Delta Air Lines reported its June quarter 2025 earnings on July 10, outlining a solid financial performance characterized by record quarterly revenue of $15.5 billion, a 1% increase year-over-year. The company achieved a pre-tax income of $1.8 billion, equating to earnings of $2.10 per share, sustaining an operating margin of 13.2%. The performance met the April guidance provided earlier in the year.

The airline’s operating cash flow for the first half of 2025 totaled $4.3 billion, and free cash flow was reported at $2 billion. During the June quarter, Delta announced a 25% increase in its quarterly dividend, reflecting confidence in cash generation capabilities. Total debt and finance lease obligations were reported at $15.1 billion as of the end of June. Delta achieved a reduction in adjusted net debt to $16.3 billion, a decrease of $2.5 billion from the previous year.

For the September quarter, Delta provided guidance projecting earnings per share in the range of $1.25 to $1.75, with an operating margin forecast between 9% and 11%. Revenue growth is expected to remain flat to up 4% year-over-year. The airline anticipates non-fuel unit costs to be flat to down compared to 2024, driven by strong execution in cost management practices.

Delta’s revenue streams showcase stability and growth. Premium revenue grew by 5% year-over-year, while loyalty revenue increased by 8% due to a surge in card acquisitions and spending on the Delta American Express co-brand card, which accounted for $2 billion, a rise of 10%. Cargo revenue grew by 7%, and maintenance, repair, and operations (MRO) revenue surged 29%, reflecting increased volumes and work scopes.

The airline reported ongoing challenges in its main cabin sector, which showed weakness with a 5% decline in revenue. Despite this, the overall demand environment remained stable, trending similarly to the previous year. The company proactively adjusted capacity in the main cabin to address this softening in demand and anticipates a gradual recovery as trends normalize.

Delta’s operational performance remains competitive, being recognized as the most on-time airline in the June quarter. The airline emphasized its strategic investments in expanding premium offerings and enhancing customer experiences, including improvements across its Sky Club network. With these factors combined, Delta remains positioned well in the current market landscape.