Earnings Alerts

Delta Air Lines (DAL) Earnings: 1Q Passenger Revenue Meets Estimates, Future Guidance Deferred Amid Economic Uncertainty

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  • Delta Air Lines‘ passenger revenue for the first quarter was $11.48 billion, matching the estimated figure of $11.48 billion.
  • The airline is not reaffirming its full-year 2025 financial guidance due to current economic uncertainties.
  • Delta anticipates non-fuel unit cost growth to align with their long-term target of low single-digit increases for the second quarter and throughout the year.
  • Due to economic conditions, the airline’s management believes it is too early to update the full-year financial outlook.
  • Despite the uncertainties, Delta is optimistic about achieving solid profitability and free cash flow in 2025, aided by strong market positioning, strategic initiatives, and reduced fuel prices.
  • The company projects that total revenue for the June quarter will range from a 2% decrease to a 2% increase compared to the previous year.
  • Resilience in premium, loyalty, and international sectors is expected to counterbalance weaknesses in domestic travel and the main cabin.
  • Market analyst consensus shows 21 buy ratings, 4 hold ratings, and no sell ratings for Delta Air Lines.

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Delta Air Lines on Smartkarma

Analyst coverage of Delta Air Lines on Smartkarma shows positive sentiment following the company’s strong performance in 2024. According to Baptista Research, Delta Air Lines reported a record pretax profit of $1.6 billion for the December quarter, surpassing their own guidance. The airline also achieved notable operational milestones, including the highest system completion factor and on-time performance compared to its peers. In addition, Delta’s operational excellence was recognized with the Cirium’s Platinum Award for the fourth consecutive year, solidifying its position in the industry.


A look at Delta Air Lines Smart Scores

FactorScoreMagnitude
Value3
Dividend3
Growth5
Resilience2
Momentum2
OVERALL SMART SCORE3.0

Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma

Delta Air Lines, Inc., a major air transportation company, has been assigned varying Smart Scores across different factors. Despite scoring moderately in areas such as Value and Dividend at 3, the company shines in Growth with a high score of 5. This indicates a positive long-term outlook for Delta Air Lines in terms of expanding its operations and market presence. However, the company faces challenges when it comes to Resilience and Momentum, scoring 2 in both categories. This suggests that Delta Air Lines may need to enhance its ability to withstand economic fluctuations and increase its pace of growth to secure a more stable position in the market.

Looking ahead, investors eyeing Delta Air Lines should take note of its strong Growth score, indicating potential for future development and expansion. While the company may currently face challenges in terms of Resilience and Momentum, focusing on strategies to bolster these areas could lead to improved performance and resilience in the long run. With a widespread network connecting passengers, freight, and mail both domestically and internationally, Delta Air Lines remains a key player in the air transportation industry, and its Growth score underscores its potential for long-term success.


Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
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