Delta Air Lines Unveils Long-Term Financial Goals

Delta Air Lines is set to unveil its strategic priorities and long-term financial commitments at the 2024 Investor Day, aiming for mid-teens operating margins and an average annual EPS growth of 10%. CFO Dan Janki emphasized the introduction of a three-to-five-year financial framework focusing on margin expansion, durable earnings, and free cash flow, along with a robust balance sheet featuring $40 billion in unencumbered assets. Delta also anticipates annual free cash flow between $3 billion and $5 billion, and it maintains a positive outlook for 2025 with capacity growth projected at 3-4%. The airline, which has seen a 57% stock increase this year, is positioned as the largest airline in the U.S. by market share. Delta's financial performance has improved significantly since the pandemic, illustrated by Fitch restoring its investment-grade credit rating due to its strong market presence. Overall, Delta aims to reassure shareholders of its resilience and growth potential amidst industry challenges.