Delta Air Lines announces March quarter 2022 financial results

posted on 13th April 2022 by Eddie Saunders

Delta Air Lines reported financial results Wednesday for the March quarter 2022 and provided its outlook for the June quarter 2022.

“With a strong rebound in demand as omicron faded, we returned to profitability in the month of March, producing a solid adjusted operating margin of almost 10%,” said Ed Bastian, Delta’s Chief Executive Officer.

“As our brand preference and demand momentum grow, we are successfully recapturing higher fuel prices, driving our outlook for a 12% to 14% adjusted operating margin and strong free cash flow in the June quarter.

“I would like to thank the Delta people, who once again enabled our best-in-class operational performance, provided an unmatched customer experience and continue to power our industry leadership each and every day.”

March Quarter 2022 Financial Results

  • Adjusted operating loss of $793 million excludes a net gain of $9 million.
  • Pre-tax loss of $1.2 billion with adjusted pre-tax loss of $1.0 billion, excluding a net expense of $164 million.
  • Adjusted operating revenue of $8.2 billion, which excludes third-party refinery sales, was 79% recovered versus March quarter 2019 on capacity that was 83% restored.
  • Total operating expense of $10.1 billion increased $679 million compared to the March quarter 2019.
  • Adjusted for costs primarily from third-party refinery sales, total operating expense of $9.0 billion decreased $400 million or 4% in the March quarter 2022 versus the comparable 2019 period.
  • Generated $1.8 billion of operating cash flow and $197 million of free cash flow, after investing $1.6 billion into the business, primarily related to aircraft purchases and modifications.
  • At the end of the March quarter, the company had $12.8 billion in liquidity, including cash and cash equivalents, short-term investments and undrawn revolving credit facilities.