United Airlines Q3 Earnings Surpass Expectations

United Airlines announced a $1.5 billion share buyback program after reporting third-quarter earnings that surpassed Wall Street estimates, with an adjusted EPS of $3.33, exceeding the consensus of $3.07. The buyback, United's first since suspending the program during the COVID-19 pandemic, underscores the airline's confidence in its business recovery amid strong demand and improved pricing power. While the market responded positively, with shares rising, the decision drew criticism from union leaders who argue it prioritizes investors over employees and passengers. United's CEO, Scott Kirby, highlighted the elimination of unproductive capacity as a factor in exceeding earnings expectations, projecting a strong fourth quarter with anticipated EPS of $2.50 to $3.00. This move occurs in a context where U.S. airlines have reduced capacity to stabilize fares, following a period of excess supply.