Consumer Discretionary

By Alison Sider Delta Air Lines expects a strong appetite for high-end travel to fuel profit in 2025, said Chief Executive Ed Bastian. The forecast comes as the airline posted better-than-expected revenue growth in the latest quarter as demand picked up. The airline’s sales of premium products rose 8% while revenue from sales of main cabin tickets rose 2% in the fourth quarter. Bastian said that the clarity of the election outcome helped restore travelers’ confidence and unleashed more corporate spending. The carrier said quarterly corporate sales rose 10% from a year earlier. “Overall consumer demand, particularly premium demand, has also been very, very healthy through the holiday season,” Bastian said in an interview. “The outlook in the first quarter is quite good.” Delta and United Airlines posted the U.S. airline industry’s biggest profits last year with a focus on upscale offerings for more affluent consumers. — Delta on Friday […]

By Callum Keown Delta Air Lines crushed earnings and revenue estimates amid red-hot travel demand in the fourth quarter, sending the stock flying higher. The even better news for investors was that Delta sees strong demand continuing in 2025. The carrier expects first-quarter revenue to grow between 7% and 9% year over year, with earnings per share of between 70 cents and a $1. Both those metrics top Wall Street estimates for a 5% revenue jump and profit of 77 cents. The stock rose 5.6% to $64.85 in premarket trading. Heading into Friday’s session, the shares have gained 20% over the past three months. The one disappointment may be Delta’s full-year earnings guidance of $7.35 a share in 2025, which is a little below the $7.44 expected by analysts. But investors don’t seem perturbed by that for now, instead focusing on a bumper 2024 and a strong start to the

Delta doesn’t see travel demand slowing down in 2025. CEO Ed Bastian notes consumers are increasingly opting for the airline’s premium products and experiences, a phenomenon happening across the industry that more airlines are leaning into and prioritizing. A snapshot of this demand came in November and December when Delta saw four of the top 10 revenue days in its history and double-digit growth in cash bookings driven by both leisure and corporate travelers. President Glen Hauenstein says revenue growth in 4Q came in ahead of its guidance as demand trends accelerated through the quarter and expects adjusted revenue in the March quarter to be up to 9% higher than 2024. Delta climbs 5.3% premarket.