Delta Air Lines (DAL) stock is soaring 7.42% in pre-market trading on Wednesday following the release of its first-quarter earnings report for 2025. The airline giant's results have impressed investors, with revenue beating expectations and an optimistic outlook for the second quarter, despite falling short on profit estimates.
According to the report, Delta's Q1 revenue reached $14.04 billion, marking a 2.1% year-on-year growth and surpassing analyst estimates of $13.88 billion. However, the company's GAAP earnings per share (EPS) of $0.37 fell 6.9% below consensus expectations of $0.40. Investors appear to be focusing on the positive aspects of the report, particularly the company's forward-looking statements and strong performance in key segments.
Delta's management provided an upbeat revenue guidance for Q2 2025, projecting $16.66 billion at the midpoint, which is 2.3% above analysts' estimates. The airline emphasized its focus on operational reliability, cost containment, and capacity discipline in light of uncertain macroeconomic conditions. Additionally, Delta highlighted the strong performance of its Premium and Loyalty revenue streams, which grew approximately 7% year-over-year, offsetting softness in domestic Main Cabin bookings. This diversified approach and proactive measures to address challenges in the Main Cabin segment seem to have boosted investor confidence, driving the stock's significant pre-market rally.
Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.