Delta Air Lines Inc (DAL)
Profitability ratios
Return on sales
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | |
|---|---|---|---|---|---|
| Gross profit margin | 43.77% | 42.21% | 42.59% | 33.96% | -68.98% |
| Operating profit margin | 9.73% | 9.66% | 7.40% | 6.66% | -77.13% |
| Pretax margin | 7.56% | 9.81% | 3.87% | 1.41% | -96.42% |
| Net profit margin | 5.61% | 8.06% | 2.67% | 0.99% | -76.61% |
Delta Air Lines Inc has shown improvements in its profitability ratios over the past few years. The Gross Profit Margin increased from -68.98% in December 2020 to 43.77% in December 2024, indicating the company's ability to generate a higher percentage of revenue after accounting for the cost of goods sold.
Similarly, the Operating Profit Margin has also seen a positive trend, rising from -77.13% in December 2020 to 9.73% in December 2024. This suggests that Delta has been able to control its operating expenses more effectively and improve its operational efficiency.
The Pretax Margin and Net Profit Margin have also shown significant improvements, reflecting profitability before and after accounting for taxes and other expenses. The Pretax Margin increased from -96.42% in December 2020 to 7.56% in December 2024, while the Net Profit Margin rose from -76.61% to 5.61% during the same period.
Overall, Delta Air Lines Inc has demonstrated a positive trajectory in its profitability ratios, showcasing an enhanced ability to generate profits from its operations and manage costs efficiently over the years.
Return on investment
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | |
|---|---|---|---|---|---|
| Operating return on assets (Operating ROA) | 7.95% | 7.50% | 5.06% | 2.60% | -17.32% |
| Return on assets (ROA) | 4.59% | 6.26% | 1.82% | 0.39% | -17.20% |
| Return on total capital | 20.79% | 20.38% | 14.13% | 6.87% | -44.43% |
| Return on equity (ROE) | 22.61% | 41.50% | 20.02% | 7.20% | -807.37% |
Based on the provided data, Delta Air Lines Inc's profitability ratios have shown a mixed performance over the years.
1. Operating return on assets (Operating ROA) has improved significantly from -17.32% in December 2020 to 7.95% in December 2024, indicating that the company has been able to generate more operating income from its assets over time.
2. Return on assets (ROA) has also shown an improvement from -17.20% in December 2020 to 4.59% in December 2024, although there was some fluctuation in the interim years. This ratio measures the overall profitability of the company's assets.
3. Return on total capital has shown a consistent upward trend, increasing from -44.43% in December 2020 to 20.79% in December 2024. This metric reflects how efficiently the company is generating profits from its total capital employed.
4. Return on equity (ROE) has also demonstrated growth, improving from a significant -807.37% in December 2020 to 22.61% in December 2024. ROE represents the return earned on the shareholders' equity investment in the company.
Overall, Delta Air Lines Inc has shown improvements in its profitability ratios over the years, reflecting the company's efforts to enhance its operational efficiency and generate better returns for its stakeholders.