Delta Air Lines NYSE:DAL reaffirmed its full-year financial outlook after reporting second-quarter results that topped Wall Street expectations, while issuing a third-quarter earnings forecast above analyst estimates.
Shares of DAL dipped 2% on Friday morning despite solid results.
Delta reported adjusted earnings of $1.56 per share for the second quarter, exceeding analyst expectations. The airline projected third-quarter earnings of $2.00 to $2.50 per share on mid-teens revenue growth and an operating margin of 11% to 13%, above the consensus estimate of $2.03 per share.
The carrier also reaffirmed its expectation of generating $3 billion to $4 billion in free cash flow in fiscal 2026. Delta said it continues to target a 20% increase in full-year earnings, supported by double-digit profit margins and improving demand despite higher fuel costs.
Delta said it expects operating momentum to continue through the second half of the year as it prepares for further earnings growth heading into 2027. The company said its outlook reflects confidence in its operational performance and network strength, while continuing to navigate industry cost pressures.