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New heights: United Airlines' revenue has soared to a record level

New heights: United Airlines' revenue has soared to a record level

High flying

United Airlines had a strong Q2, all things considered, with revenues soaring to record highs and profits up more than 3x year-over-year, as the carrier continues to capitalize on the reinvigorated post-pandemic appetite for international travel.

The impressive earnings, which beat analysts’ estimates, cap off a particularly busy time for the airline. A turbulent end to June saw United cancel hundreds of flights and delay thousands more, all while the airline was navigating a pay dispute with its union — which eventually resulted in a $10 billion deal that could see its pilots' wages rise up to 40%.

On course

With demand for travel now almost fully recovered, as we charted around Memorial Day weekend, United is keen to make the most of the renewed American wanderlust. Indeed, last year the airline carried over 144 million flyers, reportedly making it the second-biggest US carrier in terms of passenger volume. United is now on course to beat that figure in 2023, having already flown some 78.7 million passengers, up 17.1% on this time last year.

The financials are clearly on the same flight path too. On Wednesday, the airline reported that its revenue had risen to $14.2 billion — that's above even 2019 levels when earnings for the same period sat at $11.4 billion. Profit for the quarter also showed strong growth, up ~226% to $1.1 billion from $0.3 billion in 2022. Competitor American Airlines also reported record revenue of $14.1 billion yesterday, another clear sign that much of the industry could be flying high again.

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Starbucks issues apology after viral “Bearista” cup meltdown

Holiday cheer turned into chaos this week for Starbucks after the coffee giant’s new “Bearista” holiday cup sent fans into a frenzy. 

Dropped alongside its 2025 holiday menu, the $30 beanie-wearing glass bear tumbler sparked long lines, sellouts, and even in-store scuffles before Starbucks stepped in with an apology.

“The excitement for our merchandise exceeded even our biggest expectations,” the company said in a statement to People. “Despite shipping more Bearista cups to our coffeehouses than almost any other item this holiday season, the Bearista cup and some other items sold out fast.”

Within hours of launch, frustrated fans flooded Starbucks’ social media pages and even store hotlines. Some customers waited in line before dawn and others said their stores received only a handful of cups. In one Houston location, the craze even turned physical, with police reportedly called to break up a brawl. Meanwhile, the cup is already reselling on sites like eBay, with listings topping $600.

“We understand many customers were excited about the Bearista cup and apologize for the disappointment this may have caused,” Starbucks said. While in-store customers may be upset, investors seem happy about the viral hit, as the stock has risen over 3% on Friday.

If you’re still hoping for a Bearista at market price, that may not be on order: the chain didn’t disclose how many cups were made or whether a restock is planned.

business

Target tells workers to smile, wave, and greet shoppers if they come within 10 feet of them

Target just rolled out a new rule for store employees: smile, make eye contact, and greet or wave when a shopper comes within 10 feet — and if they get closer, within four feet, ask whether they need help or how their day is going, according to a new Bloomberg report.

Dubbed the 10-4 program internally, the rule mirrors rival Walmarts own 10-foot policy, formalizing behavior Target had previously only encouraged.

business

Monster surges on energy drink buzz, while Celsius sinks on distribution concerns

Shares of Monster Beverage climbed 5% after the bell on Thursday, and held most of those gains into early trading on Friday, following strong Q3 results.

The energy drink giant topped market expectations, with quarterly sales up 17% year over year to $2.2 billion and adjusted net profits growing 41% to $524.5 million — 11% ahead of Wall Street’s estimates. In the report, Monster highlighted its zero-sugar line and new product launches, with a stack of novel flavors already released this year, as bright spots.

During a call with analysts, Chief Executive Hilton Schlosberg said that the global energy drink category “remains healthy with robust growth,” The Wall Street Journal reported, adding that demand for more affordable caffeinated drinks is rising as coffee has become “really expensive.”

Meanwhile, rival beverage business Celsius saw shares fall as much as 23% on its Q3 results yesterday — despite beating expectations, with revenue jumping 173% — largely due to concerns about a change in the company’s distribution channel, as its newly acquired Alani Nu brand joins the PepsiCo distribution network.

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