United Continental Holdings Inc.
) showed a modest year-over-year improvement in consolidated
traffic for Jan 2013. Perked up activities in the Pacific and
Latin regions aided the growth which was partially offset by
weakness in the Atlantic territory.
On a year-over-year basis, airline traffic - measured in revenue
passenger miles or RPMs, which implies revenue generated per mile
per passenger - moved up 0.9% to 15.47 billion. Consolidated
capacity (or available seat miles/ASMs) for the month was 19.37
billion, down 1.9% from the first month of 2012.
The load factor (percentage of seats filled by passengers)
improved to 79.9% from 77.7% in Jan 2012. Passenger revenue per
available seat mile (PRASM) is estimated to have increased 3-4%
year over year.
Headquartered in Chicago, United Continental Holdings operates
nearly 5,472 flights every day across 381 airports in 6
continents. The company recently announced plans to start
twice-daily nonstop flights between Denver to Dickinson, N.D.
from Jun 6, 2013.
United Continental is concentrating on optimizing its network and
flight routes for further efficiency in fleet operations. In the
coming months, the company will take delivery of more than two
dozen new aircraft by
The Boeing Company
) to revamp its fleet structure.
With satellite-based Wi-Fi services launched for passengers on
any long-haul international route, the company is confident of
attracting more flyers, going forward. The services will be
initially available on the company's Boeing 747 aircraft and two
Airbus 319 aircraft.
United Continental's various strategic actions including the
baggage delivery option, installation of Economy Plus seats and
MileagePlus program are expected to give it a competitive edge
over other industry players such as
Southwest Airlines Co.
United Continental currently retains a Zacks Rank #3 that implies
a Hold rating.
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