United Airlines CEO Sees Strong Demand and Gradually Rising Fares in 2027

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โดย Insider Monkey·US·Read original
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United Airlines CEO Scott Kirby expects airfares to keep rising gradually in 2027 as travel demand remains strong, with U.S. airline fares up 25.5% from a year earlier in July and average fares from April through July nearly 25% higher than the same period last year. Kirby noted that inflation-adjusted fares are still about 13% below pre-pandemic levels, suggesting airlines have room to raise prices without deterring travelers. United plans to expand internationally in 2027, expecting enough Airbus A321XLR aircraft to support five new European routes, allowing it to serve smaller markets without larger planes. The airline's pricing power, premium and international traffic, and expansion could boost revenue, but risks include fuel price increases, economic weakness, and capacity growth outpacing demand. Aircraft-delivery delays could also disrupt the planned expansion.

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United's planned expansion with Airbus A321XLR aircraft implies demand for Airbus planes.

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