Delta Air Lines cut its 2026 profit forecast on October 9, 2026, as rising fuel costs outpaced gains from higher fares and strong travel demand.
The airline now expects adjusted earnings of $5.10 to $5.60 per share, down from the $6.50 to $7.50 it forecast in July. Delta expects its annual fuel bill to increase by $6 billion compared with 2025.
Chief Financial Officer Erik Snell said Delta spent more than $500 million more on fuel in the third quarter than it had anticipated in its July 2026 forecast.
The Atlanta-based airline nevertheless expects to generate roughly $4.5 billion in adjusted pretax profit.
Delta reported record third-quarter adjusted revenue of $17.6 billion, up 16% from a year earlier, with little change in overall flight capacity.
The airline expects revenue to rise about 20% in the fourth quarter. It plans to offer slightly more seats overall, but fewer in economy.
Revenue from premium cabins rose 18% in the third quarter. Delta offered 6% more seats in those cabins, charged higher fares and filled a greater share of the seats.
Revenue per available seat mile in economy, meanwhile, rose 17%, even as Delta reduced the number of economy seats.
Delta’s adjusted net income increased 2% to $1.13 billion, or $1.72 per share. Reported net income fell 47% to $756 million, or $1.15 per share. The adjusted figures exclude certain investment gains and losses and fuel-hedging items.
Higher costs reduced Delta’s adjusted operating margin to 9.4% from 11.1% a year earlier. Its adjusted fuel bill increased 62% to $4.1 billion.
Non-fuel costs per available seat mile rose 7.3%. Delta attributed the increase primarily to higher crew and revenue-related expenses spread across less capacity growth than originally planned. Summer storms also contributed.
For the fourth quarter, Delta expects an adjusted fuel price of approximately $4.25 per gallon, up from $3.61 in the third quarter. The forecast includes savings of about 40 cents per gallon from its refinery.
Payments from American Express increased 15% during the quarter, putting Delta on track to receive more than $9 billion from the partnership for the full year.
The carrier took delivery of 13 aircraft during the quarter, including Airbus A350-900s, A321neos and A220-300s.
Delta employees are on track to share nearly $900 million in profits earned during the first nine months of 2026, with payment scheduled for February 2027.