Delivered March quarter earnings in line with initial guidance on broad demand strength driving better-than-expected revenue performance
Guiding to low-teens revenue growth in the June quarter on flat capacity growth, reflecting strong demand momentum, meaningful capacity reductions, and rapid actions to recapture higher fuel
Expect June quarter pre-tax profit of around $1 billion, on a more than $2 billion increase
in fuel expense at the forward curve
Continuing to strengthen investment-grade balance sheet, with adjusted net debt below 2019 levels
ATLANTA, April 8, 2026 /PRNewswire/ — Delta Air Lines (NYSE: DAL) today reported financial results for the March quarter and provided its outlook for the June quarter. Highlights of the March quarter, including both GAAP and adjusted metrics, are on page five and incorporated here.
“Delta’s results underscore the power of our brand and the durability of our financial foundation. We delivered earnings that were more than 40 percent higher than last year, even with a significant increase in fuel costs and operational disruptions across the industry,” said Ed Bastian, Delta’s chief executive officer. “Our results are powered by the Delta people, who will always be our greatest competitive advantage. In February, we celebrated $1.3 billion in profit‑sharing payouts, similar to last year and more than the rest of the industry combined.”
“Demand remains strong, and we are taking actions to protect our margins and cash flow. This includes meaningfully reducing capacity growth, with a downward bias until the fuel environment improves, and moving quickly to recapture higher fuel costs. Delta is best positioned to navigate this environment, with a leading brand, strong financial foundation, and the benefit of our refinery. In the June quarter, we expect to lead the industry with $1 billion of profit. And while the recent fuel spike is currently impacting earnings, I’m confident this environment ultimately reinforces Delta’s leadership and accelerates long-term earnings power.”
March Quarter 2026 GAAP Financial Results
- Operating revenue of $15.9 billion
- Operating income of $501 million with an operating margin of 3.2 percent
- Pre-tax loss of $214 million with a pre-tax margin of (1.4) percent
- Loss per share of ($0.44)
- Operating cash flow of $2.4 billion
March Quarter 2026 Non-GAAP Financial Results
- Operating revenue of $14.2 billion
- Operating income of $652 million with an operating margin of 4.6 percent
- Pre-tax income of $532 million with a pre-tax margin of 3.7 percent
- Earnings per share of $0.64
- Operating cash flow of $2.4 billion
Financial Guidance1
| 2Q26 | |
| Total Revenue YoY (%) | Up low-teens |
| Operating Margin | 6% – 8% |
| Earnings Per Share | $1.00 – $1.50 |
| Guidance assumes fuel at the forward curve as of April 2, 2026, and includes a refinery benefit of approximately $300 million. This results in a projected all-in fuel price of approximately $4.30 per gallon for the second quarter. |
Revenue Environment and Outlook
“Total revenue of $14.2 billion was a March quarter record and nearly 10 percent higher than last year, growing several points above our initial outlook, on broad demand strength across corporate and leisure,” said Joe Esposito, Delta’s chief commercial officer. “With continued strength in demand, combined with our actions on capacity reductions and fuel recapture, we expect total revenue growth in the June quarter to be up low-teens on flat capacity over prior year.”
- Record March quarter revenue with broad strength across customer segments, geographies, and products: March quarter total revenue increased 9.4 percent over the same period last year to a record $14.2 billion, led by premium, corporate, and loyalty. Adjusted total unit revenue (TRASM) grew 8.2 percent over prior year, with a 1.6 point contribution from robust MRO growth.
- Continued momentum in diverse, high-margin revenue streams: Delta’s diversified revenue base represented 62 percent of total revenue and grew mid-teens over prior year. Premium revenue grew 14 percent compared to the March quarter of 2025. Loyalty and related revenue increased 13 percent, primarily driven by continued double-digit growth in card spend and an expanding cardholder base. American Express remuneration of over $2 billion grew 10 percent over prior year. MRO revenue increased by more than $200 million year-over-year, reflecting significant growth and strong execution by the Delta TechOps team. Cargo revenue increased 9 percent.
