Connect with us


Travel Boom Drives Delta To Record Quarterly Earnings, Raising Full-Year Outlook

Avatar of Salman Ahmad



Travel Boom Drives Delta To Record Quarterly Earnings, Raising Full-Year Outlook

(CTN News) – Travel demand has defied fears of an economic slowdown for months, causing Delta Air Lines to record its highest quarterly revenue and earnings ever.

A 22% drop in Delta’s fuel costs helped the carrier’s bottom line during the second quarter, as international travel and premium seats were on the rise.

Earlier this month, the Atlanta-based airline raised its earnings forecast for 2023 to an adjusted $6 to $7 per share, up from its estimate at the high end of a $5 to $6 range. As a result of the results, Delta’s stock was up more than 4% in premarket trading.

Bastian called the current period of travel growth the “mid-innings” of the growth of travel, citing consumers’ desire to travel for years to come.

He said in an interview that the trends we’ve seen this year would continue.

According to Bastian, international demand will remain robust into the fall and corporate travel bookings will grow slowly but steadily.

First U.S. airline Delta posts second-quarter results, and its report sets an upbeat tone for the rest of the year. American Airlines and United Airlines are scheduled to report next week.

On a 16% increase in capacity, Delta expects to earn $2.20 to $2.50 a share in the third quarter, above analysts’ expectations. A 14% increase in revenue is expected from a year ago, according to the carrier.

As per Refinitiv consensus estimates, Delta’s performance in the quarter ended June 30 was:

Earnings per share adjusted to $2.68 cents, compared to $2.40 expected.

Revenue: $14.61 billion versus $14.49 billion expected.

Revenue from transatlantic travel rose more than 60% compared to last year’s spring and early summer, compared to an 8% increase in domestic revenue and a 21% rise in passenger revenue overall. In anticipation of the resurgence, Delta and its competitors have increased capacity to Europe.

In addition, premium ticket revenue grew faster than main cabin economy revenue.

There has been a 17% increase in capacity, and a 1% increase in unit revenues for every seat flown a mile.

If you were to ask any quarter in which we grew capacity by high double digits and held our overall pricing, that would be pretty amazing,” Bastian said.

A year ago, Delta’s net income was $735 million, or $1.15 per share. It was $1.83 billion, or $2.84 per share for the quarter. After adjusting for certain items, per-share earnings were $2.68, up from $1.44 a year ago.

Since the airline reclaimed more than $8 billion in tax-loss credits in the fourth quarter of 2013, the airline’s net income has increased significantly.

Including sales from its refinery, Delta’s revenue in the three months ended June 30 was $14.61 billion, up 19% from a year ago. The total revenue of $15.58 billion was up 13% from the previous year.


Uber Eats And Postmates Will Offer Domino’s Food In The US


Salman Ahmad is a seasoned writer for CTN News, bringing a wealth of experience and expertise to the platform. With a knack for concise yet impactful storytelling, he crafts articles that captivate readers and provide valuable insights. Ahmad's writing style strikes a balance between casual and professional, making complex topics accessible without compromising depth.

Continue Reading

CTN News App

CTN News App

Recent News


compras monedas fc 24

Volunteering at Soi Dog

Find a Job

Jooble jobs

Free ibomma Movies