Delta Air Lines today reported financial results for the September quarter and provided its outlook for the December quarter and full year 2026. The earnings report missed Wall Street earnings estimates for the first time in two years.
In Q3, Delta reported net income of $756 million, or $1.15 per share, down 47% from $1.42 billion, or $2.17 per share, a year earlier.
Previously, Delta forecast a 20% increase in revenue for the fourth quarter over the same period last year, more than the 16% rise in the third quarter,
Ed Bastian, Delta’s CEO, told investors: “Demand remains strong, supported by consumers’ growing preference for experiences and travel, with air travel continuing to be one of the best values in the consumer economy. Against this backdrop, we delivered September quarter pre-tax profit of $1.5 billion, matching last year’s performance, and generated $1.9 billion of free cash flow year-to-date. Our resilience reflects the structural durability we’ve built over many years, enabling us to effectively navigate one of the most elevated fuel environments in recent times. The foundation of that resilience is our people, whose commitment to delivering for our customers continues to set Delta apart.”
“For the full year, we expect to generate a pre-tax profit of roughly $4.5 billion, absorbing a $6 billion increase in fuel costs. Looking ahead, our focus remains on profitable growth and delivering against our long-term financial framework, including mid-teens margins and returns, durable free cash flow and gross leverage of approximately one times.”
Despite the earnings miss, Delta’s premium revenue grew 18% in the third quarter to $6.82 billion.
Delta shares fell 1% following the announcement.
By CEO NA Editorial Staff
