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Mar 31

Delta Q1 2025 Earnings Report

Delta reported steady profitability and record revenue performance in the March quarter of 2025.

Key Takeaways

Delta Air Lines delivered solid financial results in Q1 2025, achieving strong revenue growth driven by premium and international segments, while maintaining profitability despite macroeconomic uncertainties.

Achieved adjusted EPS of $0.46 with net income of $240 million.

Adjusted operating revenue rose to $12.978 billion, a 3.3% increase YoY.

Premium ticket revenue grew 7% YoY, while international revenue saw strong performance, especially in the Pacific region (+16%).

Amex remuneration hit a record $2.0 billion, up 13% YoY, highlighting strong loyalty engagement.

Total Revenue
$14B
Previous year: $13.7B
+2.1%
EPS
$0.46
Previous year: $0.45
+2.2%
Fuel Price Per Gallon
$2.47
Previous year: $2.79
-11.5%
Adjusted Fuel Expense
$2.39B
Previous year: $2.57B
-7.1%
Non-Fuel CASM
$0.144
Previous year: $0.141
+2.6%
Cash and Equivalents
$3.71B
Previous year: $4.59B
-19.2%
Free Cash Flow
$1.28B
Previous year: $1.4B
-8.6%
Total Assets
$77.3B
Previous year: $75B
+3.2%

Delta

Delta

Delta Revenue by Segment

Delta Revenue by Geographic Location

Forward Guidance

Delta guided to a strong Q2 2025 with expected operating margin between 11–14% and EPS between $1.70–$2.30, but did not reaffirm full-year guidance due to economic uncertainty.

Positive Outlook

  • Projected Q2 EPS of $1.70 to $2.30.
  • Expected Q2 operating margin between 11% and 14%.
  • Strong performance from premium, loyalty, and international segments.
  • Cost management and flat capacity growth to protect margins.
  • Fuel prices down 11% YoY, supporting profitability.

Challenges Ahead

  • Domestic and main cabin softness continues.
  • Corporate travel growth stalled in February and March.
  • TRASM declined 1.0% YoY.
  • Full-year 2025 guidance withdrawn due to economic uncertainty.
  • Non-fuel CASM increased 2.6% YoY.