United Continental Holdings Inc. reported its profit climbed during a turbulent final quarter of the year for the company, boosted by a strong tailwind from cheap fuel.

Low jet fuel costs, weighed down by a plummet in oil prices, have boosted air carriers' results of late. During the quarter, overall aircraft fuel costs fell 36% to $1.62 billion. Average fuel prices dropped to $1.73 a gallon from $2.69 a gallon a year ago.

In October, United's new CEO Oscar Munoz had a heart attack that prompted a heart transplant in January. Mr. Munoz was named CEO after his predecessor, Jeff Smisek, was ousted in September as the result of a federal investigation into the airline's relationship with the former chairman of the Port Authority of New York and New Jersey. Mr. Munoz, who expects to return to his duties sometime in the current quarter, had been on the job for just six weeks before the heart attack.

Brett Hart, the company's former general counsel, was named acting CEO after Mr. Munoz's hospitalization.

The performance of the second-largest airline by traffic has lagged behind that of its big rivals in recent years. Currency headwinds and price wars with smaller, budget airlines have dented the top line, and the company has been clouded by a federal corruption probe.

Overall for the quarter ended in December, United posted a profit of $823 million, or $2.24 a share, up from $28 million, or 7 cents a share, a year earlier. Excluding certain items, earnings were $2.54 a share compared with $1.20 a year earlier. Revenue fell 3% to $9.04 billion.

Analysts surveyed by Thomson Reuters forecast earnings of $2.58 a share on revenue of $9.08 billion.

Shares of the company slipped 0.8% in premarket trading to $44.75.

United's results followed Delta Air Lines Inc. reporting Tuesday it swung to a profit in the final quarter of the year, aided by a strong tailwind of sharply lower fuel costs. Likewise, Southwest reported Thursday it nearly tripled its profit in the final quarter of the year as the company continues to soar on cheap fuel and the modernization of its fleet.

Write to Anne Steele at Anne.Steele@wsj.com

(END) Dow Jones Newswires

January 21, 2016 08:45 ET (13:45 GMT)

Copyright (c) 2016 Dow Jones & Company, Inc.
Delta Air Lines (NYSE:DAL)
Historical Stock Chart
From Mar 2024 to Apr 2024 Click Here for more Delta Air Lines Charts.
Delta Air Lines (NYSE:DAL)
Historical Stock Chart
From Apr 2023 to Apr 2024 Click Here for more Delta Air Lines Charts.