Analysis of Profitability Ratios
Quarterly Data
Profitability ratios measure the company ability to generate profitable sales from its resources (assets).
Profitability Ratios (Summary)
Delta Air Lines Inc., profitability ratios (quarterly data)
Based on: 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31), 10-K (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-30), 10-Q (reporting date: 2019-06-30), 10-Q (reporting date: 2019-03-31), 10-K (reporting date: 2018-12-31), 10-Q (reporting date: 2018-09-30), 10-Q (reporting date: 2018-06-30), 10-Q (reporting date: 2018-03-31), 10-K (reporting date: 2017-12-31), 10-Q (reporting date: 2017-09-30), 10-Q (reporting date: 2017-06-30), 10-Q (reporting date: 2017-03-31).
- Gross profit margin
- The gross profit margin remained relatively stable from March 2018 through June 2019, ranging between approximately 55.96% and 57.91%. Thereafter, it began a noticeable decline starting in March 2020, falling to a low of 27.48% by December 2020. There was a gradual recovery following this trough, with margins increasing steadily to reach 55.09% by June 2022, indicating a return towards pre-disruption profitability levels.
- Operating profit margin
- The operating profit margin showed consistent positive values between March 2018 and March 2020, fluctuating in the range of roughly 11.85% to 14.82%. However, from June 2020 onwards, the margin sharply deteriorated, turning negative and reaching a nadir of -106.35% in December 2020. This was followed by a significant yet gradual recovery commencing in March 2021, ending at 7.67% by June 2022, though not reaching pre-2020 levels within the observed period.
- Net profit margin
- Net profit margins echoed the pattern observed in operating margins, showing stable positive values around 7.77% to 10.14% before the disruption. These margins plunged into deeply negative territory from June 2020 through December 2020, hitting a low of -102.96%. A recovery trend became visible from March 2021 onward, gradually improving net profitability to just under 1.5% by June 2022, still below historical profitability prior to the downturn.
- Return on equity (ROE)
- Return on equity was robust and steady prior to 2020, consistently above 25%, peaking near 32.35% in September 2019. Starting from March 2020, ROE experienced extreme volatility and severe negative values, reaching an unprecedented low of -2702.9% in December 2020, indicative of significant losses and negative equity effects. Recovery efforts show a positive trend from March 2021 forward, improving to 15.74% by June 2022, though still substantially lower than pre-crisis benchmarks.
- Return on assets (ROA)
- ROA reflected positive and steady performance before 2020, generally between 5.99% and 7.42%. From March 2020 onward, ROA turned negative, bottoming near -17.83% in December 2020. A moderate recovery ensued, with ROA returning to slightly positive figures reaching 0.8% by June 2022, yet remaining below historical levels exhibited prior to the decline period.
Return on Sales
Return on Investment
Gross Profit Margin
Delta Air Lines Inc., gross profit margin calculation (quarterly data)
| Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | Dec 31, 2018 | Sep 30, 2018 | Jun 30, 2018 | Mar 31, 2018 | Dec 31, 2017 | Sep 30, 2017 | Jun 30, 2017 | Mar 31, 2017 | ||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||||||||||||||||||||||||||
| Gross profit | 7,718) | 4,646) | 5,433) | 5,227) | 3,640) | 1,204) | 1,557) | 1,038) | (322) | 4,127) | 6,600) | 7,397) | 7,378) | 5,701) | 5,895) | 6,770) | 6,782) | 5,549) | 5,773) | 6,517) | 6,508) | 5,088) | |||||||
| Operating revenue | 13,824) | 9,348) | 9,469) | 9,154) | 7,126) | 4,150) | 3,973) | 3,062) | 1,468) | 8,592) | 11,439) | 12,560) | 12,536) | 10,472) | 10,742) | 11,953) | 11,775) | 9,968) | 10,245) | 11,060) | 10,791) | 9,148) | |||||||
| Profitability Ratio | |||||||||||||||||||||||||||||
| Gross profit margin1 | 55.09% | 53.98% | 51.85% | 47.65% | 40.63% | 27.48% | 37.44% | 46.59% | 52.27% | 56.51% | 57.60% | 56.94% | 56.33% | 55.96% | 56.25% | 56.61% | 57.19% | 57.88% | 57.91% | — | — | — | |||||||
| Benchmarks | |||||||||||||||||||||||||||||
| Gross Profit Margin, Competitors2 | |||||||||||||||||||||||||||||
| Uber Technologies Inc. | 42.38% | 45.50% | 46.43% | 48.20% | 48.88% | 50.22% | 53.73% | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | |||||||
Based on: 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31), 10-K (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-30), 10-Q (reporting date: 2019-06-30), 10-Q (reporting date: 2019-03-31), 10-K (reporting date: 2018-12-31), 10-Q (reporting date: 2018-09-30), 10-Q (reporting date: 2018-06-30), 10-Q (reporting date: 2018-03-31), 10-K (reporting date: 2017-12-31), 10-Q (reporting date: 2017-09-30), 10-Q (reporting date: 2017-06-30), 10-Q (reporting date: 2017-03-31).
