Delta Air Lines Inc. Reports Q1 2025 Financial Results
Delta Air Lines Inc. has announced its first-quarter financial results for the fiscal year 2025, revealing a 2% increase in total operating revenue, reaching $14 billion. Despite this growth, the company experienced a 7% decline in operating income, which stood at $569 million. Notably, diluted earnings per share (EPS) saw a dramatic 516% year-on-year increase, landing at $0.37 per share.
Looking Ahead: Q2 Expectations
For the upcoming second quarter, Delta anticipates revenue to fluctuate between a 2% decrease and a 2% increase. The operating margin is projected to range from 11% to 14%, with EPS expected between $1.70 and $2.30. The company has decided not to reaffirm its full-year 2025 financial guidance at this time, citing current economic uncertainties. An update will be provided later in the year as the situation becomes clearer.
CEO's Statement on Economic Challenges
"In the face of broad economic uncertainty and stalled global trade growth, Delta is taking proactive steps to navigate these challenges," stated CEO Ed Bastian. The airline is focusing on controllable factors such as reducing planned capacity growth to remain flat compared to last year, alongside actively managing costs and capital expenditures. These measures aim to protect margins and cash flow during this slower-growth period.
Following the announcement, Delta's shares rose by 3.12% in premarket trading, reflecting investor confidence in the company's strategic adjustments.
Comments