Delta Air Lines (NYSE: DAL) reported second-quarter earnings Wednesday that missed analysts’ expectations. Nevertheless, it disclosed a profit as travelers seemed willing to pay the rising costs for flights. Furthermore, the carrier promised to better reliability following a rise in delays and cancellations.
The major airline carrier reported earnings of USD1.44 per share, compared to the expected USD1.73 a share. Revenue amounted to USD13.82 Billion, higher than the expected USD13.57 Billion.
“We delivered a meaningful profit for the quarter,” According to Delta CEO Ed Bastian. “An operating profit of $1.4 billion, 12% operating margin — that’s only about 5 points off of the margin we had in the June quarter of 2019 despite the fact that fuel prices are almost twice what they were at that point.”
Bastian continued on to say that the airline had experienced a “massive surge in air travel this past quarter” that “continues to grow.”
Delta disclosed that its third-quarter capacity would be 83% to 85% of 2019 levels, ultimately a more conservative schedule compared to some of its competitors. Furthermore, the carrier anticipates a third-quarter profit and stands by its full-year profitability outlook.