United Airlines released its FY 2025 initial data with insights on what happened over the last quarter and more broadly over the year. TLDR is revenue is up, but so are costs which are increasing at a faster rate. Despite that, United achieved an increase in operating margin up from 8.0% in 2024 to 8.9% in 2025. How's that possible? The answer's in the data.
The Topics of This Post
United Airlines' Revenue Grew But Costs Outpaced It
Despite a very complex and difficult Q4 United Airlines was able to achieve a record high revenue of 59.07 billion USD in 2025. Q4 on its own contributed 15.4 billion USD to that final figure (approximately a quarter of overall revenue).
Revenue grew in the final quarter by 4.8% over the same period of 2024. Revenue growth was slower for the full year, clocking in at 3.5%.
United also saw operating expenses rise, actually at a higher rate than revenue, throughout Q4 and the entirety of 2025. Despite that the airline achieved a increase in overall 2025 FY operating margin thanks to lower income taxes.
Pre-tax income levels were similar, slightly lower than 2024, however, lower interest in its debt and tax applied translated to a higher fiscal year margin.
4Q 2025 Key Performance Indicators
| Metric | 4Q2024 | 4Q2025 | Var. % |
|---|---|---|---|
| Revenue | 14.6b$ | 15.4b$ | +4.8% |
| Cost | 13.2b$ | 14,0b$ | +6.2% |
| Operating Income | 1.50b$ | 1,38b$ | -7.8% |
| Operating Margin | 10.2% | 9.0% | -1.2pts |
2025 FY Key Performance Indicators
| Metric | 2024FY | 2025FY | Var. % |
|---|---|---|---|
| Revenue | 57.0b$ | 59.0b$ | 3.5% |
| Cost | 51.9b$ | 54,4b$ | +4.6% |
| Operating Income | 5.1b$ | 4,7b$ | -7.5% |
| Non-operating expenses | 196.0m$ | 61.0m$ | -68.0% |
| Income tax | 322m$ | 281m$ | -12.7% |
| Operating Margin | 8.0% | 8.9% | -1.2pts |
Why Q4 Hurt the 2025 Bottom Line
Q4 was by no means a positive quarter for United Airlines. The carrier saw its operating margin shrink over Q4 2024 by 1.2 points.
That was the inevitable result of the government shutdown that occurred in November 2025.
Figures for Q4 could have been much better considering this is a time of the year when Thanksgiving has many US travelers fly to visit family.
United estimates that the government shutdown cost them 250 million dollars. Translated into operating margin that would have pushed the quarters needle up to a 10.6% margin. A level higher than 2024's Q4 (10.2%) thanks, once again, to lower taxes applied in 2025.
| Metric | Official Result | “No Shutdown” Scenario |
|---|---|---|
| Operating Profit | 1.39b$ | 1.64b$ |
| Operating Margin | 9.0% | 10.6% |
| ∆ | – | 1.6% |
Put into context 250 million is roughly the cost of 2 brand new Boeing 787s, a significant amount of cash that does move the needle.
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Passenger Volumes Grew With Revenue in 2025
The increase in revenue was partially a result of a passenger volume increase. United Airlines' passengers grew by 3% in Q4 of 2025 over the same period in 2024 while the year's increase was stronger at 4.3%.
United achieved this by increasing capacity (ASM – Available Seats per Mile) in 2025 by 6.1%, and also increasing the RPM (Revenue Passengers per Mile) by 5.1%.
What those two numbers generate are a load factor (how full the planes were) of 83.1% in Q4 2025, up from 82.2% in 2024.
4Q Passenger Metrics
| Metric | 4Q2024 | 4Q2025 | Var.% |
|---|---|---|---|
| Passengers | 44,344 | 45,679 | +3.0% |
| Traffic (RPM) | 64,463 | 68,246 | +5.9% |
| Capacity (ASM) | 78,298 | 83,365 | +6.5% |
| Load Factor | 82.3% | 81.9% | -0.4pts |
- Passengers reported in thousands
- RPM and ASM reported in millions
FY Passenger Metrics
| Metric | 2024FY | 2025FY | Var.% |
|---|---|---|---|
| Passengers | 173,603 | 181,053 | +3.0% |
| Traffic (RPM) | 258,504 | 271,619 | +5.9% |
| Capacity (ASM) | 311,185 | 330,284 | +6.5% |
| Load Factor | 82.2% | 83.1% | -0.4pts |
- Passengers reported in thousands
- RPM and ASM reported in millions
How did United Deploy Its Capacity Worldwide
What I find fascinating to look at is who United Airlines deployed its capacity across its worldwide network.
Thanks to the data shared in their press release I was able to create percentages of how capacity was spread in 2025's Q4.
The chart gives us an idea of which geographical regions are seen as most valuable and strategic to the carrier.
What To Look Out For in 2026
Going by what's in United Airlines' press release 2026 is expected to bring more growth. The airline is expecting to take delivery of a huge number of planes which will both renovate and expand the current fleet setup.
More specifically, United Airlines expect to take delivery of a record high 120 planes split in:
- 100 narrow bodies
- 20 wide bodies
Just a few months until we receive the first indications if truly 2026 will live up to expectations. Also will the FIFA World Cup bring in more passengers as US airlines and the wider US tourism industry hopes it will.
Other United Airlines Posts and Insights
- Why the Battle for Chicago O’Hare Will Define the U.S. Airline Hierarchy
- United Airlines Presents Its New Boeing 787 Polaris Studio
- United Airlines and Its New Flights From Hong Kong
- Fleet Structure Analysis Post
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