United Airlines Holdings Inc., FCFF calculation

US$ in millions

12 months ended:	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019	Dec 31, 2018
Net income (loss)	737)	(1,964)	(7,069)	3,009)	2,129)
Net noncash charges	3,074)	2,361)	2,709)	3,377)	3,341)
Changes in operating assets and liabilities	2,255)	1,670)	227)	523)	711)
Net cash provided by (used in) operating activities	6,066)	2,067)	(4,133)	6,909)	6,181)
Cash paid during the period for interest, net of tax¹	1,171)	1,094)	700)	498)	521)
Interest capitalized, net of tax²	78)	61)	57)	65)	56)
Capital expenditures, net of flight equipment purchase deposit returns	(4,819)	(2,107)	(1,727)	(4,528)	(4,177)
Proceeds from sale of property and equipment	207)	107)	6)	49)	—)
Property and equipment acquired through the issuance of debt, finance leases and other	(19)	(814)	(1,968)	(493)	(174)
Free cash flow to the firm (FCFF)	2,684)	408)	(7,065)	2,501)	2,408)

Based on: 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31).

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Item	Description	The company
FCFF	Free cash flow to the firm is the cash flow available to the United Airlines Holdings Inc. suppliers of capital after all operating expenses have been paid and necessary investments in working and fixed capital have been made.	United Airlines Holdings Inc. FCFF increased from 2020 to 2021 and from 2021 to 2022.

United Airlines Holdings Inc., interest paid, net of tax calculation

US$ in millions

12 months ended:	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019	Dec 31, 2018
Effective Income Tax Rate (EITR)
EITR¹	25.56%	23.19%	19.87%	23.12%	19.90%
Interest Paid, Net of Tax
Cash paid during the period for interest, before tax	1,573)	1,424)	874)	648)	651)
Less: Cash paid during the period for interest, tax²	402)	330)	174)	150)	130)
Cash paid during the period for interest, net of tax	1,171)	1,094)	700)	498)	521)
Interest Costs Capitalized, Net of Tax
Interest capitalized, before tax	105)	80)	71)	85)	70)
Less: Interest capitalized, tax³	27)	19)	14)	20)	14)
Interest capitalized, net of tax	78)	61)	57)	65)	56)

Based on: 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31).

¹ See details »

² 2022 Calculation
Cash paid during the period for interest, tax = Cash paid during the period for interest × EITR
= 1,573 × 25.56% = 402

³ 2022 Calculation
Interest capitalized, tax = Interest capitalized × EITR
= 105 × 25.56% = 27

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United Airlines Holdings Inc., current EV/FCFF calculation, comparison to benchmarks

Selected Financial Data (US$ in millions)
Enterprise value (EV)	29,677)
Free cash flow to the firm (FCFF)	2,684)
Valuation Ratio
EV/FCFF	11.06
Benchmarks
EV/FCFF, Competitors¹
FedEx Corp.	24.40
Uber Technologies Inc.	39.96
Union Pacific Corp.	30.05
United Parcel Service Inc.	24.48
EV/FCFF, Sector
Transportation	26.48
EV/FCFF, Industry
Industrials	29.01

Based on: 10-K (reporting date: 2022-12-31).

¹ Click competitor name to see calculations.

If the company EV/FCFF is lower then the EV/FCFF of benchmark then company is relatively undervalued.
Otherwise, if the company EV/FCFF is higher then the EV/FCFF of benchmark then company is relatively overvalued.

United Airlines Holdings Inc., historical EV/FCFF calculation, comparison to benchmarks

	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019	Dec 31, 2018
Selected Financial Data (US$ in millions)
Enterprise value (EV)¹	30,978)	30,612)	32,193)	27,372)	34,199)
Free cash flow to the firm (FCFF)²	2,684)	408)	(7,065)	2,501)	2,408)
Valuation Ratio
EV/FCFF³	11.54	74.99	—	10.95	14.21
Benchmarks
EV/FCFF, Competitors⁴
FedEx Corp.	19.13	18.72	—	97.52	—
Uber Technologies Inc.	136.28	—	—	—	—
Union Pacific Corp.	23.83	26.42	25.20	25.44	—
United Parcel Service Inc.	16.63	16.95	28.23	39.28	—
EV/FCFF, Sector
Transportation	22.96	23.87	65.92	104.98	—
EV/FCFF, Industry
Industrials	25.09	28.18	65.99	30.06	—

Based on: 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31).

¹ See details »

² See details »

³ 2022 Calculation
EV/FCFF = EV ÷ FCFF
= 30,978 ÷ 2,684 = 11.54

⁴ Click competitor name to see calculations.

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United Airlines Holdings Inc. (NASDAQ:UAL)

Enterprise Value to FCFF (EV/FCFF)

Free Cash Flow to The Firm (FCFF)

Interest Paid, Net of Tax

Enterprise Value to FCFF Ratio, Current

Enterprise Value to FCFF Ratio, Historical