1 Q2 2022 Calculation
Gross profit margin = 100
× (Gross profitQ2 2022
+ Gross profitQ1 2022
+ Gross profitQ4 2021
+ Gross profitQ3 2021)
÷ (Operating revenueQ2 2022
+ Operating revenueQ1 2022
+ Operating revenueQ4 2021
+ Operating revenueQ3 2021)
= 100 × (7,718 + 4,646 + 5,433 + 5,227)
÷ (13,824 + 9,348 + 9,469 + 9,154)
= 55.09%
2 Click competitor name to see calculations.
The quarterly financial data reveals several notable trends in the company's profitability and revenue generation over the analyzed periods.
- Gross Profit
-
Gross profit figures generally display a pattern of growth from March 31, 2017, through December 31, 2019, with values increasing from 5,088 million USD to a peak near 7,397 million USD. However, a sharp decline is observed starting in the first quarter of 2020, coinciding with the global events of that period, dropping to a negative value of -322 million USD in June 30, 2020. This reflects a significant impact on profitability. Following this trough, there is a gradual recovery in gross profit, with values rising to 7,718 million USD by June 30, 2022, suggesting a rebound surpassing earlier peaks.
- Operating Revenue
-
Operating revenue shows consistent growth from 9,148 million USD in March 2017 to a high of 12,560 million USD in September 2019. Similar to gross profit, a marked decline is evident in the early quarters of 2020, dropping drastically to 1,468 million USD by June 30, 2020. This decline represents a significant contraction in operational scale or demand. Revenue then steadily recovers, reaching 13,824 million USD by June 30, 2022, which exceeds prior recorded values, indicating a strong resurgence in the company's revenue-generating capacity.
- Gross Profit Margin
-
Data on gross profit margin begins only from March 31, 2018, showing a relatively stable margin around 56-58% until the last quarter of 2019. The margin then deteriorates considerably in 2020, falling to a low of 27.48% in December 2020, reflecting reduced efficiency or increased costs relative to revenue during the downturn. Subsequently, the margin improves steadily from 2021 onwards, reaching 55.09% by June 30, 2022, approaching pre-downturn levels and suggesting restoration of operational effectiveness.
In summary, the company exhibited strong financial performance and profitability through 2019, followed by a severe downturn during the early quarters of 2020. This period was characterized by significant revenue and gross profit declines, along with compressed profit margins. Recovery trends are evident post mid-2020, with both revenue and profit rebounding to levels exceeding those prior to the disruption. The improvement in gross profit margin further corroborates a return to more normalized operating conditions and cost management efficiency in recent periods.
