United Closes the Gap on Delta

United Closes the Gap on Delta

Author: Skift October 18, 2024 Duration: 28:50
Presented by American Airlines In this week's episode Gordon Smith and Jay Shabat provide an early status update on Q3 earnings season. With Delta on the back foot after the CrowdStrike chaos and Olympic disruption, United is eyeing the top spot. The pair also discuss the latest financials from Virgin Australia and ask what could be next for the carrier. Key Takeaways: Upcoming Skift Aviation Forum  Hosts Gordon and Jay discuss the upcoming Skift Aviation Forum on November 12th in Dallas. The event will feature a star-studded lineup of airline executives, including CEOs from major carriers like American Airlines and Southwest. Visit live.skift.com for tickets and further information. Delta’s Q3 Earnings: Challenges and Setbacks  The conversation shifts to Delta's Q3 earnings, which were slightly weaker than expected, with a 9% operating margin. The airline was negatively impacted by a software issue with CrowdStrike, costing them about 2 percentage points in margin. Additionally, they lost around $100 million in potential revenue due to reduced travel to Paris during the Olympics. Domestic and International Trends for Delta  Jay explains other factors affecting Delta’s Q3 performance, including domestic overcapacity and softer international demand in regions like Korea and Taiwan. However, domestic conditions improved toward the end of the quarter, thanks to capacity cuts by rivals such as Southwest and JetBlue. Delta expects a strong Q4, driven by these adjustments and lower fuel prices. United Airlines and Q3 Competition  We preview United Airlines' Q3 results. Jay notes that United typically performs better in Q3 due to its business-heavy hubs and strong domestic capacity growth. United has increased its domestic seat capacity by 9% in Q4, with routes like Newark-San Francisco enjoying growth. Virgin Australia’s Latest Financials The podcast ends with a brief discussion about Virgin Australia, which recently made headlines after Qatar Airways acquired a 25% stake in the airline. This move has sparked industry interest as it could strengthen Virgin Australia's international partnerships and expand its market presence. Connect with Skift Airline Weekly LinkedIn: https://www.linkedin.com/company/airline-weekly/ X: https://x.com/Airline_Weekly/ Facebook: https://www.facebook.com/airlineweekly/ Instagram: https://www.instagram.com/skiftnews/ WhatsApp: https://whatsapp.com/channel/0029VaAL375LikgIXmNPYQ0L/ Subscribe to @SkiftNews and never miss an update from the travel industry.

Step inside the Airline Weekly Lounge, a podcast from Skift where the editors behind the industry publication gather for a deeper, more conversational look at the world of commercial flight. This isn't just a recap of headlines; it's a focused exploration of the complex forces shaping how airlines operate, compete, and ultimately survive. Each episode digs into the week's most intriguing developments, from fleet strategies and route networks to labor dynamics and the evolving culture of travel, always with a keen eye on the bottom line. The central, driving question remains: how do carriers actually turn a profit in this famously volatile business? You'll hear analysis that connects financial results to real-world operations, discussing everything from premium cabin innovations and loyalty program economics to airport politics and environmental pressures. The tone is informed and accessible, peeling back the layers on both major global network carriers and regional players. For anyone curious about the business realities behind their boarding pass, this podcast offers a regular dose of context and clarity, revealing the intricate balance of economics, service, and strategy that keeps the industry aloft. Join the editors in the lounge for a perspective that goes beyond the news cycle.
Author: Language: English Episodes: 100

Airline Weekly Lounge
Podcast Episodes
Inside the Minds of America's Airline CEOs [not-audio_url] [/not-audio_url]

Duration: 38:22
Gordon and Jay decode the most revealing CEO commentary from the Bernstein investor conference — what executives signaled about capacity, consolidation, and the months ahead. Then they look forward to the IATA AGM, one o…
 EasyJet's Tricky Quarter and Atlanta's Crown [not-audio_url] [/not-audio_url]

Duration: 45:24
A rough quarter for easyJet has the numbers telling a stark story. In part one, Gordon and Jay dig into a -27% operating margin and the missteps, market pressures, and industry dynamics behind it. In part two, they answe…
The Airline Europe Wrote Off — and Shouldn't Have [not-audio_url] [/not-audio_url]

Duration: 39:34
Gordon and Jay unpack how Iberia engineered one of the most dramatic financial turnarounds in modern airline history. Plus: Singapore Airlines posts a solid start to the year, but its Air India stake is shaping up to be…
The Profit Gap Splitting U.S. Airlines [not-audio_url] [/not-audio_url]

Duration: 27:00
Gordon sits down with Skift airlines reporter Meghna Maharishi to break down a revealing Q1 earnings season for U.S. carriers — separating the standouts from the strugglers. Plus: the latest merger chatter swirling aroun…
Spirit Airlines: The Post-Mortem [not-audio_url] [/not-audio_url]

Duration: 38:35
Spirit Airlines is the first major U.S. carrier to go out of business in more than two decades. In this special edition, Gordon is joined by Jay and Meghna to unpack what went wrong — from blocked mergers to shifting con…
What's Going Wrong at JetBlue? [not-audio_url] [/not-audio_url]

Duration: 33:03
Gordon and Jay open with JetBlue's latest quarterly results, unpacking what's behind the airline's struggles and what it might take to get back on course. Then they turn to Norwegian, where a strong set of numbers tells…
Will Washington Save Spirit Airlines? [not-audio_url] [/not-audio_url]

Duration: 35:08
Could the U.S. Government shore up Spirit Airlines? Gordon and Jay break down the latest industry chatter about the troubled carrier's future, including fresh commentary from President Trump. Then they shift gears to unp…
Could United Really Merge with American Airlines? [not-audio_url] [/not-audio_url]

Duration: 27:38
Will two of America's biggest airlines become one? Gordon and Jay dig into whether a United-American mega-merger is actually on the table and ask what further consolidation would mean for the industry. Plus: Qantas cuts…
Delta Confronts the Oil Price Crisis [not-audio_url] [/not-audio_url]

Duration: 41:43
Delta’s latest results are in and the fuel price challenge is front and center. Gordon, Jay, and Meghna dive into what the numbers say about the airline’s strategy and resilience. In part two, the conversation turns to S…
Who Will Lead IATA Next? [not-audio_url] [/not-audio_url]

Duration: 40:56
Gordon and Jay unpack major leadership moves shaping the industry, from Willie Walsh’s shift to IndiGo to Michael Rousseau’s departure from Air Canada. Later, they dive into fuel prices and what’s ahead for Alaska Airlin…