Delta Air Lines has reported a strong financial performance for the December quarter and full year 2025, capping its centennial year with solid profitability and record cash generation, while projecting robust earnings growth in 2026.
The airline posted operating revenue of $16 billion in the December quarter, generating operating and pre-tax income of $1.5 billion, with margins of about 9 percent. Earnings per share for the quarter stood at $1.86, while operating cash flow reached $2.3 billion.
For the full year 2025, Delta recorded operating revenue of $63.4 billion, operating income of $5.8 billion and pre-tax income of $6.2 billion, translating to a pre-tax margin of 9.8 percent. Earnings per share came in at $7.66, with operating cash flow of $8.3 billion. The airline paid down $4.8 billion in debt and finance lease obligations during the year, ending 2025 with total debt of $14.1 billion.
Delta Chief Executive Officer Ed Bastian said the results underscored the resilience and differentiation the airline has built, noting that the company generated $5 billion in pre-tax profit and record free cash flow of $4.6 billion despite a challenging operating environment. He added that Delta plans to distribute $1.3 billion in profit sharing to employees in recognition of their contribution.
Looking ahead, Delta said 2026 has started strongly, supported by accelerating consumer and corporate demand. The airline expects full-year earnings to grow by about 20 percent year-on-year, alongside margin expansion. For the March quarter, revenue is projected to rise between 5 percent and 7 percent compared to the same period last year, outpacing capacity growth.
Delta also said non-fuel unit cost growth for the March quarter and full year 2026 is expected to remain within low single digits, consistent with its long-term financial framework. To provide clearer insight into underlying airline costs, the company has separated its rapidly growing third-party maintenance, repair and overhaul business from its non-fuel unit cost metric.
President of Delta, Glen Hauenstein, said the airline generated record revenue of $58.3 billion in 2025 while maintaining a significant unit revenue premium over the rest of the industry. He noted that high-margin, diversified revenue streams now account for 60 percent of total revenue, driven by strong demand for premium products and the strength of Delta’s brand and commercial strategy.
In 2025, premium revenue rose 7 percent, cargo revenue increased 9 percent and maintenance, repair and overhaul revenue surged 25 percent. Loyalty revenue also improved by 6 percent, while American Express remuneration grew 11 percent to $8.2 billion, reflecting strong co-brand credit card spend and continued card acquisition momentum.
International operations showed marked improvement, particularly across transatlantic and Pacific routes, contributing to one of Delta’s top three years for international profitability. Corporate travel demand also strengthened, with corporate sales rising at a high-single-digit pace in the December quarter across all sectors. Delta said recent surveys indicate that nearly 90 percent of corporate customers expect their travel volumes to increase or remain stable in 2026.
