Delta Air Lines (DAL) reported that its profit during this year’s third quarter rose nearly 60% as strong travel demand continued throughout the summer months.
The Atlanta, Georgia-based carrier said that it benefitted in Q3 from international trips taken aboard its aircraft.
Delta Air Lines reported earnings per share of $2.03 U.S versus $1.95 U.S. that was forecast by Wall Street analysts, according to Refinitiv data.
Revenue in the July though September quarter totaled $14.55 billion U.S. compared to $14.56 billion U.S. that had been expected. The company’s revenue was up 13% year-over-year.
Delta and other U.S. airlines have said that they are seeing particularly strong demand for overseas trips, with trans-Atlantic flights extremely strong.
In its Q3 print, Delta said that revenue generated from international flights rose 34% from last year.
The carrier also said that it has seen a sharp increase in demand for premium seats such as business class and premium economy.
Main cabin revenue for Q3 came in at $6.62 billion U.S., up 12% from a year ago. However, premium product sales rose 17% to $5.11 billion U.S. during the quarter.
Looking ahead, Delta forecast full-year earnings toward the low end of an earlier estimate, citing an increase in fuel prices as the reason.
The company said it now expects full-year earnings of $6 U.S. to $6.25 U.S. per share, after forecasting $6 U.S. to $7 U.S. previously.
Delta said that it expects solid travel demand in the last three months of the year, estimating revenue will rise 9% to 12% from the fourth quarter of 2022.
The stock of Delta Air Lines has gained 23% over the last 12 months and currently trades at $35.98 U.S. per share.