Operating Profit Margin
Delta Air Lines Inc., operating profit margin calculation (quarterly data)
| Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | Dec 31, 2018 | Sep 30, 2018 | Jun 30, 2018 | Mar 31, 2018 | Dec 31, 2017 | Sep 30, 2017 | Jun 30, 2017 | Mar 31, 2017 | ||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||||||||||||||||||||||||||
| Operating income (loss) | 1,519) | (783) | 263) | 2,205) | 816) | (1,398) | (858) | (6,386) | (4,815) | (410) | 1,399) | 2,071) | 2,128) | 1,020) | 1,091) | 1,645) | 1,684) | 844) | 1,194) | 1,839) | 2,028) | 1,053) | |||||||
| Operating revenue | 13,824) | 9,348) | 9,469) | 9,154) | 7,126) | 4,150) | 3,973) | 3,062) | 1,468) | 8,592) | 11,439) | 12,560) | 12,536) | 10,472) | 10,742) | 11,953) | 11,775) | 9,968) | 10,245) | 11,060) | 10,791) | 9,148) | |||||||
| Profitability Ratio | |||||||||||||||||||||||||||||
| Operating profit margin1 | 7.67% | 7.13% | 6.31% | 3.13% | -42.74% | -106.35% | -72.94% | -41.58% | -5.15% | 11.50% | 14.08% | 13.63% | 12.87% | 12.10% | 11.85% | 12.21% | 12.92% | 14.04% | 14.82% | — | — | — | |||||||
| Benchmarks | |||||||||||||||||||||||||||||
| Operating Profit Margin, Competitors2 | |||||||||||||||||||||||||||||
| FedEx Corp. | 6.47% | 6.54% | 6.98% | 5.76% | 5.27% | 4.24% | 3.49% | 4.68% | 5.43% | 6.27% | 6.41% | — | — | — | — | — | — | — | — | — | — | — | |||||||
| Uber Technologies Inc. | -9.07% | -13.04% | -21.97% | -28.04% | -36.73% | -47.47% | -43.66% | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | |||||||
| Union Pacific Corp. | 41.59% | 42.90% | 42.83% | 41.98% | 41.35% | 39.80% | 40.11% | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | |||||||
| United Airlines Holdings Inc. | 0.37% | -3.51% | -4.15% | -13.85% | -37.01% | -63.87% | -41.41% | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | |||||||
| United Parcel Service Inc. | 13.56% | 13.46% | 13.17% | 11.60% | 11.27% | 10.48% | 9.08% | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | |||||||
Based on: 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31), 10-K (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-30), 10-Q (reporting date: 2019-06-30), 10-Q (reporting date: 2019-03-31), 10-K (reporting date: 2018-12-31), 10-Q (reporting date: 2018-09-30), 10-Q (reporting date: 2018-06-30), 10-Q (reporting date: 2018-03-31), 10-K (reporting date: 2017-12-31), 10-Q (reporting date: 2017-09-30), 10-Q (reporting date: 2017-06-30), 10-Q (reporting date: 2017-03-31).
1 Q2 2022 Calculation
Operating profit margin = 100
× (Operating income (loss)Q2 2022
+ Operating income (loss)Q1 2022
+ Operating income (loss)Q4 2021
+ Operating income (loss)Q3 2021)
÷ (Operating revenueQ2 2022
+ Operating revenueQ1 2022
+ Operating revenueQ4 2021
+ Operating revenueQ3 2021)
= 100 × (1,519 + -783 + 263 + 2,205)
÷ (13,824 + 9,348 + 9,469 + 9,154)
= 7.67%
2 Click competitor name to see calculations.
- Operating Income (Loss)
- The operating income demonstrates a cyclical pattern with peaks generally occurring in the second and third quarters of years prior to 2020. From 2017 through 2019, operating income remained predominantly positive and exhibited relative stability, fluctuating between approximately 844 million and 2128 million US dollars. The period starting in the first quarter of 2020 reveals a sharp decline, with operating losses reaching extreme negative values, most notably in the second and third quarters of 2020, reflecting a significant downturn. Subsequently, the company experienced a slow recovery through 2021, with occasional positive quarters resuming, reaching values of 2205 million US dollars by the fourth quarter of 2021. The first half of 2022 shows volatility with mixed results, including a notable rebound of 1519 million US dollars in the second quarter.
- Operating Revenue
- Operating revenue followed a generally growing trend from 2017 until the end of 2019, increasing from about 9,148 million US dollars in the first quarter of 2017 to a peak of approximately 12,560 million US dollars in the third quarter of 2019. In early 2020, a marked decline in revenue is apparent, reaching a low point around 1,468 million US dollars in the second quarter of 2020, consistent with the trend in operating income losses during this period. Thereafter, operating revenue exhibits a gradual recovery phase during 2021 and into 2022, climbing back up to approximately 13,824 million US dollars by the second quarter of 2022, surpassing previous peak levels noted in 2019.
- Operating Profit Margin
- The operating profit margin data is only available starting from the fourth quarter of 2017. Initially, margins hover between 11.85% and 14.82%, indicating relatively strong profitability through 2017 to 2019. With the arrival of 2020, margins deteriorate rapidly, turning negative and reaching a trough of -106.35% in the fourth quarter of 2020, emphasizing the severe operational challenges faced. The margin remains negative in early 2021 but starts improving, returning to positive territory by the third quarter of 2021 with a margin of 3.13%. This positive trend continues through mid-2022, where margins gradually increase to 7.67% by the second quarter, signaling a stabilizing and improving profit environment.
