Delta said the federal government shutdown will lower pre-tax profitability in the fourth quarter by approximately $200 million.
The shutdown's impact primarily lasted for 10 days, beginning Nov. 7, when the FAA began reducing flight capacity at 39 U.S. airports, Delta CEO Ed Bastian said at the Morgan Stanley Global Consumer & Retail Conference. During that period, Delta said there was a 5% to 10% reduction in bookings.
Many business travelers normally would squeeze in one last trip before Thanksgiving, but this year they pulled back, Bastian said. Also, refunds grew significantly.
Otherwise, demand has met Delta's expectations for the fourth quarter and looks healthy in December, Bastian said. In a regulatory filing, the airline said trends are strong for early next year.
Bastian said Delta expects to record a 2025 profit of approximately $5 billion.