Delta Air Lines (DAL) investor relations material

Executive summary

• Record September quarter revenue reached $16.7 billion (GAAP), up 6% year-over-year, driven by premium, corporate, and loyalty segments, with adjusted revenue at $15.2 billion, up 4.1%.

• Operating income for Q3 was $1.7 billion, with an 11.2% margin; net income was $1.42 billion, and adjusted EPS was $1.71.

• Free cash flow for the quarter was $833 million, with $1.8 billion in operating cash flow and $1.1 billion in capital expenditures.

• Liquidity at quarter end was $6.9 billion, with $3.1 billion undrawn under revolving credit facilities.

• Operational reliability led the industry, with nearly $1 billion accrued for employee profit sharing and continued investment in fleet and network expansion.

Financial highlights

• Total operating revenue for Q3 was $16.7 billion, up 6% year-over-year; nine-month revenue was $47.4 billion, up 3%.

• Premium revenue grew 9%, loyalty revenue 9%, and corporate sales rose 8% year-over-year.

• Non-fuel unit cost growth was flat year-over-year for the quarter and under 2% year-to-date; non-fuel CASM was 13.35¢, up 0.3%.

• Debt paydown of nearly $2 billion year-to-date; gross leverage at 2.4x.

• Operating expense increased 5% year-over-year, mainly due to higher capacity, employee costs, and refinery sales.

Outlook and guidance

• December quarter operating margin expected between 10.5% and 12%, with adjusted EPS of $1.60 to $1.90.

• Full-year 2025 adjusted EPS expected to be approximately $6, at the upper half of prior guidance.

• Free cash flow guidance updated to $3.5–$4 billion for the year.

• December quarter revenue expected to grow 2–4% year-over-year, with positive unit revenue.

• Expectation of increased fuel consumption for the remainder of 2025, aligned with higher capacity and improved fuel efficiency.