Shares of United Continental Holdings (UAL - Get Report) gained nearly 4% in early trading on Wednesday after the parent company of United Airlines reported first-quarter earnings that surpassed analysts' forecasts and reiterated its full-year guidance.
Shares of United Continental jumped 3.96% to $88.54 at the open of trading on the Nasdaq Stock Market on Wednesday after reporting that its first-quarter profit on an adjusted basis more than doubled to $292 million, or $1.09 a share, from $145 million, or 51 cents a share, in the same quarter last year.
On an unadjusted basis, the company said it earned $1.15 a share vs. 95 cents a share expected by analysts polled by FactSet. Revenue came in at $9.59 billion, up from $9.03 billion in the year-earlier period though slightly below the $9.61 billion expected by analysts.
The stronger results come as United and other carriers continue to struggle with the prolonged grounding of Boeing's (BA - Get Report) 737 MAX jets, which has had a significant impact on the airline industry both in the U.S. and globally. United has 14 of Boeing's 737 MAX 9 jets in its fleet, not the MAX 8 that was involved in two fatal crashes since October. United said earlier this week it was canceling MAX flights through early July.
Revenue United earns for each passenger it flies per mile, a key industry metric, rose 1.1% over the same period last year, though less than the 1.5% projected by analysts.
The carrier reiterated its full-year earnings guidance of between $10 and $12 a share for 2019, above current FactSet consensus estimates of $11.09 a share, and said it expects to earn between $11 and $13 a share on an adjusted basis in 2020, also above FactSet consensus estimates of $12.09 a share.