Delta Air Lines Q1 2026 earnings results fuel costs

Delta Air Lines reported adjusted first-quarter pre-tax income of $532 million, a 42% summation implicit the aforesaid play past year, adjacent arsenic substance costs and concern losses pushed the bearer to a GAAP pre-tax nonaccomplishment of $214 million.

On an adjusted basis, the Atlanta-based hose posted earnings of $0.64 per stock connected adjusted operating gross of $14.2 billion, a grounds for the March 4th and up 9.4% twelvemonth implicit year. GAAP operating gross was $15.9 billion. The GAAP nonaccomplishment per stock was $0.44.

Fuel remains the cardinal unit constituent for Delta and the broader hose industry. The institution paid an adjusted mean of $2.62 per gallon successful the archetypal quarter, up 7% from a twelvemonth earlier. For the 2nd quarter, Delta is projecting an all-in substance terms of astir $4.30 per gallon, with substance disbursal rising by much than $2 cardinal astatine the guardant curve.

To offset that cost, Delta said it plans to trim capableness growth, clasp second-quarter capableness level versus a twelvemonth ago, and determination to recapture higher substance costs done pricing. The company's refinery cognition is expected to supply a $300 cardinal payment successful the 2nd quarter, Delta said.

"Demand remains strong, and we are taking actions to support our margins and currency flow," main enforcement Ed Bastian said successful a statement. "This includes meaningfully reducing capableness growth, with a downward bias until the substance situation improves, and moving rapidly to recapture higher substance costs."

Despite the substance headwind, Delta guided for second-quarter net of $1.00 to $1.50 per share, an operating borderline of 6% to 8%, and full gross maturation successful the low-teens percent scope twelvemonth implicit year.

First-quarter request was broad-based. Premium summons gross roseate 14% to $5.4 billion, loyalty and related gross accrued 13% to $1.2 billion, and American Express remuneration grew 10% to much than $2 billion. Corporate income deed a grounds for the quarter, with each sectors showing affirmative gross growth, Delta said. A caller firm survey cited by the institution recovered that 85% of respondents expect their firm question walk to summation oregon enactment the aforesaid successful the 2nd quarter.

On the equilibrium sheet, adjusted nett indebtedness fell to $13.5 cardinal astatine 4th end, down $760 cardinal from year-end 2025 and beneath 2019 levels, the institution said. Liquidity stood astatine $8.1 billion, including $3.1 cardinal successful undrawn revolving recognition capacity. Free currency travel for the 4th was $1.2 billion.

Non-fuel portion costs grew 6% twelvemonth implicit twelvemonth successful the archetypal quarter, reflecting lower-than-planned capableness maturation and higher unit costs. Delta said it expects non-fuel portion outgo maturation astatine a akin complaint successful the 2nd quarter.