Delta Air Lines’ fourth-quarter earnings surpass estimates

Delta Air Lines’ fourth-quarter earnings surpass estimates

NEW YORK
Delta Air Lines’ fourth-quarter earnings surpass estimates

Delta Air Lines posted better-than-expected earnings for the fourth quarter of 2024, citing strong demand for travel that it expects will carry on into the new year.

In the October to December period, Delta reported operating revenue of $15.6 billion, alongside $843 million in net income.

"As we move into 2025, we expect strong demand for travel to continue, with consumers increasingly seeking the premium products and experiences that Delta provides," said chief executive Ed Bastian in a statement.

He told a conference call that "2025 is off to a great start, and we are on track to deliver the best financial year in our history."

"The U.S. consumer is financially healthy and continues to prioritize spending on experiences," he added.

The Atlanta-based company expects its revenue to rise by seven to 9 percent in the first quarter of this year.

In 2025, Delta anticipates free cash flow of more than $4 billion.

For all of 2024, Delta posted revenue of $61.6 billion and adjusted earnings per share of $6.16.

It also reported free cash flow of $3.4 billion.

But Delta's third-quarter results were adversely affected by a global computer outage in July that stranded thousands of travelers.

Other issues in the third quarter included the effects of Hurricane Helene in the United States.

Last year, Delta reinvested nearly $5 billion into the business and reduced its net debt by $3.6 billion to $18 billion.

It will also log $1.4 billion in profit sharing payments to staff next month.

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