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Delta Air Lines (DAL) Tops Q4 EPS Expectations; Offers Q1 Performance Outlook

January 20, 2015 7:31 AM EST

Delta Air Lines (NYSE: DAL) reported Q4 EPS of $0.78, compared with the analyst estimate of $0.77. Revenue for the quarter came in at $9.65 billion versus the consensus estimate of $9.57 billion.

  • Passenger revenue increased 4.6 percent, or $361 million, compared to the prior year period. Passenger unit revenue (PRASM) increased 0.8 percent year over year with a 0.6 percent improvement in yield.
  • Cargo revenue increased 2.1 percent, or $5 million, driven by increases in both freight volumes and yields.
  • Other revenue increased 21.3 percent, or $205 million, driven by SkyMiles revenues, third-party refinery sales, and joint venture settlements.

March 2015 Quarter Guidance Following are Delta's projections for the March 2015 quarter:

1Q15 Forecast

Operating margin

11% - 13%

Fuel price, including taxes, settled hedges and refinery impact

$2.45 - $2.50

Consolidated unit costs – excluding fuel expense and profit sharing (compared to 1Q14)

Up 0 – 2%

System capacity (compared to 1Q14)

Up ~5%

System capacity – excluding impact of 2014 winter storms (compared to 1Q14)

Up ~3%

For earnings history and earnings-related data on Delta Air Lines (DAL) click here.



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