Delta Air Lines puts trans-Atlantic worries to rest as it posts strong 2Q2014 results

Delta Air Lines recorded strong results in 2Q2014, delivering its fourth consecutive quarter of unit cost growth below 2% while posting a 17% improvement in its quarterly profits.

Delta's overall robust financial performance was driven by gains in its domestic and corporate markets. Despite some concern about overcapacity in the trans-Atlantic during the summer high season, Delta expects solid revenue growth on those routes, and is working with its joint venture partners to reduce capacity in the upcoming winter season to ensure a rational supply-demand balance.

As Delta believes its favourable cost performance will continue and domestic demand remain solid, the airline projects another favourable financial performance in 3Q2014, setting the stage for Delta to deliver on its stated goals of an annual 11% to 15% operating margin and a return on invested capital of more than 15%