- Overall Trends and Insights
- The data indicates a broadly stable and growing operating environment from 2017 through 2019, characterized by consistent revenues and positive operating income and profit margins. The period beginning in early 2020 corresponds with a dramatic downturn, likely due to external disruptive factors, resulting in massive operating losses, plummeting revenues, and highly negative profit margins. A recovery phase commences late 2020 and gains momentum throughout 2021 and into 2022, suggesting a return towards pre-2020 operational levels. Revenues and profitability metrics both exhibit improvement, although volatility remains as indicated by the mixed operating income results in early 2022. The improving profit margins in the latest reported periods suggest enhanced operational efficiency or cost management as the recovery progresses.
Net Profit Margin
Delta Air Lines Inc., net profit margin calculation (quarterly data)
| Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | Dec 31, 2018 | Sep 30, 2018 | Jun 30, 2018 | Mar 31, 2018 | Dec 31, 2017 | Sep 30, 2017 | Jun 30, 2017 | Mar 31, 2017 | ||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||||||||||||||||||||||||||
| Net income (loss) | 735) | (940) | (407) | 1,212) | 652) | (1,177) | (755) | (5,379) | (5,717) | (534) | 1,099) | 1,495) | 1,443) | 730) | 1,020) | 1,322) | 1,036) | 557) | 572) | 1,178) | 1,224) | 603) | |||||||
| Operating revenue | 13,824) | 9,348) | 9,469) | 9,154) | 7,126) | 4,150) | 3,973) | 3,062) | 1,468) | 8,592) | 11,439) | 12,560) | 12,536) | 10,472) | 10,742) | 11,953) | 11,775) | 9,968) | 10,245) | 11,060) | 10,791) | 9,148) | |||||||
| Profitability Ratio | |||||||||||||||||||||||||||||
| Net profit margin1 | 1.44% | 1.47% | 0.94% | -0.28% | -36.37% | -102.96% | -72.45% | -42.88% | -10.74% | 7.76% | 10.14% | 10.12% | 9.88% | 9.14% | 8.86% | 7.94% | 7.77% | 8.39% | 8.67% | — | — | — | |||||||
| Benchmarks | |||||||||||||||||||||||||||||
| Net Profit Margin, Competitors2 | |||||||||||||||||||||||||||||
| FedEx Corp. | 5.49% | 5.88% | 6.23% | 3.85% | 3.28% | 2.50% | 1.86% | -0.50% | 0.11% | 0.65% | 0.77% | — | — | — | — | — | — | — | — | — | — | — | |||||||
| Uber Technologies Inc. | -39.39% | -29.52% | -2.84% | -15.87% | -7.97% | -36.50% | -60.76% | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | |||||||
| Union Pacific Corp. | 29.23% | 30.06% | 29.92% | 29.19% | 28.60% | 27.02% | 27.38% | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | |||||||
| United Airlines Holdings Inc. | -3.43% | -6.85% | -7.97% | -16.19% | -37.89% | -63.43% | -46.04% | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | |||||||
| United Parcel Service Inc. | 10.92% | 10.90% | 13.25% | 6.83% | 6.57% | 5.78% | 1.59% | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | |||||||
Based on: 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31), 10-K (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-30), 10-Q (reporting date: 2019-06-30), 10-Q (reporting date: 2019-03-31), 10-K (reporting date: 2018-12-31), 10-Q (reporting date: 2018-09-30), 10-Q (reporting date: 2018-06-30), 10-Q (reporting date: 2018-03-31), 10-K (reporting date: 2017-12-31), 10-Q (reporting date: 2017-09-30), 10-Q (reporting date: 2017-06-30), 10-Q (reporting date: 2017-03-31).
