Today, Delta Air Lines reported its 2024 earnings results, stating that it expects 2025 to be the most profitable year in its 100-year history. Delta’s stock rose 4% in premarket trading, following the earnings release.
Delta’s 2024 fiscal year financial highlights included:
· Record December quarter revenue and operating profit
· Record full-year 2024 revenue, $5 billion of pre-tax income, $8 billion of operating cash flow, and $3.4 billion of free cash flow.
· Guiding to 2025 earnings of greater than $7.35 per share and free cash flow of greater than $4 billion
Today, Ed Bastian, Delta’s CEO, told investors, “2024 was a great year for Delta with our results reflecting differentiation from the industry and increased durability… 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. Our differentiated strategy and best-in-class operations, combined with demand strength and an increasingly constructive industry backdrop, position us to deliver the best financial year in Delta’s 100-year history, with pre-tax income greater than $6 billion, earnings per share greater than $7.35 and free cash flow of more than $4 billion.”
“Delta delivered the most profitable December quarter in our history with pre-tax income of $1.6 billion, up $500 million over prior year,” Dan Janki, Delta’s COO stated. “In 2025, we expect to grow free cash flow to over $4 billion, supporting meaningful debt repayment and further leverage improvement to 2x or less as we progress towards our long-term gross leverage target of 1x.”
In 2024, the U.S. airline market saw a significant reduction in available seats, leading to increased ticket prices and contributing to higher profits for the company and the industry as a whole.
By CEO NA Editorial Staff