- Healthy unit revenue improvement across all geographies, with positive inflection in main cabin growth: Domestic unit revenue grew 6 percent year-over-year with strength across all cabins. International unit revenue grew 5 percent led by Transatlantic, our largest and most profitable international entity. The March quarter was the first full quarter of positive unit revenue growth in main cabin since the end of 2024, reflecting strong demand and continued supply rationalization. Delta’s main cabin capacity contracted by 3 percent compared to the same period last year, as continued investment in fleet renewal drove premium seat mix higher.
- Record quarterly corporate sales2 with growth in all sectors: Corporate sales increased double-digits year-over-year in the March quarter, with performance strengthening as the quarter progressed. All sectors saw positive revenue growth in the quarter, led by Banking, Aerospace & Defense, and Tech. Corporate demand for premium products was particularly strong. Recent corporate survey results indicate 85 percent of respondents expect their corporate travel spend will increase or stay the same in the June quarter.
Cost Performance and Outlook
“Delta delivered record March quarter revenue, with an operating margin of 4.6 percent and earnings of $0.64 per share, within our initial guidance range even with a sharp run up in March fuel prices. Non‑fuel unit costs grew 6 percent over prior year, reflecting lower than planned capacity growth and higher recovery costs. For the June quarter, we expect non-fuel unit costs to grow at a rate similar to the March quarter, reflecting the impact of our capacity actions and a continuation of higher crew costs,” said Dan Janki, Delta’s chief operating officer3. “Improving operational resilience is a top focus and we are confident in delivering improvement in both operational and cost performance in the second half of the year.”
| 1 Non-GAAP measures; Refer to Non-GAAP reconciliations for historical comparison figures |
| 2 Corporate travel sales represent the revenue from tickets sold to corporate contracted customers, including tickets for travel during and beyond the referenced time period |
| 3 Dan Janki served as Delta’s chief financial officer through March 31, 2026 |
March Quarter 2026 Cost Performance
- Operating expense of $15.4 billion and adjusted operating expense of $13.5 billion
- Adjusted non-fuel costs1 of $10.5 billion
- Non-fuel CASM was 15.13¢, an increase of 6 percent year-over-year
- Adjusted fuel expense of $2.6 billion was up 8 percent year-over-year
- Adjusted fuel price of $2.62 per gallon increased 7 percent year-over-year with a refinery benefit of 6¢ per gallon
Balance Sheet, Cash and Liquidity
“Delta’s financial strength transcends the industry and positions us to extend our leadership through times of volatility, reinforcing our advantages and improving the long-term earnings power of the business. Our balance sheet is the best in our history, underpinned by our investment-grade rating at all three credit rating agencies, adjusted net debt below 2019 levels, and a well-laddered maturity profile alongside a substantial base of unencumbered assets and secured borrowing capacity. In addition, our integrated fuel strategy is a unique differentiator, with the economics of our refinery partially offsetting higher crack spreads. The refinery is expected to provide a $300 million benefit to the June quarter at current prices.” Janki said.
