01—Abstract
Summary
Summary of the 10-K filed February 11, 2026. Cited figures are marked; the original filing is the authoritative source.
Delta Air Lines, Inc. reported 2025 operating income of $5.8 billiona ($5,822 million), down $173 million from 2024, on total operating revenue of $63.4 billion, up 3% ($1.7 billion), while total operating expense rose 3% to $57.5 billion.
Net income was $5,005 millionb, or $7.66 per diluted share, compared with $3,457 million ($5.33) in 2024, helped by a $1,212 million gain on investments and total non-operating income of $363 million. The company generated $8.3 billion in operating cash flow and, after adjustments, $4.6 billion of free cash flow (a non-GAAP measure), while capital expenditures were $4.5 billion. Premium revenue and loyalty growth drove results, offset by weaker main cabin demand and higher employee costs; the company cited American Express remuneration of $8.2 billion, up about 11%.
Balance sheet metrics improved: total debt and finance leases were $14.1 billionc at year-end, with $4.8 billion of debt repayments in 2025, including $2.9 billion of early repayments, and $2.0 billion of new unsecured notes issued. Liquidity was $7.4 billion at December 31, 2025. Stockholders' equity rose to $20.9 billion from $15.3 billion, and the quarterly dividend was raised to $0.1875 per share.
The company also disclosed aircraft purchase commitments of about $15.4 billiond, plus new agreements with Boeing and Airbus signed in January 2026, and a pending Aeroméxico antitrust immunity dispute now stayed by the Eleventh Circuit. Risk items highlighted in the filing include fuel price exposure (fuel was 17% of operating expense), the DOT termination of antitrust immunity for the Aeroméxico joint cooperation agreement, the pending capacity antitrust litigation, labor agreements (about 20% of employees unionized, with the Delta pilots' agreement amendable December 31, 2026), and CORSIA and EU ETS regulatory costs.
02—Key points
Key Highlights
- Operating income of $5.8 billion ($5,822 million) in 2025, down $173 million from $5,995 million in 2024, as operating revenue rose 3% to $63.4 billion and operating expense rose 3% to $57.5 billion.
- Net income of $5,005 million ($7.66 diluted EPS) versus $3,457 million ($5.33) in 2024, aided by a $1,212 million gain on investments, net, compared with a $319 million loss in 2024.
- Operating cash flow of $8.3 billion ($8,342 million) and free cash flow of $4.6 billion (non-GAAP); capital expenditures were $4.5 billion.
- Debt and finance lease principal of $14.1 billion at December 31, 2025, after $4.8 billion of repayments, including $2.9 billion of early repayments, funded partly by $2.0 billion of unsecured notes issued in June 2025.
- Liquidity of $7.4 billion at year-end; stockholders' equity increased to $20.9 billion from $15.3 billion.
- Passenger revenue rose 2% to $51.8 billion, with premium products ticket revenue up 7% and main cabin ticket revenue down 5%; American Express remuneration totaled $8.2 billion.
- Aircraft purchase commitments of about $15.4 billion at year-end, with new January 2026 agreements with Boeing (30 787-10 aircraft) and Airbus (16 A330-900 and 15 A350-900).
03—One dollar
04—Financials
Financial Highlights
Figures from 10-KFY2025filed February 11, 2026Financial Statements
FY2025 against FY2024
| Line item | FY2025FY2024 | Change |
|---|---|---|
| Revenue | $63.36B$61.64B | +2.8% |
| Operating Expenses | $57.54B$55.65B | +3.4% |
| Operating Income | $5.82B$6.00B | −2.9% |
| Net Income | $5.00B$3.46B | +44.8% |
| EPS (Basic) | $7.72$5.39 | +43.2% |
| EPS (Diluted) | $7.66$5.33 | +43.7% |
| Shares Outstanding (Basic) | 648.00M641.00M | +1.1% |
| Shares Outstanding (Diluted) | 654.00M648.00M | +0.9% |
05—Questions
Frequently Asked Questions
How did Delta's core profitability trend in 2025?
Operating income was $5.8 billion, down $173 million from 2024, as revenue growth of $1.7 billion (3%) was nearly offset by operating expense growth of $1.9 billion (3%). Operating income, adjusted, was $5,804 million versus $6,016 million. The filing attributes the cost increase mainly to higher employee costs and capacity growth, partly offset by lower aircraft fuel costs.
What drove the increase in net income?
Net income rose to $5,005 million from $3,457 million, primarily because non-operating income swung to $363 million from an expense of $1,337 million. The change reflects a $1,212 million gain on investments, net, compared with a $319 million loss in 2024, and lower interest expense of $679 million versus $747 million.
How is Delta managing its debt and liquidity?
Delta repaid $4.8 billion of debt and finance leases in 2025, including $2.9 billion of early repayments, and issued $2.0 billion of unsecured notes in June 2025. In January 2026 it entered a $1.3 billion term loan due December 2026 and used the proceeds to repay $957 million of PSP loans. The company had $3.1 billion undrawn under revolving credit facilities and reported compliance with its debt covenants.
What are the main risks flagged for investors?
The filing highlights fuel price volatility (fuel was 17% of 2025 operating expense), the DOT's September 2025 termination of antitrust immunity for the Aeroméxico joint cooperation agreement (currently stayed pending appeal), the pending capacity antitrust litigation in the D.C. District Court, labor relations (about 20% of employees are unionized, with the Delta pilots' agreement amendable December 31, 2026), and regulatory costs including CORSIA and EU ETS.
What does the shareholder return picture look like?
Delta paid total dividends of $440 million in 2025, with quarterly payments raised to $0.1875 per share in the September 2025 quarter and a further $0.1875 dividend approved for March 19, 2026. The $1.0 billion opportunistic share repurchase program authorized in June 2025 had no repurchases under it through December 31, 2025.
06—Continue