Delta Air Lines reported good earnings yesterday. Revenue rose 8.6% to $8.4B in the first quarter, beating the estimates. And if we take a closer look, revenue on each seat flown over each mile basis increased 15%. The demand for air tickets will go up further as we head into the summer travel season and Delta is continuing with the ticket price hike. From the company’s perspective, they need the extra income to offset the rising fuel cost in the first quarter, which increased 3% from one year earlier to $2.23B and surpassed labor cost as the single largest expense.Delta executives expressed the view that consumer demand will be very strong in the coming months and the market agrees. So unless the fuel cost rises significantly, Delta’s margin will improve this quarter.Is traveling part of your summer plan? And if so, are you going international or domestic? I would like to hear your thoughts on the ticket prices and maybe some savings tricks as well. Send in your comments to our show or tweet me @juliasun_onair. I’m Julia Sun for the Financial News Network in New York City, we’ll be right back.