- Adjusted net debt of $13.5 billion at March quarter end, a reduction of $760 million from the end of 2025
- Payments on debt and finance lease obligations for the March quarter of $1.6 billion
- Weighted average interest rate of 4.6 percent with 86 percent fixed rate debt and 14 percent variable rate debt
- Adjusted operating cash flow in the March quarter of $2.4 billion, and with gross capital expenditures of $1.2 billion, free cash flow was $1.2 billion
- Air Traffic Liability ended the quarter at $10.7 billion
- Liquidity* of $8.1 billion at quarter-end, including $3.1 billion in undrawn revolver capacity
| *Includes cash and cash equivalents, short-term investments and undrawn revolving credit facilities |
| 1 Updated definition excludes aircraft fuel and related taxes, third-party refinery sales, MRO expense, and Profit Sharing |
March Quarter 2026 Highlights
Operations, Network and Fleet
- Named North America’s most on‑time airline by Cirium for the fifth consecutive year
- Advancing fleet modernization with 95 new aircraft orders, including Airbus narrowbody and widebody aircraft, as well as the Boeing 787, supporting aircraft replacement, efficient growth, and margin expansion
- Took delivery of eight aircraft in the March quarter, including A321neo and A220-300 aircraft
- Delta TechOps became the first and only North American airline MRO with full overhaul capability across both the LEAP-1A and LEAP-1B engines
- Announced new daily service between Austin (AUS) and Phoenix (PHX) and expanded service from Austin to Bozeman (BZN) beginning next winter, bringing total destinations serviced from Austin to 30 by December 2026
- Announced expanded service from Los Angeles (LAX) to Florida starting next winter including Palm Beach (PBI), Tampa (TPA), and Orlando (MCO), all operated on the state-of-the-art A321neo
- Announced new nonstop service between New York-JFK and John Wayne Orange County (SNA) starting May 7, 2026, operated by aircraft equipped with Delta One
Culture and People
- Celebrated $1.3 billion in profit sharing in February for 2025 performance, more than the rest of the U.S. industry combined, recognizing the outstanding performance of Delta’s 100,000+ employees and underpinning Delta’s culture of sharing our success with our people
- Ranked No. 9 on the Fortune 100 Best Companies to Work For® list, up from No. 15 in 2025 and the only ranked airline
- Named as one of Glassdoor’s 2026 top 100 Best Places to Work, making the list for the ninth time, and the only airline recognized
- Ranked No. 11 on Fortune’s list of World’s Most Admired Companies for leadership in innovation, resilient leadership and global impact
Customer Experience and Loyalty
- Delta will launch Amazon Leo’s low Earth orbit satellite technology starting with an initial installation on 500 aircraft beginning in 2028, bringing faster, more personalized digital experiences to customers through the Delta Sync Wi-Fi and seatback
- Expanded Delta Sync partnerships, including a new collaboration with The New York Times, enhancing the onboard experience with premium, high-engagement digital content for customers
- Delta SkyMiles was ranked the world’s most valuable airline loyalty program, ahead of all other U.S. airlines, in On Point Loyalty’s Top 100 Most Valuable Airline Loyalty Programs 2026 report
- Announced a multi-year partnership as the Official Airline of Sphere, including the Delta SKY360° Club, Sphere’s first branded hospitality space, providing premium experiences to SkyMiles members
- Opened a new 13,000 square foot Delta Sky Club at Denver International Airport and reopened newly renovated clubs in Philadelphia and three locations in Atlanta
March Quarter 2026 Results
March quarter results have been adjusted primarily for third-party refinery sales and gains/losses on investments as described in the reconciliations in Note A.
| GAAP | $ Change | % Change | ||
| ($ in millions except per share and unit costs) | 1Q26 | 1Q25 | ||
| Operating income | 501 | 569 | (68) | (12) % |
| Operating margin | 3.2 % | 4.0 % | (0.8) pts | (20) % |
| Pre-tax (loss)/income | (214) | 320 | (534) | NM |
| Pre-tax margin | (1.4) % | 2.3 % | (3.7) pts | NM |
