Delta forecasts revenue growth in 2020, sending shares higher

Earnings

Delta Air Lines CEO Ed Bastian told CNBC on Thursday he expects the consumer to remain strong in the new year, and that’s why the carrier is raising its earnings guidance.

Speaking to CNBC’s Phil LeBeau from the company’s investor day in Atlanta, Bastian said Delta is targeting revenue growth of 4% to 6% in 2020 and $4 billion in free cash flow. The company expects per-share earnings of $6.75 to $7.75 for next year; higher than the $7.03 per-share estimate.

“That’s going to be our new baseline we measure going forward, that $4 billion in free cash flow,” Bastian said.

Shares of Delta were up about 2% in premarket trading on Thursday.

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