Delta posts $695 million profit, sees busy holiday season

Delta Air Lines reported a $695 million third-quarter profit Thursday as higher average fares this summer and a lucrative credit-card business more than offset higher fuel prices.

The airline forecast that revenue during the final three months of the year will top pre-pandemic levels. Delta's CEO said he sees no indication that anxiety over inflation and the economy will discourage people from traveling over the holidays.

“It's going to be a very strong holiday season — Thanksgiving, Christmas, New Year's,” said CEO Ed Bastian. “Consumers are still relatively healthy. They have deferred spending, but where they have deferred it is the acquisition of things.”

Delta's third-quarter numbers support that view. The airline's operating revenue rose 11% above 2019 levels even with an 18% drop in passenger traffic. That was possible because the average passenger paid 23% more per mile than during the same months of 2019. Revenue from premium customers rose, while money from the main cabin dipped slightly.