Delta Air Lines Announces June 2024 Quarterly Financial Results

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

• Industry-leading operational performance, sustaining trusted brand and customer loyalty
• Record revenue in June quarter with 15% operating margin and strong cash generation
• Continued debt repayment, balance sheet evolution towards investment grade metrics
• Announced a 50 percent increase in dividend payments from the September quarter
• Reiterating annual guidance for $6-$7 billion EPS and $3-$4 billion free cash flow

Delta Air Lines (NYSE: DAL) today reported financial results for the June quarter and provided its outlook for the September quarter. Highlights for the June quarter, including GAAP and adjusted metrics, are on page five of the full release and are incorporated here.

“Thanks to the incredible work of our 100,000 employees, Delta is delivering industry-leading operational performance and best-in-class service to our customers. We delivered record revenue in the June quarter and pretax profit of $2 billion with a 15 percent operating margin. Our people are the best in the industry, and we are pleased to recognize their efforts with more than $640 million accrued in the first half of the year for profit sharing next year,” said Ed Bastian, Delta’s CEO.

“For the September quarter, we expect double-digit operating margin and pre-tax profit of approximately $1.5 billion. With strong first-half results and visibility into the second half, we remain confident in our full-year guidance.”

June 2024 Quarterly GAAP Financial Results

• Operating revenue of US$16.7 billion
• Operating profit of $2.3 billion with operating margin of 13.6 percent
• Pre-tax profit of $1.8 billion with a pre-tax margin of 10.6 percent
• Earnings per share of $2.01
• Operating cash flow of $2.5 billion
• Payments of debt and finance lease obligations of US$1.4 billion
• Total debt and finance lease obligations of $18.0 billion at quarter-end

Adjusted financial results for the June quarter of 2024

• Operating revenue of $15.4 billion, up 5.4% from the June 2023 quarter
• Operating profit of $2.3 billion with operating margin of 14.7 percent
• Pre-tax profit of $2.0 billion with a pre-tax margin of 13.0 percent
• Earnings per share of $2.36
• Operating cash flow of $2.5 billion
• Free cash flow of $1.3 billion
• Adjusted debt to EBITDAR of 2.8x, down from 3.0x at the end of 2023
• Return on invested capital of 13.1 percent

Read the full statement at PR News or via download.

Forward-looking statements

Statements made in this press release that are not historical facts, including statements regarding our estimates, expectations, beliefs, intentions, projections, goals, aspirations, commitments or strategies for the future, should be considered “forward-looking statements” under the Securities Act of 1933, as amended, the Securities Exchange Act of 1934, as amended, and the Private Securities Litigation Reform Act of 1995. Such statements are not guarantees or promised results and should not be construed as such. All forward-looking statements involve a number of risks and uncertainties that could cause actual results to differ materially from the estimates, expectations, beliefs, intentions, projections, goals, aspirations, commitments and strategies reflected in or suggested by the forward-looking statements. These risks and uncertainties include, but are not limited to, the possible effects of serious accidents involving our aircraft or the aircraft of our airline partners; breaches or lapses in the security of the technology systems we use and rely on, which could compromise the data stored on them, as well as the failure to comply with evolving global privacy and security regulatory obligations or adequately address increasing customer focus on data privacy and security issues; disruptions to our information technology infrastructure; our dependence on technology in our operations; increases in the cost of aircraft fuel; prolonged interruptions in the supply of aircraft fuel, including from Monroe Energy, LLC (“Monroe”), a wholly owned subsidiary of Delta that operates the Trainer refinery; failure to receive expected results or returns from our business relationships with airlines in other parts of the world and the investments we have in some of those airlines; the effects of a significant disruption in the operations or performance of third parties on whom we depend; failure to comply with financial and other covenants in our financing arrangements; labor issues; the effects on our business of seasonality and other factors beyond our control, such as changes in the value of our equity investments, severe weather, natural disasters or other environmental events, including the impact of climate change; failure or inability of insurance to cover a significant liability at the Monroe refinery; failure to comply with existing and future environmental regulations to which the Monroe refinery operations are subject, including costs related to compliance with renewable fuel standards regulations; significant harm to our reputation and brand, including exposure to significant adverse publicity or failure to achieve certain sustainability goals; our ability to retain senior management and other key employees and maintain our corporate culture; disease outbreaks, such as the COVID-19 pandemic or similar public health threats, and measures implemented to combat them; the effects of terrorist attacks, geopolitical conflicts or security events; competitive conditions in the airline industry; disruptions or prolonged interruptions in service at major airports where we operate or significant problems associated with the types of aircraft or engines we operate; the effects of extensive government regulation to which we are subject; the impact of environmental regulation, including but not limited to regulation of hazardous substances, increased regulation to reduce emissions and other risks associated with climate change, and the cost of complying with more stringent environmental regulations; and unfavorable economic or political conditions in the markets in which we operate or volatility in exchange rates.

Additional information about risks and uncertainties that could cause actual results to differ from these forward-looking statements is contained in our filings with the Securities and Exchange Commission, including our Annual Report on Form 10-K for the fiscal year ended December 31, 2023. Caution should be exercised not to place undue reliance on our forward-looking statements, which represent our views only as of the date of this press release and which we undertake no obligation to update, except to the extent required by law.

© 2024 Delta Air Lines, Inc.

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