Delta Air Lines CEO Ed Bastian said Friday the carrier's original profit goal is in reach this year as the airline passes higher fuel bills along to customers and expects pricing power to last. The company forecast third-quarter earnings of between $2.00 per share to $2.50 per share, compared with analysts' estimates of $2.02 a share, and projected revenue up in the mid-teens compared with the July-through-September period of 2025. Bastian attributed sustained pricing strength to robust demand, more diverse seat options, and a more disciplined airline industry that has scaled back capacity expansion even as oil prices drop from multi-year highs.
Delta Reports Q2 Earnings Beat on Premium Seat Revenue
Delta reported second-quarter adjusted earnings per share of $1.56, beating Wall Street expectations of $1.48, according to consensus estimates from LSEG. Adjusted revenue reached $17.67 billion, exceeding the $17.53 billion expected. Premium seat sales outpaced coach, with premium tickets including first class bringing in $6.92 billion in revenue for the quarter, while the main cabin reported $6.85 billion. Net income dropped 25% in the second quarter from a year earlier to $1.6 billion, or $2.44 a share, though operating revenue rose 19% from the 2025 period to $19.76 billion.
Delta Reaffirms Full-Year Profit Forecast of $6.50 to $7.50 Per Share
For the full year, Delta reaffirmed its January earnings forecast of between $6.50 per share and $7.50 per share. The airline also noted that corporate travel rose in the second quarter, with the aerospace and defense, banking and automotive sectors leading growth. Delta's refinery in Trainer, Pennsylvania, was a bright spot, with revenue surging 83% to $2.09 billion.
Delta Passes 60% of Fuel Costs to Consumers, Targets Near 100% This Quarter
Bastian said Delta was passing along about 60% of higher fuel costs to consumers, and that should get to close to 100% this quarter. According to the latest federal data, May airfare was up nearly 27% compared with last year. Delta's second-quarter revenue per available seat mile rose 17% from a year earlier, though its cost-per-available seat mile increased 21%. Carriers have scaled back growth plans and pruned unprofitable flights after this year's record run-up in fuel, and airfares have surged.
Premium Tickets and Corporate Travel Drive Second-Quarter Demand
Bastian said demand is strong across the board, noting that Delta caters to higher-income customers in the K-shaped economy. In an earnings release, the airline said World Cup demand was stronger than expected, including from inbound visitors to the U.S. Corporate travel rose in the second quarter, with the aerospace and defense, banking and automotive sectors leading growth.
FAQ
What were Delta's second-quarter earnings results?
Delta reported second-quarter adjusted earnings per share of $1.56, beating Wall Street expectations of $1.48. Adjusted revenue reached $17.67 billion, exceeding the $17.53 billion expected. Net income dropped 25% from a year earlier to $1.6 billion.
What is Delta's profit forecast for the full year?
Delta reaffirmed its January earnings forecast of between $6.50 per share and $7.50 per share for the full year. For the third quarter, the company forecast earnings of between $2.00 per share to $2.50 per share, compared with analysts' estimates of $2.02 a share.
How much of fuel cost increases is Delta passing to customers?
Delta CEO Ed Bastian said the airline was passing along about 60% of higher fuel costs to consumers, and that should get to close to 100% this quarter. According to federal data, May airfare was up nearly 27% compared with last year.
