Delta sees no hint of a slowdown in demand from US leisure and business travellers, the Atlanta-based carrier said on Thursday, as it reported better than expected Q3 earnings coupled with rising costs. Net income for the three months to September 30, adjusted for swings in the value of Delta’s stakes in international airlines, rose 21.5% to $1.51b, lifting adjusted earnings per share 29% to $2.32. That was 6 cents above the consensus of analysts’ forecasts but Delta’s shares fell 3.8% to $51.85 in morning trading as investors reacted to news that it expected costs per available seat mile, excluding fuel, to rise another 4-5% in Q4 as it steps up hiring to meet rising demand. “We see growth in demand for air travel, and particularly for Delta, like nothing we’ve seen in a very long time,” said CE Ed Bastian. Revenues, excluding fuel sales from a refinery it owns, rose 6.5% to a new quarterly record, while Delta added 2.5 points to its operating margin. Investors are scanning the Q3 US earnings season for signs of economic slowdown, but Bastian pointed to a 7.8% increase in domestic revenues in the quarter and strong bookings for the upcoming holiday season. “The US consumer continues to be very healthy,” he said. “The business customer is confident in the US,” Bastian added, pointing to even stronger growth in corporate revenues, up 8%. Premium revenues rose 11%, reflecting Delta’s efforts to narrow the price gap between its premium-priced seats and those in the main cabin as well as allowing customers to use air miles to upgrade. Bastian said Delta had taken share from its domestic rivals in the period, but attributed little of its growth to its advantage in not having the Boeing 737 Max in its fleet.<br/>