday that it expects to earn between $2.75 and $3.25 a share on an adjusted basis in the current quarter, lower than the $3.44 a share analysts polled by LSEG estimated. United earned $1.32b, or $3.96 per share, in the three months ended June 30, up from $1.08b, or $3.24 per share, a year earlier. Adjusting for one-time items, it reported earnings of $4.14 a share, compared with $3.93 that analysts expected. Revenue of $14.99b jumped 5.7% from the year-earlier period, though it was just shy of estimates. United reiterated its full-year forecast for adjusted earnings of $9 to $11 a share. United and Delta Air Lines, which also disappointed with its third-quarter guidance, have still been standouts in the U.S. airline industry. Most carriers have been struggling with an increase in domestic capacity that has weighed on airfares, despite record demand.<br/>