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REVENUE RECOGNITION
6 Months Ended
Jun. 30, 2024
Revenue from Contract with Customer [Abstract]  
REVENUE RECOGNITION REVENUE RECOGNITION
Passenger Revenue
Three Months Ended June 30,
Six Months Ended June 30,
(in millions)2024202320242023
Ticket$12,349 $11,829 $22,182 $21,068 
Loyalty travel awards975 902 1,820 1,645 
Travel-related services517 474 970 903 
Passenger revenue$13,841 $13,205 $24,972 $23,616 

Ticket

We recognized approximately $5.6 billion and $5.7 billion in passenger revenue during the six months ended June 30, 2024 and 2023, respectively, that had been recorded in our air traffic liability balance at the beginning of those periods.

Loyalty Travel Awards

Loyalty travel awards revenue is related to the redemption of mileage credits ("miles") for air travel. Our SkyMiles loyalty program allows customers to earn miles by flying on Delta, Delta Connection and other airlines that participate in the loyalty program. Customers can also earn miles through participating companies, such as credit card, retail, ridesharing, car rental and hotel companies, who purchase miles from us. Our most significant contract to sell miles relates to our co-brand credit card relationship with American Express. During the six months ended June 30, 2024 and 2023, total cash sales from marketing agreements related to our loyalty program were $3.6 billion and $3.4 billion, respectively, which are allocated to travel and other performance obligations.

Current Activity of the Loyalty Program. Miles are combined in one homogeneous pool and are not separately identifiable. Therefore, revenue is comprised of miles that were part of the loyalty program deferred revenue balance at the beginning of the period as well as miles that were issued during the period. The timing of mile redemptions can vary widely; however, the majority of miles have historically been redeemed within two years of being earned.
The table below presents the activity of the current and noncurrent loyalty program deferred revenue and includes miles earned through travel and miles sold to participating companies, which are primarily through marketing agreements.

Loyalty program activity
(in millions)20242023
Balance at January 1$8,420 $7,882 
Miles earned2,148 2,110 
Miles redeemed for air travel(1,820)(1,645)
Miles redeemed for non-air travel and other(114)(80)
Balance at June 30
$8,634 $8,267 

Travel-Related Services

Travel-related services are primarily composed of services performed in conjunction with a passenger’s flight and include baggage fees, administrative fees and on-board sales.

Other Revenue
Three Months Ended June 30,
Six Months Ended June 30,
(in millions)2024202320242023
Refinery$1,251 $965 $2,436 $1,882 
Loyalty program836 774 1,631 1,500 
Ancillary businesses213 214 393 445 
Miscellaneous318 248 597 513 
Other revenue$2,618 $2,201 $5,057 $4,340 

Refinery. This represents refinery sales to third parties. See Note 9, "Segments," for more information on revenue recognition within our refinery segment.

Loyalty Program. This relates to revenues from brand usage by third parties and other performance obligations embedded in miles sold, which are included within the total cash sales from marketing agreements discussed above. This also includes the redemption of miles for non-air travel and other awards.

Ancillary Businesses. This includes revenues from aircraft maintenance services we provide to third parties and our vacation wholesale operations.

Miscellaneous. This is primarily composed of revenues related to lounge access, including access provided to certain American Express cardholders, codeshare agreements and certain other commercial relationships.
Revenue by Geographic Region

Operating revenue for the airline segment is recognized in a specific geographic region based on the origin, flight path and destination of each flight segment. A significant portion of the refinery segment's revenues typically consists of fuel sales to support the airline, which is eliminated in the Condensed Consolidated Financial Statements. The remaining operating revenue for the refinery segment is included in the domestic region. Our passenger and operating revenue by geographic region is summarized in the following tables:

Passenger revenue by geographic region
Three Months Ended June 30,
Six Months Ended June 30,
(in millions)2024202320242023
Domestic$9,398 $8,944 $17,381 $16,538 
Atlantic2,825 2,803 4,130 4,047 
Latin America964 926 2,229 2,058 
Pacific654 532 1,232 973 
Total$13,841 $13,205 $24,972 $23,616 

Operating revenue by geographic region
Three Months Ended June 30,
Six Months Ended June 30,
(in millions)2024202320242023
Domestic$11,575 $10,749 $21,607 $20,145 
Atlantic3,210 3,178 4,791 4,726 
Latin America1,102 1,037 2,543 2,317 
Pacific771 614 1,465 1,149 
Total$16,658 $15,578 $30,406 $28,337