Delta stock falls after earnings miss, CEO blames Crowdstrike
Delta Air Lines (DAL) reported third-quarter earnings that missed Wall Street's expectations Thursday morning, Yahoo Finance's Brad Smith reports. The miss sent its stock down as much as 7% in premarket trading before paring losses.
Here's a look at its performance compared to analyst estimates compiled by Bloomberg.
Adjusted net income: $971 million vs. $981 million expected
Adjusted earnings per share: $1.50 vs. $1.52 expected
Revenue: $14.59 billion vs. $14.68 billion expected
Delta said it forecasts earnings per share of $1.60 to $1.85 for the fourth quarter, with its $0.73 midpoint slightly below the $0.78 Wall Street analysts had expected, according to Bloomberg data.
Delta CEO Ed Bastian blamed disruptions caused by a widespread CrowdStrike outage in mid-July. Issues with CrowdStrike's cybersecurity software, used by Delta, forced the airline to cancel thousands of flights and wiped $380 million from its revenue for the quarter, he said.
“We had 86 great days and we had five days that were impacted, caused by CrowdStrike,” Bastian told Yahoo Finance.
Read the full story here.
Thu, October 10, 2024 at 1:42 PM GMT+1
Jobless claims unexpectedly surge to highest since August 2023
Weekly jobless claims rose more than expected last week in the latest sign that while the labor market has shown signs of strength, there are still signs of cooling in the jobs market.
New data from the Department of Labor showed 258,000 initial jobless claims were filed in the week ending Oct. 5, up from 225,000 the week prior and above the 230,000 economists had expected. This marked the highest weekly unemployment claims since June 2023.
Meanwhile, the number of continuing applications for unemployment benefits hit 1.86 million, up by 42,000 from the week prior.
Thu, October 10, 2024 at 1:32 PM GMT+1
Prices rise more than expected in September
A closely watched report on US inflation showed consumer prices rose more than expected in September , according to the latest data from the Bureau of Labor Statistics released Thursday morning.
The Consumer Price Index (CPI) increased 2.4% over the prior year in September, an acceleration compared to August's 2.5% annual gain in prices and. The yearly increase was higher than the 2.3% economists had expected.
The index rose 0.2% over the previous month, above Wall Street's expectation for a 0.1% increase.
On a "core" basis, which strips out the more volatile costs of food and gas, prices in September climbed 0.3% over the prior month and 2.4% over last year. Core prices rose 0.3% month over month and 3.2% on an annual basis in August. Both the monthly and yearly core readings were hotter than economists had projected.