By Dean Seal
Airlines say sturdy demand for flights is helping them ride out climbing jet fuel costs tied to the war in Iran.
Delta Air Lines and American Airlines raised their revenue outlooks on Tuesday to account for strong bookings in the first three months of the year, despite conflict erupting in the Middle East and a streak of severe winter weather disruptions.
Delta CEO Ed Bastian said demand has been healthy for corporate and leisure travel, both internationally and domestically. "We're seeing strength in every market that we look at," he said at the JPMorgan Industrials Conference.
Low-cost carriers JetBlue Airways and Frontier Airlines lifted their unit revenue expectations for the quarter as well. Customers continue to buy flights even as airlines raise their ticket prices to offset higher fuel costs, Frontier CEO Jimmy Dempsey said.
Still, carriers warned that the higher jet fuel costs from surging oil prices are weighing on their bottom line. Frontier shifted its first-quarter profit outlook down slightly. American said it expects to hit the lower-end of its earnings guidance.
The updates are lifting airline stocks from a tough two weeks since the war in Iran broke out. Delta shares are up more than 4% in midday trading. Shares in other major carriers are also trading higher.
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(END) Dow Jones Newswires
March 17, 2026 12:40 ET (16:40 GMT)
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