Delta Air Lines posts profit of $1.37 billion - MyFoxAustin.com | KTBC Fox 7 | News, Weather, Sports

Delta Air Lines posts profit of $1.37 billion

Posted: Updated:

By JOSHUA FREED

AP Airlines Writer

MINNEAPOLIS (AP) -- Delta Air Lines made more than a billion dollars in the third quarter as more passengers paid a little bit extra to fly. Even its new oil refinery turned a small profit.

The airline is seeing strong holiday bookings, and the "revenue environment appears solid through the end of the year," President Ed Bastian said in a statement.

Delta's net income jumped 31 percent to $1.37 billion, or $1.59 per share. Not counting gains from fuel hedges, the company would have earned $1.2 billion, or $1.41 per share. That was 5 cents per share more than expected by analysts surveyed by FactSet.

A year ago it earned $1.05 billion, or $1.23 per share.

Revenue rose 6 percent to $10.49 billion, about what analysts were expecting.

Delta shares rose 4 percent, to $25.65, in premarket trading.

Traffic rose 2 percent for the quarter. The amount passengers paid for each seat flown one mile rose almost 5 percent. It said flying capacity would rise 1 percent to 3 percent in the fourth quarter. Delta is second only to United Airlines in passenger traffic among the world's airlines.

Delta, based in Atlanta, saw passenger revenue gains in domestic flying and flying to Europe. Revenue for flights across the Pacific fell 5 percent. The weaker Japanese yen has made Asia flying less profitable for Delta as well as United. Those two have the biggest share of Asia flights among U.S. airlines.

Last year Delta bought an oil refinery near Philadelphia, and has maximized its jet fuel output. It took longer than Delta had predicted, but the refinery turned its first profit in the most recent quarter, $3 million. It lost $136 million total during the three previous quarters. Delta said profits there were hurt by smaller spreads between the cost of crude oil and the selling price of fuel.

The same tighter margins reduced jet fuel prices for Delta, the airline said. Its cost for jet fuel fell 5 percent to $2.97 per gallon.

Delta Air Lines Inc. began paying a dividend during the quarter.

Copyright 2013 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.


  • Your MoneyMore>>

  • Manhattan West Project

    Skyline of West Side is changing

    Skyline of West Side is changing

    Tuesday, July 22 2014 6:25 PM EDT2014-07-22 22:25:22 GMT
    The Manhattan West Project is a $4.5 billion development that will change the skyline on the West Side. The five-acre site that will consist of office towers, a residential building, retail, a 5-star hotel, health and fitness facilities, rooftop gardens, restaurants, cafes, and a park is being built on top of active rail yards. Fox 5 got a look at the progress of the project.
    The Manhattan West Project is a $4.5 billion development that will change the skyline on the West Side. The five-acre site that will consist of office towers, a residential building, retail, a 5-star hotel, health and fitness facilities, rooftop gardens, restaurants, cafes, and a park is being built on top of active rail yards. Fox 5 got a look at the progress of the project.
  • Beach fashion

    Long-sleeved swimsuit is latest beach and pool fashion trend

    Long-sleeved swimsuit is latest beach and pool fashion trend

    Monday, July 21 2014 6:13 PM EDT2014-07-21 22:13:49 GMT
    You have lots of ways to look stylish on the beach, from a bikini to a tankini to a one piece. But the newest trend is long-sleeved swimsuits -- modesty takes precedence over a golden glow. The new beachwear is turning up on sites like ASOS and on luxury sites like Neiman Marcus. There are one piece versions and crop top versions.One of the pioneers of the trend is Dallas-based clothing company Cover.
    You have lots of ways to look stylish on the beach, from a bikini to a tankini to a one piece. But the newest trend is long-sleeved swimsuits -- modesty takes precedence over a golden glow. The new beachwear is turning up on sites like ASOS and on luxury sites like Neiman Marcus. There are one piece versions and crop top versions.One of the pioneers of the trend is Dallas-based clothing company Cover.
  • Wawa to close first store opened 50 years ago

    Wawa to close first store opened 50 years ago

    Monday, July 21 2014 3:01 PM EDT2014-07-21 19:01:43 GMT
    Wawa plans to close the first convenience store opened by the chain in the Philadelphia suburbs a half-century ago.  Susan Bratton, Wawa's regional real estate manager, says the old store is just too small.
    Wawa plans to close the first convenience store opened by the chain in the Philadelphia suburbs a half-century ago.  Susan Bratton, Wawa's regional real estate manager, says the old store is just too small.
Powered by WorldNow

KTBC FOX 7
119 East 10th Street
Austin, TX 78701

Phone: (512) 476-7777
Fax: (512) 495-7001

Didn't find what you were looking for?
All content © Copyright 2000 - 2014 Fox Television Stations, Inc. and Worldnow. All Rights Reserved.
Privacy Policy | Terms of Service | Ad Choices