Delta shares rise as Q4 profit beats expectations
[DALLAS] Delta Air Lines led shares of US carriers higher after posting fourth-quarter profit that topped analysts' estimates and forecasting an operating margin of as much as 8 per cent in this year's initial three months.
Delta, adjusted for its 2008 merger with Northwest Airlines Corp, last had a first-quarter operating margin at that level in 1998, according to Jamie Baker, a JPMorgan Chase & Co analyst.
Airlines are benefiting from lower fuel prices, constraints on capacity growth, controls on operating costs and demand that's keeping planes full, said Ray Neidl of Nexa Capital Partners, an aerospace and transportation consulting firm. Delta was the first major US carrier to report fourth-quarter results.
BT is now on Telegram!
For daily updates on weekdays and specially selected content for the weekend. Subscribe to t.me/BizTimes
Transport & Logistics
EV automakers get reprieve in US tax credit rules
Abu Dhabi hub carrier Etihad adds banks to US$1 billion IPO
Luminar to cut nearly 20% jobs as part of restructuring
Chinese share of French EV market slumps after incentives curbed
Ferrari unveils US$423,000 sports car with 1960s bloodline
Airbus called for compensation to take on money-losing Spirit operations: sources