Travelers Are Buying Into Delta's 'Premium' Push—And the Airline's Stock Is Rising

Stock Performance - Delta's shares surged 10% in recent trading, making it one of the biggest gainers in the S&P 500 on a day when the index was down 1.5% [1] Profit Sharing - Delta announced a "Profit Sharing Day" on February 14, where eligible employees will receive an estimated payout of 10% of their eligible earnings, equivalent to an average of five weeks of additional pay [2][3] - The cumulative payout for employees is estimated at $1.4 billion as their share of Delta's 2024 profits [2] - Over the past 10 years, Delta has distributed more than$1 billion in profit sharing to its employees [3] Financial Performance - Delta reported record fourth-quarter revenue and operating profit, driven by increased customer preference for premium seating [4][5] - Main cabin ticket sales rose 2% year-over-year in Q4, while "premium products" ticket revenue surged 8% [5] - For the full year, main cabin sales remained flat at just under $25 billion, while premium revenue increased 8$20.6 billion [5] Market Positioning - Delta positions itself as the "premium" U S airline, a message emphasized 11 times in its report [5] - The company's CEO, Ed Bastian, noted that consumers are increasingly seeking the premium products and experiences that Delta provides [5]