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The Markets
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The Markets
by Proactive
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The Markets
by Proactive
Proactive UK has moved.
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Aerospace

Delta Air Lines flies to record revenues but investors still disappointed

Delta Air Lines Inc (NYSE:DAL) shares are set to fall 9% after it reported record second-quarter revenue but a fall in profit.

For the three months to June 30, adjusted earnings per share touched down at $2.36, down 12% year-on-year but in line with Wall Street expectations, per LSEG.

Adjusted revenue of $15.41 billion was reported, up 5.4% from a year ago, but slightly short of the $15.45 billion expected.

CEO Ed Bastian said: "For the September quarter, we expect a double-digit operating margin and a pre-tax profit of approximately $1.5 billion. With strong first half results and visibility into the second half, we remain confident in our full-year guidance."

He reiterated its full-year adjusted earnings forecast of between $6 and $7 a share.

In May, Delta shares topped $53 for the first time since the pandemic, but have flown lower since, with analysts saying that sentiment has been skittish due to worries about domestic capacity, promotional activity and negative guidance revisions from rivals American and Southwest Airlines.

In pre-market trading on Thursday they were down $4.26 dollars at $42.60.

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