Delta Air Lines FY 2016 pre-tax income up 4% YoY

Atlanta, Georgia-based Delta Air Lines (NYSE: DAL) has reported adjusted pre-tax income for the December 2016 quarter was USD 923m, a USD 524m decrease from the December 2015 quarter, primarily driven by the new pilot agreement.

For the full year, adjusted pre-tax income increased 4% year over year to USD 6.1 billion.

Delta´s operating revenue for the December quarter was down USD 44m versus prior year. Passenger unit revenues declined 2.7% on a 0.9% increase in capacity.

Delta generated USD 1.2 billion of adjusted operating cash flow and USD 640m of free cash flow during the quarter. The company used this strong cash generation to invest USD 600m into the business for aircraft modifications, facilities upgrades, and technology improvements.

For the December quarter, the company returned USD 449m to shareholders, comprised of USD 149m of dividends and USD 300m of share repurchases. Delta returned USD 3.1 billion to its owners in 2016 through dividends and share repurchases.

Delta Air Lines serves nearly 180m customers each year. Delta and the Delta Connection carriers offer service to 323 destinations in 57 countries on six continents. The company employs more than 80,000 employees worldwide and operates a mainline fleet of more than 800 aircraft. The airline is a founding member of the SkyTeam global alliance and participates in the industry´s leading transatlantic joint venture with Air France-KLM and Alitalia as well as a joint venture with Virgin Atlantic.

Including its worldwide alliance partners, Delta offers customers more than 15,000 daily flights, with key hubs and markets including Amsterdam, Atlanta, Boston, Detroit, Los Angeles, Minneapolis/St. Paul, New York-JFK and LaGuardia, London-Heathrow, Paris-Charles de Gaulle, Salt Lake City, Seattle and Tokyo-Narita. Delta has invested billions of dollars in airport facilities, global products and services, and technology to enhance the customer experience in the air and on the ground.