Delta Air Lines reported a $1.4 billion profit in its latest quarter.

Fuel expenses rose to a record level, the highest quarterly amount in the airline’s history.

Demand remained high, allowing the carrier to pass about 60 percent of the increased fuel costs to travelers through higher fares. CEO Ed Bastian told CNBC the airline intends to eventually pass the full cost increase to consumers. Despite a recent drop in oil prices, the company expects elevated airfares to continue.

The results highlight the airline’s ability to sustain pricing power while managing rising fuel expenses.