Delta's Financial Performance in Q1 2025

Delta Air Lines Inc. revealed a 2% increase in total operating revenue for the first quarter of fiscal year 2025, reaching $14 billion. However, operating income saw a 7% decline, settling at $569 million. Notably, diluted earnings per share (EPS) experienced a dramatic 516% year-on-year surge to $0.37 per share.

Outlook for Q2 and Beyond

Looking ahead to the second quarter, Delta anticipates revenue to fluctuate between a 2% decrease and a 2% increase. The operating margin is projected to be between 11% and 14%, with EPS expected to range from $1.70 to $2.30. The company has chosen not to reaffirm its full-year 2025 financial guidance due to current uncertainties, promising updates as the year progresses.

CEO's Strategic Response

CEO Ed Bastian addressed the challenges posed by the sluggish global trade environment, emphasizing Delta's focus on controllable factors. Strategies include curtailing planned capacity growth to maintain parity with the previous year and stringent management of costs and capital expenditures. This prudent approach contributed to a 3.12% rise in Delta's shares during premarket trading.