1 Q2 2022 Calculation
Net profit margin = 100
× (Net income (loss)Q2 2022
+ Net income (loss)Q1 2022
+ Net income (loss)Q4 2021
+ Net income (loss)Q3 2021)
÷ (Operating revenueQ2 2022
+ Operating revenueQ1 2022
+ Operating revenueQ4 2021
+ Operating revenueQ3 2021)
= 100 × (735 + -940 + -407 + 1,212)
÷ (13,824 + 9,348 + 9,469 + 9,154)
= 1.44%
2 Click competitor name to see calculations.
The financial data reveals notable fluctuations in key performance indicators over the examined quarters. The net income demonstrates a generally positive trend during the initial years, with peaks observed particularly in the second and third quarters of 2019. However, a stark decline occurs starting in the first quarter of 2020, with substantial net losses recorded throughout most of 2020 and early 2021, indicating a period of significant financial distress.
Operating revenue exhibits a corresponding pattern, with steady growth from early 2017 through 2019, reaching its highest points in the mid to late 2019 quarters. This increase in revenue aligns with the robust net income figures observed prior to 2020. The impact of adverse conditions post-2019 is evident, as operating revenue sharply declines in the first half of 2020, followed by a gradual recovery starting in the third quarter of 2020 and continuing through 2022. The revenue levels in 2022 begin approaching figures seen before the decline, suggesting a potential recovery phase.
The net profit margin data reinforce the observations from net income and revenue trends. Margins remain positive and relatively stable from late 2017 through 2019, consistently exceeding 7% and peaking at just above 10% in late 2019. A dramatic contraction in net profit margin occurs in 2020, turning deeply negative in the first three quarters. This margin compression signals severe operational challenges during this period. By 2021, the margin improves but remains near zero or slightly positive, reflecting ongoing recovery efforts. The last quarters in 2021 and early 2022 show marginal profitability, indicating continued improvement but a cautious outlook toward full normalization.
Overall, the financial trends indicate a period of growth and profitability through 2019, followed by a sharp downturn in 2020 with considerable losses and negative profitability. The recovery trajectory initiated mid-2020 progresses into 2022, with improving revenues, net income, and margins pointing toward stabilization, although the performance does not fully return to pre-2020 levels by mid-2022.
- Net Income (Loss)
- Positive and growing through 2017-2019, peaking in 2019; significant losses and volatility during 2020; partial recovery with fluctuations in 2021 and early 2022.
- Operating Revenue
- Consistent growth and peak around 2019; sharp drop in early 2020; gradual recovery beginning late 2020 into 2022.
- Net Profit Margin
- Stable and favorable before 2020 (around 7-10%); severe negative margins in 2020 (reaching below -70%); slow improvement with near breakeven margins in 2021 and slight positive margins into 2022.
Return on Equity (ROE)
Delta Air Lines Inc., ROE calculation (quarterly data)
| Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | Dec 31, 2018 | Sep 30, 2018 | Jun 30, 2018 | Mar 31, 2018 | Dec 31, 2017 | Sep 30, 2017 | Jun 30, 2017 | Mar 31, 2017 | ||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||||||||||||||||||||||||||
| Net income (loss) | 735) | (940) | (407) | 1,212) | 652) | (1,177) | (755) | (5,379) | (5,717) | (534) | 1,099) | 1,495) | 1,443) | 730) | 1,020) | 1,322) | 1,036) | 557) | 572) | 1,178) | 1,224) | 603) | |||||||
| Stockholders’ equity | 3,811) | 2,991) | 3,887) | 2,606) | 1,281) | 482) | 1,534) | 3,357) | 8,690) | 14,309) | 15,358) | 15,068) | 13,958) | 12,911) | 13,687) | 13,704) | 12,856) | 12,557) | 13,910) | 14,001) | 13,479) | 12,945) | |||||||
| Profitability Ratio | |||||||||||||||||||||||||||||
| ROE1 | 15.74% | 17.29% | 7.20% | -2.61% | -519.83% | -2,702.90% | -807.37% | -313.70% | -42.08% | 24.48% | 31.04% | 31.11% | 32.35% | 31.82% | 28.75% | 25.45% | 26.00% | 28.12% | 25.72% | — | — | — | |||||||
| Benchmarks | |||||||||||||||||||||||||||||
| ROE, Competitors2 | |||||||||||||||||||||||||||||
| FedEx Corp. | 19.71% | 20.96% | 21.64% | 13.78% | 11.65% | 9.18% | 7.03% | -1.85% | 0.40% | 2.48% | 3.04% | — | — | — | — | — | — | — | — | — | — | — | |||||||
| Uber Technologies Inc. | -151.07% | -70.86% | -3.43% | -16.91% | -7.20% | -28.97% | -55.18% | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | |||||||
| Union Pacific Corp. | 53.89% | 57.26% | 46.06% | 44.49% | 41.12% | 32.09% | 31.54% | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | |||||||
| United Airlines Holdings Inc. | -30.80% | -54.75% | -39.05% | -59.20% | -112.74% | -129.12% | -118.61% | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | |||||||
| United Parcel Service Inc. | 67.12% | 69.80% | 90.44% | 53.57% | 56.25% | 72.34% | 204.41% | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | |||||||
Based on: 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31), 10-K (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-30), 10-Q (reporting date: 2019-06-30), 10-Q (reporting date: 2019-03-31), 10-K (reporting date: 2018-12-31), 10-Q (reporting date: 2018-09-30), 10-Q (reporting date: 2018-06-30), 10-Q (reporting date: 2018-03-31), 10-K (reporting date: 2017-12-31), 10-Q (reporting date: 2017-09-30), 10-Q (reporting date: 2017-06-30), 10-Q (reporting date: 2017-03-31).
