United Airlines Faces Profit Risks Amid Recession Concerns

United Airlines reported a first-quarter profit of $387 million, exceeding analysts' expectations with adjusted earnings of $0.91 per share, despite challenges from declining air travel demand and government-related travel cuts. The company anticipates second-quarter earnings per share between $3.25 and $4.25, although this is below analysts’ average estimate of $3.93. United maintained its full-year profit forecast of $11.50 to $13.50 per share but warned that a recession could reduce this range to $7 to $9. Revenue increased by 5.4% to $13.21 billion, slightly missing analyst projections. United plans to cut domestic capacity by about 4% in the third quarter while capitalizing on robust international travel demand. The airline's stock price has fluctuated significantly, declining by 37.56% over the past three months but rising by 61.57% over the last year.