Delta surpasses United in profitability and luxury service

Delta is the most profitable airline in the United States and United is the second in net profit margins. Additionally, Delta has positioned itself in premium service with its luxury service, above United.

Delta has achieved profitability by outperforming its competitors last year on a cost-per-mile basis. Its stock is up nearly 23% in 2024 and it expects to see cash flow up 50% this year to between $3 billion and $4 billion.

On the other hand, Delta has positioned itself as the premium airline in the USA, as it attracts passengers with high purchasing power, largely because most of them are American Express cardholders. This is how it competes for luxury travelers with United by adding more high-end seats to its planes, as reported by El Tiempo Latino.

As reported by REPORTUR.usIn March, due to the delay of the Boeing 737 Max 10, Delta decided to change its fleet plan like United, as they anticipate that the manufacturer will not have the ships ready until the end of the decade due to the controls imposed by the Federal Aviation Administration. (FAA). (Delta changes plans like United as 737 Max 10 is delayed.)

Ed Bastian, CEO of Delta, commented at the time that the company is planning its fleet without the 737 MAX 10. “We were already anticipating that if it arrived in 2025, it would be at the end of the year,” Bastian told Bloomberg, adding that “ My opinion is that it will be one or two years later.” And he stated that they are protected by negotiated contracts that contemplate possible delays, and that he does not currently operate any MAX aircraft.