1 Q2 2022 Calculation
ROE = 100
× (Net income (loss)Q2 2022
+ Net income (loss)Q1 2022
+ Net income (loss)Q4 2021
+ Net income (loss)Q3 2021)
÷ Stockholders’ equity
= 100 × (735 + -940 + -407 + 1,212)
÷ 3,811 = 15.74%
2 Click competitor name to see calculations.
- Net Income (Loss)
- The net income exhibited a generally positive trend from March 31, 2017, through December 31, 2019, with quarterly values ranging from $572 million to $1,495 million. A significant decline began in the first quarter of 2020, reaching substantial losses in the subsequent quarters of 2020, reflecting a sharp downturn, with losses peaking in the second quarter at approximately -$5,717 million. Modest improvements occurred in 2021, yet results remained volatile with fluctuations between losses and gains. By mid-2022, net income showed signs of recovery, returning to positive territory with $735 million.
- Stockholders' Equity
- Stockholders' equity gradually increased from $12,945 million in March 2017 to a peak of $15,358 million at the end of 2019. However, there was a pronounced decline beginning in the first quarter of 2020, reaching a low point of $1,534 million by December 2020. Following this trough, equity levels showed a slow recovery toward mid-2022, increasing to approximately $3,811 million by June 2022, but still significantly below pre-2020 levels.
- Return on Equity (ROE)
- Return on equity showed strong performance through 2017 to 2019, maintaining levels between 25% and 32%, indicating efficient use of equity to generate profit during this period. Starting in 2020, ROE deteriorated dramatically, reflecting the substantial net losses, with a particularly severe drop in the latter quarters of 2020 reaching negative extreme values (e.g., -807.37% in September and -2702.9% in December 2020). A gradual stabilization occurred in 2021 and into mid-2022, with ROE improving toward positive values, though still below historical highs and exhibiting volatility.
- Overall Analysis
- The data reveals a period of financial stability and profitability from 2017 through 2019, followed by a pronounced and sustained downturn starting in early 2020. This downturn is reflected across all key metrics: net income collapsed into large losses, stockholders' equity sharply declined, and ROE swung from strong positive returns to severe negative territory. Starting in late 2020 and continuing through 2022, partial recovery is observable, though the financial metrics have not returned to pre-2020 levels. The trends suggest significant challenges impacting profitability and capital structure beginning in 2020, with a gradual but cautious improvement thereafter.
