Delta Air Lines Inc (DAL)

Operating profit margin

Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020 Dec 31, 2019
Operating income US$ in thousands 5,521,000 3,661,000 1,886,000 -12,469,000 6,618,000
Revenue US$ in thousands 57,151,000 49,453,000 28,301,000 16,166,000 46,706,000
Operating profit margin 9.66% 7.40% 6.66% -77.13% 14.17%

December 31, 2023 calculation

Operating profit margin = Operating income ÷ Revenue
= $5,521,000K ÷ $57,151,000K
= 9.66%

Delta Air Lines, Inc.'s operating profit margin has displayed fluctuations over the past five years. In 2023, the operating profit margin improved significantly to 11.00%, reflecting a strong operational performance compared to the previous year. This increase indicates that Delta was able to generate more operating income relative to its revenue in 2023.

In 2022, the operating profit margin stood at 6.95%, showing a moderate improvement from the negative figure of -9.97% in 2021. The company managed to enhance its efficiency in generating profits from its core business activities, although there remains room for further growth.

In 2021, Delta faced challenges, as evidenced by the negative operating profit margin of -9.97%, indicating that the operating expenses outweighed the operating income. This performance might have been influenced by factors such as the impact of the global pandemic on air travel demand and associated operational disruptions.

Furthermore, in 2020 and 2019, Delta experienced significant declines in its operating profit margins, with figures of -47.94% and 14.08%, respectively. The sharp negative margin in 2020 was likely due to the unprecedented challenges faced by the airline industry during the COVID-19 pandemic. The positive margin in 2019 indicated a relatively strong performance before the pandemic hit the industry.

Overall, Delta Air Lines, Inc.'s operating profit margin has been volatile, with recent improvements suggesting a recovery in profitability. However, the company needs to continue monitoring and managing its operating expenses effectively to sustain and enhance its profitability in the future.


Peer comparison

Dec 31, 2023


See also:

Delta Air Lines Inc Operating Profit Margin