– Despite a $125 million hit because of 4,000 flight cancellations during its April meltdown, Delta Air Lines still made a $1.2 billion quarterly profit.

Most of the impact from the April operational meltdown that followed a one-day storm was the headwind to revenue.

Atlanta-based Delta’s profit for the second quarter of the year was down 21 percent from $1.5 billion in the same quarter a year ago.

Delta Chief Executive Ed Bastian said in a written statement that he is encouraged by improvements in unit revenue, but acknowledged that “2017 is a transition year.”

The airline is tackling rising labor costs and competitive pressures allowing business travelers to pay less for last-minute trips.

Delta said its “branded fares,” including Basic Economy with limited flexibility and Comfort Plus with extra legroom, in addition to regular coach class, business class and first class, increased its revenue by $100 million.

The company calls such moves “commercial initiatives to provide customers more choice,” which is also helping improve unit revenue, according to a statement from Delta President Glen Hauenstein.

The company had record operating revenue in the quarter: $10.8 billion, up 3 percent year-over-year.

But its operating expense increased 9 percent, to nearly $8.8 billion.