Why Delta Air Lines Is Rising In Pre-market?

(RTTNews) - Delta Air Lines Inc. (DAL, DALRQ.PK) has increased its first quarter quarter adjusted total revenue outlook to approximately 78% recovered versus 2019. The initial guidance was 72 - 76%, for the quarter. The company currently expects adjusted revenue of approximately $8.1 billion, for the quarter. Compared to 2019, the updated outlook for capacity is approximately 83%. The initial guidance was 83 - 85%.

Delta Air Lines projects March quarter pre-tax loss to be consistent with initial expectations. Also, it estimates positive free cash flow in the March quarter on strong spring and summer travel demand.

For the month of March, Delta Air Lines expects a solid pre-tax profit as higher fuel cost is offset by stronger revenue. It expects to achieve flat TRASM in March month versus March 2019.

Looking forward, Delta Air Lines said it expects to deliver meaningful profitability in 2022 on its path to improved earnings power beyond pre-pandemic levels by 2024.

Shares of Delta Air Lines were up 4% in pre-market trade on Tuesday.