Boston, MA 08/13/2014 (wallstreetpr) – Delta Air Lines, Inc. (NYSE:DAL) announced its financial results a few days back and not only it recovered its previous losses, but also got excellent feedback. It easily surpassed Zacks Consensus Estimate on both the platforms i.e. domestic revenues and international revenues. As a result of its eye-popping market performance, it has received 2nd rank in Consensus Estimate ratings with a buy recommendation.
What Went Right For Delta Airlines:
The company remained committed to improving its operational performance over the past twelve months. It paid extensive attention to balanced capital deployment and performing various tasks to increase shareholder returns. On the basis of steps taken by the company over the past few months, market experts are hoping a great show by company this year.
Delta Air Lines, Inc. (NYSE:DAL) entered into a joint venture deal with Virgin Atlantic that got an excellent response from customers. The company now covers more than 30% industry capacity in trans-Atlantic route. The company has provided some of the very excellent offers and incentives to consumers that have worked for it. On the basis of positive response that it has received, it expects trans-Atlantic capacity growth of 3% and revenues growth rate of 5-6% in the near future.
What Next:
If everything goes fine, then company will be able to improve its unit revenues by 2-4% capacity expansion and touch 15-17% mark by the end of the third quarter. Long term objective of Delta Air Lines, Inc. (NYSE:DAL) is to generate operating margin of 11-14%, free cash flow of $3 billion, EPS growth of EPS growth, and ROI (return on investment) of 15%.
The company wants to take the servicing standards on the next level; hence, it is planning to invest another $2.0-$3.0 per year to enhance amenities, fleet structure, technological base and products. The Delta Air Lines, Inc. (NYSE:DAL) has improved the standard of its economic seating and further planning to improve it more in coming days.
