United earnings top estimates but airline expects $6 billion in added fuel costs

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United Airlines ' second-quarter results came in ahead of Wall Street estimates, but billions of dollars in added fuel costs continue to weigh on earnings, the carrier said Wednesday. Here is what United Airlines reported for the quarter that ended June 30 compared with what Wall Street was expecting, based on estimates compiled by LSEG: United forecast third-quarter adjusted earnings per share of between $2.50 and $3.50, compared with analysts' estimates for $3.60 a share. It estimated full-year adjusted earnings per share of between $9 and $11, the higher end of the range of the adjusted $7 to $11 a share it forecast in April , when it cut its January forecast after the U.S. and Israel attacked Iran in late February. According to Argus data published by industry group Airlines for America, jet fuel prices at major U.S. airports are up 34% in July alone through Tuesday amid a roller coaster of escalating and deescalating conflict between the U.S. and Iran. Jet fuel is the la...

Why Europe is suddenly betting big on drones

Europe has spent years rebuilding its military in response to Russia's invasion of Ukraine. Now, investment is increasingly converging around one technology that is seen as central to the continent's future security: drones. A flurry of announcements over the past two weeks shows just how quickly that shift is accelerating. NATO unveiled a new drone initiative, the U.K. earmarked billions of pounds for drones and counter-drone systems, Germany moved to procure 50,000 drones for Ukraine, and defense tech startup Helsing secured an $18 billion valuation. The developments reflect a broader shift in military planning, with drones and autonomous systems moving from niche battlefield tools to a core part of modern warfare. The trend is creating opportunities not only for drone manufacturers but also for companies developing AI, software, electronic warfare and secure communications. "Future defence is moving towards a layered battlefield, where, for example, a tank will not simply fire shells; it will also launch drones, receive live targeting data from satellites and [unmanned aerial vehicles], share information across the battlefield, and operate as part of a networked force," Morningstar analyst Loredana Muharremi told CNBC. Battlefield lessons from Ukraine alongside Iran's use of low-cost Shahed drones in the Middle East have shown the importance of relatively inexpensive, AI-enabled drones that can gather intelligence, extend the reach of conventional weapons and increasingly operate autonomously. Those battlefield lessons are now reshaping procurement decisions across Europe. Last week, NATO Secretary General Mark Rutte said the military alliance would become "drone-ready," as he announced a drone initiative in which allies would invest more than $40 billion in counter-drone capabilities over the next five years. Drones have "fundamentally altered" the character of modern warfare and have become a "decisive factor" on the battlefield, Rutte said, citing the Russia-Ukraine war as one example. The U.K. is also investing heavily in autonomous systems. Under its Defence Investment Plan published in late June, the government committed 5 billion ($6.7 billion) to a "UK drone transformation" program aimed at strengthening the country's armed forces. Germany, meanwhile, is expanding support for Ukraine. On Monday, defense software company Auterion and Ukrainian drone maker Skyfall announced a 90-million-euro order for 50,000 drones equipped with Auterion's operating system from a European NATO member. A source familiar with the matter confirmed to CNBC that the country was Germany. "This is the first war happening at a time where drones were prevalent enough that they started to play a role," Auterion CEO Lorenz Meier told CNBC. Software is increasingly defining the battlefield, according to Meier. Auterion's operating system enables drones to continue striking targets despite electronic jamming, making them more effective in contested environments. "It allows them to dive into a target, even if the target has jammers, where previously they would have lost video signal and missed," Meier said. It also allows them to strike a target that's below the radio horizon, for example, when a drone descends in a valley. The company plans to introduce software that allows operators to control coordinated swarms...

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