United Airlines reported Q2 operating revenues of $5.5bn, up ~70% QoQ, though it was down 52% vs. 2Q2019. On the costs side, operating expenses were down 42%. Overall, the airline reported its sixth consecutive net loss at $434mn, after a $1.4bn loss in Q1 and a $1.6bn 2Q2020 loss. Capacity fell 46% in Q2 and United expects it to be down 26% in Q3 vs. 2019 levels, but up 39% QoQ. United’s Total Revenue per Available Seat Mile (TRASM) was down 11.3% vs. the same period in 2019, but expects it to grow positively in the upcoming quarter. It also expects its cost per seat mile to be up 17% in Q3 vs 2019 due to smaller planes and flying shorter routes. The airline had $23bn in liquidity and long-term debt stood at $32bn.

United’s bonds were slightly higher – its 4.15% 2024s were up 1 point to 106.1, yielding 1.8%.

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