| Net (loss)/income | (289) | 240 | (529) | NM |
| Diluted (loss)/earnings per share | (0.44) | 0.37 | (0.81) | NM |
| Operating revenue | 15,854 | 14,040 | 1,814 | 13 % |
| Total revenue per available seat mile (TRASM) (cents) | 22.92 | 20.53 | 2.39 | 12 % |
| Operating expense | 15,353 | 13,471 | 1,882 | 14 % |
| Cost per available seat mile (CASM) (cents) | 22.20 | 19.69 | 2.51 | 13 % |
| Fuel expense | 2,742 | 2,410 | 332 | 14 % |
| Average fuel price per gallon | 2.78 | 2.47 | 0.31 | 12 % |
| Operating cash flow | 2,432 | 2,378 | 54 | 2 % |
| Capital expenditures | 1,200 | 1,224 | (24) | (2) % |
| Total debt and finance lease obligations | 14,164 | 15,823 | (1,659) | (10) % |
| Adjusted | $ Change | % Change | ||
| ($ in millions except per share and unit costs) | 1Q26 | 1Q25 | ||
| Operating income | 652 | 584 | 68 | 12 % |
| Operating margin | 4.6 % | 4.5 % | 0.1 pts | 2 % |
| Pre-tax income | 532 | 375 | 157 | 42 % |
| Pre-tax margin | 3.7 % | 2.9 % | 0.8 pts | 28 % |
| Net income | 423 | 291 | 132 | 45 % |
| Diluted earnings per share | 0.64 | 0.45 | 0.19 | 44 % |
| Operating revenue | 14,200 | 12,978 | 1,222 | 9.4 % |
| TRASM (cents) | 20.53 | 18.97 | 1.56 | 8.2 % |
| Operating expense | 13,549 | 12,394 | 1,155 | 9 % |
| Non-fuel cost1 | 10,464 | 9,735 | 729 | 7 % |
| Non-fuel unit cost (CASM-Ex) (cents) | 15.13 | 14.23 | 0.90 | 6 % |
| Fuel expense | 2,591 | 2,395 | 196 | 8 % |
| Average fuel price per gallon | 2.62 | 2.45 | 0.17 | 7 % |
| Operating cash flow | 2,414 | 2,444 | (30) | (1) % |
| Free cash flow | 1,227 | 1,280 | (53) | (4) % |
| Gross capital expenditures | 1,179 | 1,174 | 5 | — % |
| Adjusted net debt | 13,540 | 16,876 | (3,336) | (20) % |
| 1 Updated definition excludes Aircraft fuel and related taxes, Third-party refinery sales, MRO expense, and Profit Sharing |
About Delta Air Lines Through exceptional service and the power of innovation, Delta Air Lines (NYSE: DAL) never stops looking for ways to make every trip feel tailored to every customer.
There are 100,000 Delta people leading the way to deliver a world-class customer experience on up to 5,500 daily Delta and Delta Connection flights to more than 300 destinations on six continents, connecting people to places and to each other.
Delta served more than 200 million customers in 2025 – safely, reliably and with industry-leading customer service innovation – and was recognized by Cirium for being the top on-time airline in North America for the fifth consecutive year.
We remain committed to ensuring that the future of travel is connected, personalized and enjoyable. Our people’s genuine, enduring motivation is to make every customer feel welcomed and cared for across every point of their journey with us.
Headquartered in Atlanta, Delta operates significant hubs and key markets in Amsterdam, Atlanta, Bogota, Boston, Detroit, Lima, London-Heathrow, Los Angeles, Mexico City, Minneapolis-St. Paul, New York-JFK and LaGuardia, Paris-Charles de Gaulle, Salt Lake City, Santiago (Chile), Sao Paulo, Seattle, Seoul-Incheon and Tokyo.
As the leading global airline, Delta’s mission to connect the world creates opportunities, fosters understanding and expands horizons by connecting people and communities to each other and to their own potential.
A founding member of the SkyTeam alliance and powered by innovative and strategic partnerships throughout the world with Aeromexico, Air France-KLM, China Eastern, Korean Air, LATAM, Virgin Atlantic and WestJet, Delta brings more choice and competition to customers worldwide. Delta’s premium product line is elevated by its unique partnership with Wheels Up Experience.
Delta is America’s most-awarded airline thanks to the dedication, passion and professionalism of its people. In addition to the award from Cirium, Delta has been recognized as the World’s Most Admired Airline and one of the Best 100 Companies to Work For according to Fortune; the top carrier for business travelers by Business Travel News; and best U.S. airline by Forbes Travel Guide’s Verified Air Travel Awards. In addition, Delta has been named to the Civic 50 by Points of Light as one of the most community minded companies in the U.S.