Delta profit beats on strong demand, higher ticket prices
FILE PHOTO: A Delta Airlines flight is pushed put of its gate at the airport in Salt Lake City, Utah, U.S., January 12, 2018. REUTERS/Mike Blake/File Photo
REUTERS: Delta Air Lines reported a third-quarter profit that beat analysts' estimates on Thursday as a strengthening U.S. economy spurred demand for air travel, helping the airline raise ticket prices.The No.2 U.S. airline also forecast total unit revenue, a closely watched performance metric, to increase between 3 and 5 percent in the fourth quarter.
Shares of Delta and peers such as American Airlines Group Inc and Southwest Airlines Co have fallen this year as airlines struggle with a spike in fuel costs, with oil prices hovering near 4-year highs.The carrier's net income rose to US$1.31 billion, or US$1.91 per share, in the quarter ended Sept. 30 from US$1.16 billion, or US$1.61 cents per share, a year earlier.On an adjusted basis, Delta earned US$1.80 per share, beating analysts' average estimate of US$1.74, according to Thomson Reuters I/B/E/S.Total operating revenue rose to US$11.95 billion from US$11.06 billion.
(Reporting by Tracy Rucinski in Chicago and Ankit Ajmera in Bengaluru; Editing by Anil D'Silva)
Source : https://www.channelnewsasia.com/news/business/delta-profit-beats-on-strong-demand--higher-ticket-prices-10817236