Delta Air Lines on Thursday reported record quarterly profits and revenue and raised expectations for a year after travelers flew in large numbers, defying some forecasts of a drop in spending.
Revenue soared nearly 13% to $15.58 billion, a surprising jump even for a carrier that has consistently outperformed.
Shares rose nearly 5% before the opening bell, on a trajectory to set a new 52-week high, and took major carriers with it.
“Robust demand continues in the September quarter, where we expect total revenue to be similar to the June quarter, up 11% to 14% from the September quarter 2022, with higher capacity of 16%,” said Glen Hauenstein, president of Delta. , in a written statement.
Delta’s second-quarter profit was $1.83 billion, or $2.84 per share. Earnings per share adjusted for one-time costs or benefits were $2.68, far exceeding the $2.42 Wall Street was seeking, according to a Zacks Investment Research survey.
The Atlanta carrier raised its earnings per share forecast for the year to $6 to $7, up from previous projections of $5 to $6.
Delta’s earnings-fueled quarter lifted the broader sector in early trading. American, United and Southwest all rose nearly 3% before the opening bell.
For the current quarter ending in September, Delta expects earnings per share to be between $2.20 and $2.50.
Portions of this story were generated by Automated Insights (http://automatedinsights.com/ap) using data from Zacks Investment Research. Access a Zacks stock report on DAL at https://www.zacks.com/ap/DAL