We all know companies love to blame everything except themselves when things go south? It’s always “customers aren’t spending money” or “inflation this, inflation that,” as if we haven’t heard those excuses a thousand times before. 

But every now and then, a company comes up with an excuse so outlandish, it almost sounds legit. Enter Delta Air Lines and their newest excuse: "CrowdStrike ate my homework."

Yep, you read that right. Delta just had a rough quarter, and they’re pointing fingers directly at cybersecurity firm CrowdStrike. Now, before you roll your eyes and think, "Sure, and my dog broke my laptop," hear them out. Delta’s CEO Ed Bastian explained that the airline had 86 great days in the third quarter and just five bad ones (but those five days cost them $380 million in revenue and wiped out $0.45 per share in earnings). And the offender? A faulty software update from CrowdStrike that brought Delta’s systems to a complete blackout.

(Source: CNN)

We’re talking about 7,000 flights canceled, thousands of passengers left stranded, and Delta freaking out to make things right. So yeah, when Bastian says, “this wasn’t our fault,” he’s actually got a point for once.

Delta’s third-quarter performance wasn’t horrible, but it wasn’t exactly something to write home about either. The airline reported an adjusted net income of $971 million (a little shy of the $981 million analysts were expecting). Adjusted earnings per share came in at $1.50, which is just below the anticipated $1.52. And revenue? It hit $14.59 billion, missing the mark of $14.68 billion.

Now, let’s put that CrowdStrike catastrophe into perspective. Without that meltdown, Delta likely would’ve hit all these targets and then some. But with those five days of chaos, Delta had no choice but to cancel flights, issue refunds, and send their accountants into a panic. Even Bastian admitted that those five days were “really, really tough” on both employees and customers.

Most of the time, when companies trot out excuses like “inflation” or “consumer spending habits,” it feels like a cop-out. But Delta’s CrowdStrike excuse? Well, it might just be legit. The airline industry runs on razor-thin margins, and when your systems go down for days, it’s not exactly something you can shake off. $380 million in lost revenue is a hefty price tag for what was essentially an IT nightmare.

And it wasn’t just Delta that got hit. The CrowdStrike glitch impacted multiple sectors—travel, healthcare, banking. But Delta seems to have taken the brunt of it, which is why they’re now talking to lawyers about compensation. Bastian didn’t hold back when he said, "The havoc that was created deserves to be fully compensated for." In other words, Delta wants a fat check from CrowdStrike, and who can blame them?

Despite the Q3 drama, Delta’s not given up on the year just yet. They’re expecting a strong fourth quarter, forecasting earnings per share between $1.60 and $1.85 (above last year’s $1.28 for the same period). And while they’re bracing for a slow season around the U.S. election (because apparently, people like to pause their travel plans to argue about politics), holiday bookings are looking solid.

So, could Delta turn things around and land a killer Q4? Probably. They’ve already recovered from the CrowdStrike disaster and are gearing up for a busy holiday season. If you’re looking to invest, you might want to keep an eye on them (because after this whole “my cybersecurity vendor ate my earnings” ordeal, things can only go up, right?). Well, unless CrowdStrike’s IT guy has another bad day at work.

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Stock.News does not have positions in companies mentioned.