Return on Assets (ROA)
Delta Air Lines Inc., ROA calculation (quarterly data)
| Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | Dec 31, 2018 | Sep 30, 2018 | Jun 30, 2018 | Mar 31, 2018 | Dec 31, 2017 | Sep 30, 2017 | Jun 30, 2017 | Mar 31, 2017 | ||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||||||||||||||||||||||||||
| Net income (loss) | 735) | (940) | (407) | 1,212) | 652) | (1,177) | (755) | (5,379) | (5,717) | (534) | 1,099) | 1,495) | 1,443) | 730) | 1,020) | 1,322) | 1,036) | 557) | 572) | 1,178) | 1,224) | 603) | |||||||
| Total assets | 74,805) | 73,748) | 72,459) | 72,783) | 75,309) | 73,083) | 71,996) | 79,076) | 72,261) | 68,738) | 64,532) | 63,219) | 62,518) | 61,841) | 60,266) | 55,003) | 55,796) | 54,078) | 53,292) | 51,928) | 51,815) | 51,459) | |||||||
| Profitability Ratio | |||||||||||||||||||||||||||||
| ROA1 | 0.80% | 0.70% | 0.39% | -0.09% | -8.84% | -17.83% | -17.20% | -13.32% | -5.06% | 5.10% | 7.39% | 7.42% | 7.22% | 6.64% | 6.53% | 6.34% | 5.99% | 6.53% | 6.71% | — | — | — | |||||||
| Benchmarks | |||||||||||||||||||||||||||||
| ROA, Competitors2 | |||||||||||||||||||||||||||||
| FedEx Corp. | 5.84% | 6.21% | 6.32% | 3.66% | 3.02% | 2.30% | 1.75% | -0.50% | 0.11% | 0.66% | 0.99% | — | — | — | — | — | — | — | — | — | — | — | |||||||
| Uber Technologies Inc. | -32.45% | -19.26% | -1.28% | -6.39% | -2.82% | -11.37% | -20.35% | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | |||||||
| Union Pacific Corp. | 10.63% | 10.64% | 10.27% | 9.93% | 9.48% | 8.44% | 8.57% | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | |||||||
| United Airlines Holdings Inc. | -1.73% | -2.87% | -2.88% | -4.64% | -7.78% | -10.90% | -11.87% | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | |||||||
| United Parcel Service Inc. | 15.60% | 15.35% | 18.57% | 9.81% | 9.37% | 8.17% | 2.15% | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | |||||||
Based on: 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31), 10-K (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-30), 10-Q (reporting date: 2019-06-30), 10-Q (reporting date: 2019-03-31), 10-K (reporting date: 2018-12-31), 10-Q (reporting date: 2018-09-30), 10-Q (reporting date: 2018-06-30), 10-Q (reporting date: 2018-03-31), 10-K (reporting date: 2017-12-31), 10-Q (reporting date: 2017-09-30), 10-Q (reporting date: 2017-06-30), 10-Q (reporting date: 2017-03-31).
1 Q2 2022 Calculation
ROA = 100
× (Net income (loss)Q2 2022
+ Net income (loss)Q1 2022
+ Net income (loss)Q4 2021
+ Net income (loss)Q3 2021)
÷ Total assets
= 100 × (735 + -940 + -407 + 1,212)
÷ 74,805 = 0.80%
2 Click competitor name to see calculations.
The analysis of the quarterly financial data reveals several significant trends in profitability and asset base over the observed period. Net income demonstrates notable fluctuations, reflecting varying operational performance and external economic factors impacting the company.
- Net Income (Loss)
- From March 2017 to December 2019, net income periodically increased and decreased but generally showed positive profitability. The highest net income during this period occurred around the third quarter of 2019, reaching approximately $1.5 billion. However, starting in the first quarter of 2020, there is a pronounced decline, with net losses deepening sharply particularly in the second and third quarters of 2020, correlating with a substantial downturn in this period. The losses slightly moderate towards the end of 2020 and into 2021, with some quarters showing a rebound into positive territory by mid to late 2021 and early 2022.
- Total Assets
- Total assets generally increased over the entire time frame, growing from about $51.5 billion in early 2017 to approximately $74.8 billion by mid-2022. The asset base saw a steady upward trend particularly in 2020, despite the deterioration in income, possibly indicating increased borrowing or asset acquisition during challenging operational periods.
- Return on Assets (ROA)
- ROA was positive and relatively stable from late 2017 through 2019, consistently exceeding 5% and peaking above 7% in late 2019. Starting in 2020, ROA declined sharply, turning negative and reaching its lowest point in the third and fourth quarters of 2020, reflecting significant inefficiencies or losses relative to asset size. From 2021 onwards, there was a gradual recovery from negative ROA levels back towards neutral and slightly positive returns by mid-2022, albeit still substantially lower than pre-2020 performance.
Overall, the data indicate a robust operating performance and asset growth prior to 2020, disrupted by a significant downturn likely associated with extraordinary circumstances beginning early 2020. This resulted in deep losses and negative returns despite continued asset growth. The gradual resurgence in ROA and net income from 2021 suggests an ongoing recovery, although profitability has not yet returned to prior peak levels as of mid-2022.