Skift Take
While a myriad of issues are set to constrain growth in the airline industry, Delta seems almost immune to those headwinds.
As the airline industry grapples with delayed aircraft orders and rising operating costs, Delta Air Lines has stayed above the fray.
The carrier not only posted a narrow profit during what’s typically a sluggish quarter for airlines, but travel demand across the board remains strong.
Travel Demand Is Still Robust, But Don't Expect an Olympics BoostDelta president Glen Hauenstein said in a call with analysts Wednesday revenues for premium seating were up 10% compared to the same time last year, and corporate travel, which has struggled to bounce back post-pandemic, is now making a comeback.
Hauenstein said based on a survey the carrier conducted, 90% of companies that responded intend to increase travel in the second-quarter, setting Delta up to deliver record corporate revenues in the latter half of the year.
The Delta president added that corporate travel sales were up 14% in the first-quarter, with the technology, customer service and financial services industries leading the increase.
Delta also saw record revenues for domestic travel, which was up 5%