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Delta's results mixed
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April 20, 1998: 4:29 p.m. ET
Airline tops 3Q estimates, but profit is off from year-ago period
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NEW YORK (CNNfn) - Delta Air Lines Monday reported third-quarter earnings that beat Wall Street's consensus, although the stronger dollar and a decline in domestic and international passengers dragged down its results from the year-ago period.
The news drove Delta (DAL) shares down 3-7/16 to 123-7/16 in late-afternoon trading.
Atlanta-based Delta earned $195 million, or $2.45 a diluted share, on revenues of $3.4 billion. That compares with earnings of $189 million, or $2.47 a share, a year earlier, including $52 million in restructuring and other one-time charges in the March 1997 quarter.
Those numbers beat First Call's consensus of $2.40 a share.
"Lower system unit revenues for the March quarter resulted in passenger yield declines in both domestic and international markets during January and February.
"However, Delta's March unit revenue performance improved significantly over the first two months of the quarter...," said Leo F. Mullin, Delta's president and chief executive officer.
Operating expenses increased 1 percent to $3.1 billion. Delta said a 24 percent decline in the average price of jet fuel helped hold down costs.
The company attributed the cost increase to a hike in salaries and related costs, higher depreciation and amortization costs, and a climb in the cost of contracted services. 
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Delta Air Lines
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