Delta Expects Revenue Down 90% in Current Quarter
Delta Air Lines (NYSE: DAL) on Wednesday warned it expects second quarter revenue to fall 90% year over year as the COVID-19 pandemic continues to depress travel demand and flight volumes.
Delta recorded total adjusted revenue of $12.5 billion in the second quarter of 2019, implying that it expects total sales of about $1.25 billion in the current period. Wall Street was expecting $1.5 billion in revenue, down 87.9% from last year, although the consensus was likely a very rough estimate.
Airlines have been hit hard by the pandemic, which has caused travel demand to evaporate and has forced Delta and other carriers to scramble to cut costs and raise capital. The projected revenue decline is staggering, but, overall, Delta presented a solid case that it will survive the crisis.
Source Fool.com
