Delta Reports Profit and Projects Strong Travel Demand
Delta Airline says that winter holidays, EU vacations and business trips are expected to increase ticket sale this year!
Delta on Thursday reported a profit of $695 million for the three months ended Sept. 30 ( about 54% lower than the same period in 2019) before the Covid-19 pandemic upended the industry.
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@Delta reports profit and projects strong travel demand!
Airline says winter holidays, European vacations and business trips are expected to increase ticket sale @WSJ reportshttps://t.co/O5eEId9s9T
— The_Journalbiz (@the_journalbiz) October 13, 2022
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Delta on Thursday reported a profit of $695 million for the three months ended Sept. 30—about 54% lower than the same period in 2019.
Airline executives say that the resurgent travel demand over the summer didn’t immediately cool off, as it often does in the fall, even as inflation and fears of a recession affected consumer spending in other areas.
This year, strong sales continued through September, airline executives said. At the same time, delayed plane deliveries and staffing shortfalls have curtailed some carriers’ growth.
Passengers are paying more as airlines have been able to raise fares enough to cover higher costs of fuel and labor without derailing demand.
Flights are routinely 90% full despite the higher price tag, as consumers give priority to spending on travel and experiences over some goods, Delta Chief Executive Ed Bastian said in an interview.
Delta’s operating revenue of $12.8 billion, excluding third-party sales from the oil refinery it owns, surpassed 2019 levels by 3%, even though Delta still isn’t flying as much as it did in 2019.
