US airlines were trying to reassure worried investors on the strength of travel demand on Tuesday, a day after United Airlines forecast an unexpected loss in the current quarter.
Delta Air Lines Inc, which reaffirmed its outlook for the first quarter, said travel demand is “strong” and getting “stronger.” His CEO, ed bastianHe said that in the last 30 days, the airline has recorded the 10 highest sales days in its history.
“If someone is looking for weakness, don’t look at Delta”, remarked Bastian at the investor conference JPMorgan.
At the same conference, the CEO of American AirlinesPresident Robert Isom said the Texas-based airline is enjoying “tremendous” demand.
United on Monday forecast an unexpected loss of between 60 cents and $1 a share in the current quarter, citing lower demand as well as higher costs stemming from a potential contract agreement with the pilots.
In January, the company had forecast adjusted earnings of between 50 cents and $1 a share for the quarter.
United’s CEO, Scott Kirbyattributed the failure to a forecast “wrong” and reaffirmed the company’s outlook for the full year.
Kirby said the “big picture” is positive and consumer demand remained strong. However, his comments did little to reassure investors and United shares were down 4% at $46.87 in morning trading.
SOURCE: Reuters Agency.
Source: Gestion
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