U.S. airlines are optimistic heading into spring, with many reporting stronger-than-expected travel demand.
That's good news for an industry that continues to be plagued by inflated jet fuel prices amid the Iran war.
According to Reuters, airline stocks rose in morning trading on Tuesday after at least one major carrier, Delta Air Lines, reported that consumer and corporate demand accelerated into March.
Delta subsequently raised its first-quarter revenue forecast while maintaining its earnings outlook, with CEO Ed Bastian telling a J.P. Morgan industrial conference: "The story for us in this quarter is about revenue demand and the health of the demand set."
More specifically, Delta confirmed that sales over the past week rose roughly 25 percent from a year earlier and it experienced eight of the 10 highest sales days in its history this quarter. That figure includes five in March.
Additionally, American Airlines told investors on Tuesday that its first-quarter revenue is now expected to rise more than 10 percent, which is above its previous forecast of 7 to 10 percent, due to stronger-than-expected demand.
JetBlue also noted robust demand for travel heading into the spring season, which bodes well for the aviation industry with jet fuel prices having climbed by more than 50 percent since U.S. and Israel began strikes on Iran late last month.
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