Delta Reports June Quarter Results

graphDelta Air Lines reported its financial results for the June 2012 quarter, including net income, excluding special items, of $586 million. Delta's June 2012 quarter GAAP net loss was $168 million. Delta's unit revenues were up 8.5 percent for the quarter.

"Delta's solid profit this quarter (excluding special items) is evidence that our business and industry are evolving and delivering meaningful improvements," said Richard Anderson, Delta's chief executive officer. "Moving forward, we expect to have strong profitability in the September quarter with a 10 - 12 percent operating margin as we continue to reap the benefits of investments we've made in our operation and customer experience. We have also taken important steps towards structural change on the cost side with initiatives like the domestic fleet restructuring and the refinery."

Delta said it's operating revenue grew $579 million, or 6 percent, on 1.3 percent lower capacity in the June 2012 quarter compared to the June 2011 quarter. Despite lower capacity, traffic increased 0.3 percent as load factor increased 1.4 points to 85.1 percent. Passenger revenue increased 7 percent, or $560 million, compared to the prior year period. Passenger unit revenue (PRASM) increased 8.5 percent, driven by a 6.8 percent improvement in yield. Other revenue increased 2 percent, or $21 million, from higher ancillary business revenue.

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