September Quarter 2021 earnings

Old Oct 13, 2021, 6:42 am
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September Quarter 2021 earnings

-Profit beat expectations
-Acquiring 2 more used A350s
-Delta expects to fly 80% of pre-Covid capacity this quarter
-Revenue is 70% recovered
-Fuel prices are going to hurt profitability next quarter
-90% of employees now vaccinated
-Best ever completion factor of 99.72% for DL/DCI in August.
-Higher NPS score than pre-pandemic.
-Record revenue from AmEx.

https://s2.q4cdn.com/181345880/files...ults-Final.pdf
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Last edited by DLASflyer; Oct 13, 2021 at 7:08 am
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Old Oct 13, 2021, 1:21 pm
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The two likely additional A350s were originally delivered to Hainan Airlines in 2019. Flew for South African Airways for a short time then ferried to Spain in July 2020. Delta probably got great deals on birds which are basically new.

Total A350 fleet now set to number at least 44 frames.
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Old Oct 13, 2021, 4:49 pm
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“We continue to provide best-in-class service to our customers”, when does the PDB and 2019 level of service return?

We’re 20 months into the pandemic, corporate travel as Delta had it in the past may never return to the same levels. The onboard service needs to step up and the mask mandate will no have to be required, as the airlines are scaring customers aware bragging about the “no fly list” and the daily stories of inflight disruptions. Who in the corporate world would subject themselves to this, when they have been working from home the past 20 months?
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Old Oct 13, 2021, 6:14 pm
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Originally Posted by DrMilano
“We continue to provide best-in-class service to our customers”, when does the PDB and 2019 level of service return?
When whoever DL considers to be their "in-class" competitors return to their 2019 service levels.
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Old Oct 13, 2021, 6:30 pm
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Originally Posted by DLASflyer
The two likely additional A350s were originally delivered to Hainan Airlines in 2019. Flew for South African Airways for a short time then ferried to Spain in July 2020. Delta probably got great deals on birds which are basically new.

Total A350 fleet now set to number at least 44 frames.
By who? Where they get A350 coming from? What airlines?
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Old Oct 13, 2021, 8:49 pm
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Originally Posted by DrMilano
We continue to provide best-in-class service to our customers, when does the PDB and 2019 level of service return?

Were 20 months into the pandemic, corporate travel as Delta had it in the past may never return to the same levels. The onboard service needs to step up and the mask mandate will no have to be required, as the airlines are scaring customers aware bragging about the no fly list and the daily stories of inflight disruptions. Who in the corporate world would subject themselves to this, when they have been working from home the past 20 months?
For the company I work for, the cost of business travel ate about ~1% of revenue pre-COVID. Revenue has increased and business travel is $0. Its going to be really hard to justify the cost of business travel and you begin to wonder if the lost time of being on aircraft and other productivity challenges on the road actually hurt our ability to generate revenue.
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Old Oct 14, 2021, 9:37 am
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Originally Posted by DLASflyer

Total A350 fleet now set to number at least 44 frames.
Where are you getting 44 frames?
AirFleets shows 23 (Not including the new ones) It is always possible the database is behind.
https://www.airfleets.net/flottecie/...ir%20Lines.htm

Back to the earnings... if they're making money.. they need to return service levels to normal in the premium cabins. Service right now is a joke.
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Old Oct 14, 2021, 9:45 am
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Originally Posted by DCAproducer
Where are you getting 44 frames?
AirFleets shows 23 (Not including the new ones) It is always possible the database is behind.
https://www.airfleets.net/flottecie/...ir%20Lines.htm
It's a bit complex with all the different transactions but this is my understanding:
22 on property now
3 remaining undelivered from original Delta 2014 order
10 LATAM orders taken over by Delta in April 2020 still outstanding
7 used orders from July 2021
2 ex-SAA orders from October 2021

Last edited by DLASflyer; Oct 14, 2021 at 11:33 am
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Old Oct 14, 2021, 9:52 am
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Originally Posted by DLASflyer
It's a bit complex with all the different transaction but this is my understanding:
22 on property now
3 remaining undelivered from original Delta 2014 order
10 LATAM orders taken over by Delta in April 2020 still outstanding
7 used orders from July 2021
2 ex-SAA orders from October 2021
I believe you are double-counting the 7 LATAM ones with the 22 On Property, There are currently 15 on property (all from the original Delta order), not including the 7 LATAM ones.

Edit: actually you're right with the total of 44 aircraft. In the latest 10-Q report, Delta is showing a current fleet of 18 A350-900s (13 owned and 5 leased) and a purchase commitment for another 26 aircraft, so total is 44.

Last edited by ClipperDelta; Oct 14, 2021 at 10:10 am
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Old Oct 14, 2021, 11:03 am
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Originally Posted by DLASflyer
It's a bit complex with all the different transaction but this is my understanding:
22 on property now
3 remaining undelivered from original Delta 2014 order
10 LATAM orders taken over by Delta in April 2020 still outstanding
7 used orders from July 2021
2 ex-SAA orders from October 2021
Looking at this DL press release from this summer it does look like they had (15) on property, (7) new leased, (20) orders. That's 42. Add in these (2) and that's 44.
https://news.delta.com/delta-add-air...emand-recovery

That's a large A350 fleet. (For reference they retired a fleet of 18 777)
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Old Oct 14, 2021, 12:39 pm
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Originally Posted by DCAproducer
Looking at this DL press release from this summer it does look like they had (15) on property, (7) new leased, (20) orders. That's 42. Add in these (2) and that's 44.
https://news.delta.com/delta-add-air...emand-recovery

That's a large A350 fleet. (For reference they retired a fleet of 18 777)
It is large, but it fits DL's M.O. picking up incremental birds opportunistically. Also they still have 40 retirements coming up from the 763 fleet in the next few years with no 1:1 replacement aircraft for that mid-market capacity. Once DL feels they've got a handle on managing post-covid international demand, I expect them to very quickly minimize the 763 fleet, especially if fuel keeps getting more expensive. They may keep a dozen or so around until 2025 for certain routes, but gauge shift all the rest to a332/3 with the the 350s backfilling the open a333 slots.
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Old Oct 15, 2021, 7:09 am
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Originally Posted by woodenshoe101
It is large, but it fits DL's M.O. picking up incremental birds opportunistically. Also they still have 40 retirements coming up from the 763 fleet in the next few years with no 1:1 replacement aircraft for that mid-market capacity. Once DL feels they've got a handle on managing post-covid international demand, I expect them to very quickly minimize the 763 fleet, especially if fuel keeps getting more expensive. They may keep a dozen or so around until 2025 for certain routes, but gauge shift all the rest to a332/3 with the the 350s backfilling the open a333 slots.
Airfleets shows DL having (52) A332/3. (11) are NEO's. There are (57) 767's. (38) are 763's. I seem to remember DL saying the 764's would stick around for a bit.
I also seem to recall DL said the 350 fleet replaced the 747's and 777's. The A333 replace the 767s. Right now is actually probably a good time to get some good deals on wide body aircraft with longhaul taking such a big hit.
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