Delta's refinery in Trainer posts $105M profit in quarter
Delta Air Lines said Tuesday that its Trainer refinery in Delaware County posted a $105 million profit in the fourth quarter. The airline expects to save more than $2 billion in fuel costs in 2015 because of the sharp drop in oil prices.
Delta Air Lines said Tuesday that its Trainer refinery in Delaware County posted a $105 million profit in the fourth quarter. The airline expects to save more than $2 billion in fuel costs in 2015 because of the sharp drop in oil prices.
Delta's fourth-quarter profit beat analysts' estimates. Net income was $649 million, or 78 cents a share, excluding special items. Analysts had expected 77 cents a share. Revenue was $9.65 billion. The carrier's fuel expense declined by $342 million in the latest quarter, driven by lower market prices and higher refinery profits.
Delta expects "a pretty healthy profit at the refinery" in the first three months of this year, said chief financial officer Paul Jacobson. Delta bought the former ConocoPhillips refinery in 2012 for $150 million as a source of discounted jet fuel. The refinery, operated by Delta subsidiary Monroe Energy L.L.C., posted a $19 million third-quarter profit, a $13 million profit in the second quarter, and a $41 million loss in the first quarter 2014.
- Linda Loyd