Delta Airlines Airbus A330neo or A330-900 aircraft with the option of the new engine from the European aircraft manufacturer, as seen departing from Amsterdam Schiphol AMS EHAM International Airport.
Nicholas Economou Norfoto | Getty Images
Delta AirlinesFourth-quarter earnings beat analysts’ expectations, and its revenue grew higher than it was three years ago, the latest signs of consumers’ willingness to fly.
The airline made $13.44 billion in the last three months of 2022, surpassing the $11.44 billion in sales it generated three years earlier. Higher costs eroded some of Delta’s profits, but its net income still came in at $828 million, down from $1.1 billion in the same three-month period in 2019.
Delta CEO Ed Bastian said in a press release that the company “rose to the challenges of 2022, delivering industry-leading operational reliability and financial performance.”
Here’s how Delta performed in the fourth quarter, compared to Wall Street’s expectations based on Refinitiv consensus estimates:
- Adjusted earnings per share: $1.48 vs. expected $1.33.
- Adjusted revenue: $12.29 billion, excluding refinery sales, vs. $12.23 billion expected.
Airlines were largely upbeat about the latest quarter, despite concerns about a recession and weakness from some retailers and other businesses. Thursday, American Airlines It raised revenue and profit forecasts for the period, which led to a widespread rally in the sector.
That was even after severe winter weather disrupted flights coast-to-coast over the year-end holidays, prompting mass cancellations. Southwest Airlines In particular, she struggled to recover and said her collapse could cost her more than $800 million. America Southwest reports on January 3. 26.
Delta expects to earn 15 cents to 40 cents per share on an adjusted basis in the first quarter of 2023 and increase sales 14% to 17% over the same quarter in 2019. It expects full-year 2023 earnings of $5 to $6. Period.
Delta shares fell more than 4% in pre-market trading.
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