Delta Air Lines jumps over 4% pre-market after better-than-expected quarter results and optimistic prospects, which kicks off a good start for fourth-quarter earnings.

Revenue rose 6% y/y to $14.44 billion, better than the expected $14.18 billion; EPS delivered $1.85 per share, up 44% y/y, better than the expected $1.75. The result is the most profitable December quarter in our history, said Chief Financial Officer Dan Janki.

The airline company said it expects to generate more than $4 billion in free cash this year, up 18% from 2024 and in the mid-point of its annual target of between $3 billion and $5 billion.

They also raised their outlook, as 2025 can be the carrier's best ever year. Delta said it expects revenue to rise 7% to 9%, ahead of the roughly 5% growth analysts expect. The carrier expects first-quarter earnings of between 70 cents and $1, slightly ahead of Wall Street predictions of between 65 cents and 97 cents.

We feel quite good coming into the new year, Bastian said. Everywhere, we see consumers continue to prioritize experience over goods.

That is setting up Delta for our best financial year in our history, Bastian added.