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Delta Air Lines, Inc. (DAL - Free Report) reported first-quarter 2019 adjusted earnings per share (excluding 13 cents from non-recurring items) of 96 cents, beating the Zacks Consensus Estimate of 90 cents. Earnings also increased on a year-over-year basis.
How Was the Estimate Revision Trend?
Investors should note that the earnings estimate revisions for Delta depicted a healthy picture prior to the earnings release. The stock had seen the Zacks Consensus Estimate for first-quarter earnings being revised 3.6% over the last 60 days.
Moreover, the company has an impressive earnings history having outperformed the Zacks Consensus Estimate in each of the last four quarters with an average beat of 2.5%.
Delta recorded operating revenues of $10.47 billion, which beat the Zacks Consensus Estimate of $10.38 billion. Moreover, it compared favourably with the year-ago number.
Key Stats to Note: The airline behemoth witnessed a 0.6% rise in consolidated passenger revenue per available seat mile (PRASM: a key measure of unit revenue) in the quarter.
For the second quarter of 2019, the carrier expects earnings per share between $2.05 and $2.35. The carrier anticipates pre-tax margin in the range of 14%-16% in the quarter. The estimated fuel price, including taxes, settled hedges and refinery impact, is expected in the range of $2.10 - $2.20 per gallon for the second quarter. Total unit revenue, excluding refinery sales, is anticipated to increase in the 1.5-3.5% range in the second quarter. System capacity is expected to be up approximately 4-4.5% on a year over year basis. Cost per Available Seat Mile, excluding fuel and profit sharing, is expected to rise 1-2% in the second quarter.
Stock Price: The earnings and revenues beat pleased investors. Consequently, shares of the company were up in pre-market trading at the time of writing.
Check back later for our full write up on this Delta Air Lines earnings report later!
Zacks' Top 10 Stocks for 2019
In addition to the stocks discussed above, would you like to know about our 10 finest buy-and-holds for the year?
Who wouldn't? Our annual Top 10s have beaten the market with amazing regularity. In 2018, while the market dropped -5.2%, the portfolio scored well into double-digits overall with individual stocks rising as high as +61.5%. And from 2012-2017, while the market boomed +126.3, Zacks' Top 10s reached an even more sensational +181.9%.
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Delta Air Lines (DAL) Beats on Q1 Earnings
Delta Air Lines, Inc. (DAL - Free Report) reported first-quarter 2019 adjusted earnings per share (excluding 13 cents from non-recurring items) of 96 cents, beating the Zacks Consensus Estimate of 90 cents. Earnings also increased on a year-over-year basis.
How Was the Estimate Revision Trend?
Investors should note that the earnings estimate revisions for Delta depicted a healthy picture prior to the earnings release. The stock had seen the Zacks Consensus Estimate for first-quarter earnings being revised 3.6% over the last 60 days.
Moreover, the company has an impressive earnings history having outperformed the Zacks Consensus Estimate in each of the last four quarters with an average beat of 2.5%.
Delta Air Lines, Inc. Price and EPS Surprise
Delta Air Lines, Inc. Price and EPS Surprise | Delta Air Lines, Inc. Quote
Revenues Higher Than Expected
Delta recorded operating revenues of $10.47 billion, which beat the Zacks Consensus Estimate of $10.38 billion. Moreover, it compared favourably with the year-ago number.
Key Stats to Note: The airline behemoth witnessed a 0.6% rise in consolidated passenger revenue per available seat mile (PRASM: a key measure of unit revenue) in the quarter.
For the second quarter of 2019, the carrier expects earnings per share between $2.05 and $2.35. The carrier anticipates pre-tax margin in the range of 14%-16% in the quarter. The estimated fuel price, including taxes, settled hedges and refinery impact, is expected in the range of $2.10 - $2.20 per gallon for the second quarter. Total unit revenue, excluding refinery sales, is anticipated to increase in the 1.5-3.5% range in the second quarter. System capacity is expected to be up approximately 4-4.5% on a year over year basis. Cost per Available Seat Mile, excluding fuel and profit sharing, is expected to rise 1-2% in the second quarter.
Zacks Rank: Currently, Delta Air Lines has a Zacks Rank #3 (Hold) but that could change following the company’s earnings report which was just released. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Stock Price: The earnings and revenues beat pleased investors. Consequently, shares of the company were up in pre-market trading at the time of writing.
Check back later for our full write up on this Delta Air Lines earnings report later!
Zacks' Top 10 Stocks for 2019
In addition to the stocks discussed above, would you like to know about our 10 finest buy-and-holds for the year?
Who wouldn't? Our annual Top 10s have beaten the market with amazing regularity. In 2018, while the market dropped -5.2%, the portfolio scored well into double-digits overall with individual stocks rising as high as +61.5%. And from 2012-2017, while the market boomed +126.3, Zacks' Top 10s reached an even more sensational +181.9%.
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