If investors were questioning whether airline stocks could keep rallying, Delta Air Lines has provided an emphatic answer. The carrier’s fourth-quarter earnings and positive outlook for 2025 gave the sector’s stocks permission to take off again early Friday.

Delta reported earnings Friday, perhaps providing an indication that airlines could be entering a strong earnings period.

Delta Air Lines expects a strong appetite for high-end travel to fuel profit in 2025, said Chief Executive Ed Bastian. The forecast comes as the airline posted better-than-expected revenue growth in the latest quarter as demand picked up.