Clouds. 33.7   F New York
AI-Powered News Summarizer
Top Stories

Delta turned record profit into a record loss in one year

January 14, 2021. Summarized by summa-bot.

Compression ratio: 40%. 1 min read.

Delta Air Lines closed the books on the worst year in its history.

Thursday, Delta reported a record $6. 8 billion loss for 2020, excluding special items.

Including those items, its net loss for the year was $12. 4 billion.

A year earlier, Delta had reported record revenue and operating profits.

Delta, the first major air carrier to report fourth-quarter results, has been hammered along with the rest of the industry with the near halt in air travel caused by the Covid-19 pandemic earlier in the year.

Although air travel picked up in the fourth quarter as people traveled for the holiday season, it was still only at a fraction of year-earlier levels.

Delta's revenue plunged $7. 5 billion, or 65%, during the quarter, leaving it down $29. 9 billion for the full year.

That resulted in a fourth quarter loss of $1. 6 billion, excluding special items.

In 2019, Delta recorded a full-year operating profit of $4. 8 billion, leading it to pay employees a record $1. 6 billion in profit sharing bonuses.

Delta ended the year with $10. 1 billion in cash on hand, compared with $3. 7 billion a year earlier, even after it burned through $8. 3 billion in cash in the fourth quarter.

US airlines have reported combined losses of $24. 2 billion, excluding special items, during the first nine months of 2020.

All the major airlines are forecast to report losses in the fourth quarter.

Summarizer is on Google News. Now you can get the latest AI summarized news on your favorite news platform.

Don't like Google News? We have an RSS Feed for you.

Suggestions