Delta Air Lines earmarks $1.4 profit sharing, $13.7b operating revenue in Q1 2024

…Announces March quarter 2024 financial results

 

Delta Air Lines has reported financial results for the March quarter and provided its outlook for June.

Highlights of the March quarter, including both GAAP and adjusted metrics, are on page five and incorporated here

“Thanks to the extraordinary work of our 100,000 people, Delta is delivering the best operational reliability in our history, and we have widened the gap to our competitors. We were thrilled to recognize their efforts with $1.4 billion in profit-sharing payouts during the quarter,” said Ed Bastian, Delta’s Chief Executive Officer.

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“For the March quarter, we delivered record revenue on outstanding operational performance, enabling strong earnings growth. We anticipate continued strong momentum for our business, and in the June quarter, we expect to deliver record revenue, a mid-teens operating margin and earnings of $2.20 to $2.50 per share. We remain confident in our full-year targets for $6 to $7 per share and free cash flow of $3 to $4 billion.”

MARCH QUARTER 2024 GAAP FINANCIAL RESULTS

  • Operating revenue of $13.7 billion
  • Operating income of $614 million with an operating margin of 4.5 per cent
  • Pre-tax income of $122 million with a pre-tax margin of 0.9 per cent
  • Earnings per share of $0.06
  • Operating cash flow of $2.4 billion
  • Payments on debt and finance lease obligations of $712 million
  • Total debt and finance lease obligations of $19.4 billion at quarter-end
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MARCH QUARTER 2024 ADJUSTED FINANCIAL RESULTS

  • Operating revenue of $12.6 billion, 6 percent higher than the March quarter 2023
  • Operating income of $640 million with an operating margin of 5.1 per cent
  • Pre-tax income of $380 million with a pre-tax margin of 3.0 per cent
  • Earnings per share of $0.45
  • Operating cash flow of $2.5 billion
  • Free cash flow of $1.4 billion
  • Adjusted debt to EBITDAR of 2.9x, down from 3.0x at the end of 2023
  • Return on invested capital of 13.8 per cent on a trailing five-quarter average, up 2.8 points over the prior year.
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Wole Shadare