Delta Airlines announces highest quarterly results in its history

A Delta Air Lines A321neo climbs after takeoff.
MarcelX42, CC BY-SA 4.0, via Wikimedia Commons
Lewis Chesworth 5 Min Read
5 Min Read

Delta Airlines has released its financial results for the second quarter of 2023 ending at the end of June. The airline is pleased to announce that they have achieved the highest quarterly revenue and profitability in Delta’s history.

The results cover the financial successes during April, May and June 2023 and in addition, Delta has made its financial predictions for the third quarter of this year and for the full end of year results.

Delta’s CEO, Ed Bastian, came out and praised the hard work and success achieved by the airline this past quarter saying, “Thanks to the incredible work of our entire team, Delta is delivering for our customers by providing strong operational performance and best in class service during this busy summer period”.

He added, “With this performance, we generated record revenue and profitability in the June quarter. Our people are the best professionals in the industry, and I’m proud to recognise their achievements with $667million in the first half toward next year’s profit sharing payment”.

He then stated, “Consumer demand for air travel remains robust. Against this constructive backdrop, we are increasing our 2023 earnings guidance to $6 to $7 per share and reiterating our recently updated outlook for $3billion of free cash flow.


Results at a glance

Delta has achieved some pretty staggering figures for its second quarter results starting with a record operating revenue of $14.6billion, which is 19% higher than that earned in the same quarter in 2022.

The operating income stands at $2.5billion ending in June with a operating margin of 17.1%. Then there is the airline’s pre tax income which hit $2.2billion and a pre tax margin of 15.2%.

Delta’s operating cash flow resulted in an earning of $2.6billion, along with a free cash flow of $1.1billion.

Then moving to debts, the airline currently has a net debt of $19.8billion by the end of the quarter.

Lastly, Delta ended the second quarter with a earnings per share of $2.68.

September Quarter and Full Year outlook

In addition, to posting a highly successful second quarter, Delta also posted its predictions for Quarter 3 and its Full Year results.

For its total revenue earned Delta predicts an 11 to 14% increase on its Quarter 3 2022 results, which is a plausible prediction giving the peak summer season is only getting under way now.

The airline predicts its operating margin will be in the mid teens, similar to what it achieved for Quarter 2.

Lastly its earnings per share estimates are at $2.20 – $2.50 just below what it earned for Quarter 2.

Moving to Delta’s Full Year results outlook, the airline predicts its total revenue earnings for the year will be a massive 17 to 20% higher than that earned for the full year of 2022.

As for Operating Margin, the airline predicts it will be less than 12% and finally for Earning per share, Delta predicts as its CEO stated, will be at $6 – $7.

A successful first half of the year

Delta has come along way from losses and lows of the pandemic, now exceeding pre pandemic revenues and capacity for flying.

With a successful first half of 2023 under its belt, the airline is set to look forward to equally successful second half and similar full year results.

The airline is continuing to pay of its debts as well meaning only more money can be earned to solider them through into the years ahead.

Moving away from the financial side of operations, the airline continues to steam ahead with its environmental and carbon emission plans, proving to be a leader in the area including modernising its fleet for the years to come.

This has recently been shown with Delta’s recent firm up of 12 Airbus A220-300s and 1 Airbus A330-900neos, which are currently expected for delivery from 2027, just proving Delta’s incredible presence in the industry.

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