Connect with us
LIVE

News

Delta premium travel set to overtake coach cabin sales next year

Published

on

Delta premium travel set to overtake coach cabin sales next year

A view from the Delta Sky Club at Los Angeles International Airport, Sept. 2, 2022.

AaronP | Bauer-Griffin | GC Images | Getty Images

Delta Air Lines customers are getting used to first class.

Revenue from the pricier, roomier seats toward the front of the plane could eclipse sales from standard coach seats for at least a quarter or two next year, Delta executives said Thursday.

In the last quarter, Delta said ticket revenue from its premium cabin rose 9% from last year to nearly $5.8 billion, while main-cabin ticket revenue fell 4% from a year earlier to just over $6 billion.

CEO Ed Bastian said he’s seen no sign of premium-travel demand slowing down, a trend that helped drive the carrier’s upbeat forecast, released Thursday, for the rest of 2025 and next year.

Why airlines demand for first-class seats delayed Boeing and Airbus production

Airlines from Delta to Frontier have been working to court travelers willing to pay more for seats on board.

During an investor day last year, Delta said that just 43% of its 2024 revenue was coming from main cabin tickets, down from a 60% share from in 2010. Meanwhile, Delta said that close to 60% of revenue last year was generated by premium seats and its lucrative loyalty program.

Delta, the most profitable U.S. airline, has benefitted from its customers shelling out more for premium seats. Carriers have raced to add more of those seats to their fleets, some of them so elaborate — with lie-flat beds, ottomans and big entertainment screens — that they have delayed deliveries of new planes as regulators evaluate their design.

Advertisement

Read more CNBC airline news

Source link

Title

This industrial giant is emerging as a big AI play, says Wells Fargo This industrial giant is emerging as a big AI play, says Wells Fargo
Crypto5 months ago

This industrial giant is emerging as a big AI play, says Wells Fargo

  Wells Fargo sees Caterpillar continuing to roar higher, emerging as an artificial intelligence play. The bank initiated shares of...

Novo Nordisk's strategy tested as investors push back on board revamp Novo Nordisk's strategy tested as investors push back on board revamp
Crypto5 months ago

Novo Nordisk’s strategy tested as investors push back on board revamp

    Flags with the logos of Danish drugmaker Novo Nordisk, maker of the blockbuster diabetes and weight-loss treatments Ozempic...

Alibaba plans AI subscriptions, stablecoin-like payments with JPMorgan Alibaba plans AI subscriptions, stablecoin-like payments with JPMorgan
Crypto5 months ago

Alibaba plans AI subscriptions, stablecoin-like payments with JPMorgan

  Key Points Alibaba plans to use “tokenization” of payments for cross-border transactions in its business-to-business arm. Kuo Zhang, president...

Abraham Lincoln set off an education revolution in 1862 with the Land Grant Act. We need the same thing today for AI Abraham Lincoln set off an education revolution in 1862 with the Land Grant Act. We need the same thing today for AI
Crypto5 months ago

UK borrowing costs spike on report government to scrap plans to raise income tax

    Rachel Reeves, U.K. chancellor of the exchequer, delivers a speech in London, UK, on Tuesday, Nov. 4, 2025. Bloomberg...

An Indonesian Unicorn's Vision For Digital Payments An Indonesian Unicorn's Vision For Digital Payments
Crypto5 months ago

Trump’s threatened the BBC with a $1B lawsuit: Here’s what’s going on

    US President Donald Trump speaks to reporters as he arrives at Palm Beach International Airport on Oct. 31,...

We're downgrading a portfolio stock. Plus, what's causing the market's rally We're downgrading a portfolio stock. Plus, what's causing the market's rally
Crypto5 months ago

UBS’s picks for global returns next year

  Investors looking for global diversification opportunities should look to a specific subset of stocks in Europe, according to UBS...

Nvidia will soar nearly 75%, says Loop Capital Nvidia will soar nearly 75%, says Loop Capital
News5 months ago

AI companies admit they’re worried about a bubble

    Eakarat Buanoi | Istock | Getty Images LISBON, Portugal — Top tech executives told CNBC they’re concerned about...

CEO Southeast Asia's top bank DBS says AI adoption already paying off CEO Southeast Asia's top bank DBS says AI adoption already paying off
News5 months ago

CEO Southeast Asia’s top bank DBS says AI adoption already paying off

Tan Su Shan, deputy chief executive officer and managing director of institutional banking at DBS Group Holdings Ltd., speaks during...

China's economic slowdown deepens in October as housing slump worsens and investments shrink more than expected China's economic slowdown deepens in October as housing slump worsens and investments shrink more than expected
News5 months ago

China’s economic slowdown deepens in October as housing slump worsens and investments shrink more than expected

CHENGDU, CHINA – OCTOBER 18: People walk past the Louis Vuitton store at Taikoo Li, a high-end shopping area that...

U.S. to remove tariffs on some products from Ecuador, Argentina, Guatemala and El Salvador U.S. to remove tariffs on some products from Ecuador, Argentina, Guatemala and El Salvador
News5 months ago

U.S. to remove tariffs on some products from Ecuador, Argentina, Guatemala and El Salvador

The United States said Thursday it will remove tariffs on some foods and other imports from Argentina, Ecuador, Guatemala and...

Advertisement