Delta Air Lines passenger planes are parked due to flight reductions made to curb the spread of coronavirus disease (COVID-19), at Birmingham-Shuttlesworth International Airport in Birmingham, Alabama on March 25, 2020.
Elijah Nouvelage | Reuters
The coronavirus pandemic led Delta Air Lines to a net loss of $ 5.7 billion in the second quarter, the largest since 2008, when demand for air travel plummeted.
Delta’s revenue fell 88% year-over-year to $ 1.47 billion, slightly higher than analyst estimates and roughly in line with the operator’s forecast of a 90% drop.
The Atlanta-based airline said it cut its cash consumption to $ 27 million in late June from about $ 100 million per day in late March. The airline has said it wants to cut its cash burn by the end of the year.
Shares fell 1% in premarket trading.
Airlines are among the industries most affected by the pandemic, as worries about the virus and an unprecedented series of travel restrictions in the US and abroad reduce travel. Carriers like Delta have parked hundreds of planes and cut routes.
Delta and its competitors have urged employees to accept early purchases or retirements as they strive to reduce their payroll. They are prohibited from firing staff until Oct. 1 under the terms of $ 25 billion in federal coronavirus aid, but have already begun warning employees of possible cuts.
Executives will have a call with analysts at 10 am ET.
This is breaking news. Check back for updates.
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