ATLANTA - Delta Air Lines reported financial and operating performance for November 2012.
During the month of November, Delta's unit revenues improved 2.5 percent versus prior year, primarily due to corporate revenue gains, continued capacity discipline and strong Thanksgiving demand. The company is estimating that the effect of Superstorm Sandy early in November negatively impacted November revenues by $30 million and reduced November profit by approximately $25 million. Delta's November unit revenue improvement was approximately one point lower than it would have been without the storm impact.
The storm also negatively impacted the company's refinery start up, slowing production and efficiency levels at the plant. As a result of lower Trainer contribution, the company now expects its fourth quarter fuel price to be $3.20 - $3.25 per gallon.
November represented another month of strong operational performance at Delta. The company's completion factor was 99.6 percent and 90.6 percent of flights arrived on-time, a nearly 2 point improvement year over year.
The company's financial and operational performance is detailed below.
Preliminary Financial and Operational Results
November Consolidated PRASM change year over year 2.5%
Projected December quarter fuel price per gallon, adjusted $3.20 – 3.25
November On-time performance (preliminary DOT A14) 90.5%
November Mainline completion factor 99.6%
Note: Fuel price includes taxes, transportation, settled hedges, and hedge premiums, but excludes mark to market adjustments on open hedges.
Delta Air Lines serves more than 160 million customers each year. During the past year, Delta was named domestic "Airline of the Year" by the readers of Travel Weekly magazine, was named the "Top Tech-Friendly U.S. Airline" by PCWorld magazine for its innovation in technology, won the Business Travel News Annual Airline Survey and was the recipient of 12 Executive Travel Magazine Leading Edge Awards for U.S. airlines. With an industry-leading global network, Delta and the Delta Connection carriers offer service to nearly 313 destinations in 58 countries on six continents. Headquartered in Atlanta, Delta employs 80,000 employees worldwide and operates a mainline fleet of more than 700 aircraft. A founding member of the SkyTeam global alliance, Delta participates in the industry's leading trans-Atlantic joint venture with Air France-KLM and Alitalia. Including its worldwide alliance partners, Delta offers customers more than 13,000 daily flights, with hubs in Amsterdam, Atlanta, Cincinnati, Detroit, Memphis, Minneapolis-St. Paul, New York-LaGuardia, New York-JFK, Paris-Charles de Gaulle, Salt Lake City and Tokyo-Narita. The airline's service includes the SkyMiles frequent flier program, a world-class airline loyalty program; the award-winning BusinessElite service; and more than 50 Delta Sky Clubs in airports worldwide. Delta is investing more than $3 billion through 2013 in airport facilities and global products, services and technology to enhance the customer experience in the air and on the ground.