Continental Airlines returned to the black in the first quarter to US$22 million profit after recording a 2006 year-on-year loss of $66 million. It was the company's first Q1 profit since 2001.

Continental declared its $3.2 billion operating revenue increased 7.9 per cent year on year despite severe winter storms cutting $10 million from its income.

First quarter net revenue also included a $7 million gain on the sale of the company's remaining investment in ExpressJet Holdings and a net charge from other special items of $11 million.

Strong revenue growth, cost discipline and a decrease in fuel prices all contributed to the robust growth, the company said.

"Thanks to the hard work of my co-workers, we were able to achieve a first quarter profit for the first time in six years," said Larry Kellner, Continental's chairman and CEO. "We are competitively well-positioned because we combine solid day-to-day execution with thoughtful long-term planning."

Cargo revenue remained unchanged at $107 million year on year while cargo miles fell from 263 million to 254 million a loss of 3.4 per cent.

Passenger revenue of $2.9 billion increased 7.9 per cent to $212 million compared to the first quarter 2006. It was led by strong international revenue growth, said the company. Continental's growth and high load factors, both domestic and international, and improved yield produced higher revenue for the company, said the Continental statement.