While forecasting a narrower loss, JetBlue expects its annual revenue growth to rise, adjusting a 3% to 5% annual revenue growth forecast to a range of 4% to 5%. This comes as the U.S. carrier finds itself in the midst of a legal dispute with Spirit Airlines.

“Since late October, close-in bookings have outperformed expectations for both holiday peak and non-holiday travel periods,” JetBlue remarked in a regulatory filing on Thursday, justifying the narrower loss forecast.

U.S. airlines at large are expecting travel demand to remain resilient going into next year, dismissing concerns over potential demand vulnerability stemming from the impact of rising interest rates and rising prices on customers’ spending power.

The post JetBlue Stock Jumps Following Adjusted Forecast appeared first on theprimarymarket.com.

Last Wednesday, representatives from Wheels Up revealed that the company is doubtful of its ability to continue operations despite securing short-term funding from major U.S. carrier Delta Airlines. The Atlanta, Georgia-based airline revealed that its capital infusion in Wheels Up came in the form of a secured promissory note. Neither company disclosed the funding amount.

In addition to securing funding from Delta, Bain Capital, and MSD Capital, Wheels Up has implemented several cost-cutting measures in an effort to improve its financial situation. These include management changes, job cuts, and changes to private jet traffic, which soared during the pandemic and have since dropped in demand.

The post Wheels Up in Talks With Lenders Amid Cash Crunch appeared first on theprimarymarket.com.

Revenue levels suggest that the travel industry is rapidly recovering from its pandemic slump, with expected revenue of $803 billion for 2023. The industry’s total revenue in 2019 was $838 billion.

“The pandemic years are behind us and borders are open as normal,” International Air Transport Association (IATA) Director General Willie Walsh stated at the association’s annual meeting. “A lot of people not just have to travel, but want to travel. And they will continue to do so through this year,” he went on to state in a separate interview.

Despite the positive annual outlook, the current profit margin of 1.2% is still too low to safeguard the industry’s long-term financial stability, Walsh admitted. The industry’s profitability continues to be limited by challenges including rising airport charges and supply chain bottlenecks.

The post Global Airlines More Than Double 2023 Profit Outlook appeared first on theprimarymarket.com.

“Our revenues and earnings EPS were all in line with the guidance that we presented at the start of the quarter,” Bastian remarked. “So given all the uncertainty and some of the volatility that we see and what seasonally is our weakest quarter of the year, we were quite pleased and thought it was a real solid performance.”

For Q1 of 2023, the major U.S. airline posted an adjusted net income of $163 million, falling short of the $184.31 million expected from consensus estimates compiled by Bloomberg. This translated to earnings per share of $0.25 compared to an expected $0.29 per share. Revenue for the period was $11.84 billion, lower than an expected $11.99 billion.

Shares in the company rose by 4% in premarket trading on Thursday.

The post Delta CEO Satisfied With Quarterly Results Despite Missing Estimates appeared first on theprimarymarket.com.

Although the fourth quarter saw a stark rise in travel demand during the busy holiday season, the U.S. carrier acknowledged that its rising expenses would impact its profit margins, still, Delta’s profit for December exceeded expectations. While the company forecast a profit of $1.33 per share for the month, Delta’s profit came to $1.48 per share, with the airline’s adjusted revenue standing at $12.3 billion for the year.

U.S. airlines are expecting a strong financial performance going into the new year as consumer demand shows several signs of growth, including a strengthening dollar, the reopening of international borders following the end of the pandemic, and a rise in business travel.

“As we move into 2023, the industry backdrop for air travel remains favorable and Delta is well positioned to deliver significant earnings and free cash flow growth,” Delta Air Lines CEO Ed Bastian stated.

Delta expects consumers to spend $30 billion on travel this year, with no sign of travel slowdowns in sight.

The post Delta Beats Profit Estimate as Travel Industry Rebounds appeared first on theprimarymarket.com.

Excluding fuel, United Airlines expects its Cost Per Available Seat Mile (CASM) to rise by 16% when compared to the third quarter of 2019, however, this would be a slight improvement on the 16-17% forecast that was previously given. This change was also experienced at a time of rapid inflation, when fuel, energy, and other costs surged over the short term.

The travel industry is currently going through a boom as demand returns to pre-pandemic levels. As a result, many major U.S. airlines expect the demand surge to persist in the second half of 2022. Staff and aircraft shortages, however, have pushed numerous carriers to cut flights and adjust staffing schedules as a means of avoiding flight delays and cancellations.

Shares of United Airlines gained 1.4% during pre-market trading.

The post United Airlines Improves Costs During Third Quarter appeared first on theprimarymarket.com.

