Delta cargo revenue decline continues, down 15% in Q12024
Delta’s cargo revenue was down 24% in Q42023 at $188 million, 2023 revenue was down 31% to $723 million
Photo Credit: Delta Air Lines
Delta Air Lines reported a 15 percent decline in cargo revenue at $178 million for the first quarter of 2024 compared to $209 million in Q12023.
There has been no respite for Delta’s cargo operations after reporting a 24 percent decline in Q42023 ($188 million compared to $248 million in Q42022 ) and YoY decline of 31 percent to $723 million in 2023 compared to $1.05 billion in 2022.
Total operating revenue increased eight percent to $13.7 billion for the first quarter of 2024, says an official release. Operating income came in at $614 million with an operating margin of 4.5 percent.
“Thanks to the extraordinary work of our 100,000 people, Delta is delivering the best operational reliability in our history, and we have widened the gap to our competitors," says Ed Bastian, Chief Executive Officer, Delta. "We were thrilled to recognise their efforts with $1.4 billion in profit sharing payouts during the quarter.
"For the March quarter, we delivered record revenue on outstanding operational performance, enabling strong earnings growth. We anticipate continued strong momentum for our business, and in the June quarter, we expect to deliver record revenue, a mid-teens operating margin and earnings of $2.20 to $2.50 per share. We remain confident in our full year targets for earnings of $6 to $7 per share and free cash flow of $3 to $4 billion."
Delta took delivery of seven new aircraft in the quarter, including the A321neo and A220-300, which are over 25 percent more fuel efficient than the aircraft they are replacing, the release added.
