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Aerospace

Delta on upward trajectory ahead of 1Q results as travel industry rebounds

Delta is on track to return to its pre-COVID performance soon, with the airline due to report its 1Q 2023 results before the opening bell on April 13.

As the travel industry recovers post-pandemic, the airline is expected to post a significant improvement year-over-year on both the top and bottom lines during the period, having achieved an adjusted net loss per share of $1.23 and total revenue of $9.3 billion during 1Q 2022.

The consensus analyst expectation for 1Q 2023 is earnings per share of $0.32 and revenue of about $12 billion.

In a statement accompanying its fourth quarter 2022 results, Delta forecast 1Q 2023 revenue up 14% to 17% when compared to 2019 on demand which is 1% lower.

It also forecast adjusted earnings per share between $0.15 and $0.40.

Regarding costs, Delta expects its non-fuel unit costs to increase 3% to 4% year-over-year in 2023, including a full quarter impact from labor cost increases and finalizing the rebuilding of its network ahead of the peak summer period.

Contact the author at emily.jarvie@proactiveinvestors.com

Follow her on Twitter @emilyjjarvie

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