While forecasting a narrower loss, JetBlue expects its annual revenue growth to rise, adjusting a 3% to 5% annual revenue growth forecast to a range of 4% to 5%. This comes as the U.S. carrier finds itself in the midst of a legal dispute with Spirit Airlines.

“Since late October, close-in bookings have outperformed expectations for both holiday peak and non-holiday travel periods,” JetBlue remarked in a regulatory filing on Thursday, justifying the narrower loss forecast.

U.S. airlines at large are expecting travel demand to remain resilient going into next year, dismissing concerns over potential demand vulnerability stemming from the impact of rising interest rates and rising prices on customers’ spending power.

The post JetBlue Stock Jumps Following Adjusted Forecast appeared first on theprimarymarket.com.

Last Wednesday, representatives from Wheels Up revealed that the company is doubtful of its ability to continue operations despite securing short-term funding from major U.S. carrier Delta Airlines. The Atlanta, Georgia-based airline revealed that its capital infusion in Wheels Up came in the form of a secured promissory note. Neither company disclosed the funding amount.

In addition to securing funding from Delta, Bain Capital, and MSD Capital, Wheels Up has implemented several cost-cutting measures in an effort to improve its financial situation. These include management changes, job cuts, and changes to private jet traffic, which soared during the pandemic and have since dropped in demand.

The post Wheels Up in Talks With Lenders Amid Cash Crunch appeared first on theprimarymarket.com.

Revenue levels suggest that the travel industry is rapidly recovering from its pandemic slump, with expected revenue of $803 billion for 2023. The industry’s total revenue in 2019 was $838 billion.

“The pandemic years are behind us and borders are open as normal,” International Air Transport Association (IATA) Director General Willie Walsh stated at the association’s annual meeting. “A lot of people not just have to travel, but want to travel. And they will continue to do so through this year,” he went on to state in a separate interview.

Despite the positive annual outlook, the current profit margin of 1.2% is still too low to safeguard the industry’s long-term financial stability, Walsh admitted. The industry’s profitability continues to be limited by challenges including rising airport charges and supply chain bottlenecks.

The post Global Airlines More Than Double 2023 Profit Outlook appeared first on theprimarymarket.com.

“Our revenues and earnings EPS were all in line with the guidance that we presented at the start of the quarter,” Bastian remarked. “So given all the uncertainty and some of the volatility that we see and what seasonally is our weakest quarter of the year, we were quite pleased and thought it was a real solid performance.”

For Q1 of 2023, the major U.S. airline posted an adjusted net income of $163 million, falling short of the $184.31 million expected from consensus estimates compiled by Bloomberg. This translated to earnings per share of $0.25 compared to an expected $0.29 per share. Revenue for the period was $11.84 billion, lower than an expected $11.99 billion.

Shares in the company rose by 4% in premarket trading on Thursday.

The post Delta CEO Satisfied With Quarterly Results Despite Missing Estimates appeared first on theprimarymarket.com.

Although the fourth quarter saw a stark rise in travel demand during the busy holiday season, the U.S. carrier acknowledged that its rising expenses would impact its profit margins, still, Delta’s profit for December exceeded expectations. While the company forecast a profit of $1.33 per share for the month, Delta’s profit came to $1.48 per share, with the airline’s adjusted revenue standing at $12.3 billion for the year.

U.S. airlines are expecting a strong financial performance going into the new year as consumer demand shows several signs of growth, including a strengthening dollar, the reopening of international borders following the end of the pandemic, and a rise in business travel.

“As we move into 2023, the industry backdrop for air travel remains favorable and Delta is well positioned to deliver significant earnings and free cash flow growth,” Delta Air Lines CEO Ed Bastian stated.

Delta expects consumers to spend $30 billion on travel this year, with no sign of travel slowdowns in sight.

The post Delta Beats Profit Estimate as Travel Industry Rebounds appeared first on theprimarymarket.com.

Excluding fuel, United Airlines expects its Cost Per Available Seat Mile (CASM) to rise by 16% when compared to the third quarter of 2019, however, this would be a slight improvement on the 16-17% forecast that was previously given. This change was also experienced at a time of rapid inflation, when fuel, energy, and other costs surged over the short term.

The travel industry is currently going through a boom as demand returns to pre-pandemic levels. As a result, many major U.S. airlines expect the demand surge to persist in the second half of 2022. Staff and aircraft shortages, however, have pushed numerous carriers to cut flights and adjust staffing schedules as a means of avoiding flight delays and cancellations.

Shares of United Airlines gained 1.4% during pre-market trading.

The post United Airlines Improves Costs During Third Quarter appeared first on theprimarymarket.com.