Delta Air Lines, Inc. Announces Unaudited Consolidated Earnings and Operating Results for the Fourth Quarter and Year Ended December 31, 2017; Provides Earnings Guidance for the First Quarter and Full Year of 2018
For the year, the company reported total operating revenue of $41,244 million compared to $39,639 million a year ago. Operating income was $6,114 million compared to $6,952 million a year ago. Income before income taxes was $5,701 million compared to $6,636 million a year ago. Net income was $3,577 million or $4.95 per diluted share compared to $4,373 million or $5.79 per diluted share a year ago. Net cash provided by operating activities was $5,148 million. Adjusted net debt as on December 31, 2017 was $8,750 million against $6,144 million as on December 31, 2016. Adjusted pre-tax income was $5,450 million compared to $6,071 million a year ago. Adjusted net income was $3,568 million or $4.93 per diluted share compared to $4,017 million or $5.32 per diluted share a year ago.
For the quarter on consolidated basis the company announced revenue passenger miles of 51,180 million against 49,985 million a year ago. Available seat miles were 60,060 million against 58,715 million a year ago. Passenger load factor was 85.2% against 85.1% a year ago. Passenger revenue per available seat mile was 14.15 cents against 13.58 cents a year ago.
For the year, the company reported total revenue passenger miles of 217,712 million against 213,098 million a year ago. Available seat miles were 254,325 million against 251,867 million a year ago. Passenger load factor was 85.6% against 84.6% a year ago. Passenger revenue per available seat mile was 13.69 cents against 13.41 cents a year ago.
For 2018, the company expects the reduction in the corporate tax rate will result in an all-in book tax rate for the company of 22%-24%. Looking ahead to 2018, the company expects to drive solid earnings growth by growing top line 4% to 6% improving cost trajectory and integrating international partner network. As a result, they are able to increase the previous full-year guidance to $6.35 to $6.70 per share due to additional benefits from tax reform. The company expects capital spending of roughly $4 billion, and continue to target capex at 50% of operating cash flow.
For the first quarter of 2018, the company expects earnings per share to be in the range of $0.60 to $0.80, pre-tax margin to 6% to 8%. The company expects to deliver total unit revenue growth of 2.5% to 4.5% in the March quarter and leverage its unrivaled domestic network, international partnerships, and solid pipeline of commercial initiatives to deliver similar performance each quarter throughout 2018.