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EarningsQ3 2026 Earnings Report
DAL Q3 2026 EPS Results
Actual EPS$1.72
Consensus EPS$1.77
Beat/MissMissed by -$0.05
One Year Ago EPS$1.71
DAL Q3 2026 Revenue Results
Actual Revenue$20.19B
Expected Revenue$17.64B
Beat/MissBeat by +$2.54B
YoY Revenue Growth+21.07%
Earnings Announcement Details
QuarterQ3 2026
Date10/09/2026
TimeBefore Open
Conference CallFriday, October 9, 2026
DAL Upcoming Earnings
Delta Air Lines's next earnings date is estimated for January 8, 2027, based on past reporting schedules.
Q3 2026 Earnings Call Audio
DAL Q3 2026 Earnings Call
0:00 / 0:00
Q3 2026 Earnings Slide Deck
No slide deck is available for this earnings event.
Q3 2026 Earnings Call Summary
Earnings Call Sentiment|Positive
The call was strongly positive, with record or improving operational performance, robust demand, broad-based unit revenue growth, strong loyalty and corporate trends, expanding diversified revenue, healthy cash generation, and balance-sheet progress. These strengths were partly offset by substantially higher fuel costs, elevated nonfuel unit costs, disruption-related expenses, and uncertainty around fuel prices and capacity normalization.Company Guidance
Strong Quarterly Revenue and Profitability
September quarter revenue grew 16% to approximately $2.4 billion above the prior year, while pretax profit was $1.5 billion, consistent with last year, despite higher fuel costs. Earnings were $1.72 per share and operating margin was 9.4%.
Free Cash Flow and Returns Remained Strong
Delta generated $460 million of free cash flow during the quarter and $1.9 billion year to date. Return on invested capital was 11%, described as well above the company's cost of capital.
Industry-Leading Operational Performance
Delta reported industry-leading performance across key metrics, including on-time performance and customer satisfaction. It also delivered record baggage results, better disruption recovery, and its best mainline completion factor month of the year in September.
Improved Resilience and Reliability Investments
Investments in technology, data, processes, training, and crew resiliency are strengthening operational reliability and recovery. The company reported consistent improvement in controllable completion factor from the first quarter through the third quarter and expects further progress through the fourth quarter and into 2027.
Customer Service Recognition
Delta employees were named the best airline staff in North America by customers in the Skytrax World Airline Awards for the fifth consecutive year. The company has also accrued $900 million toward next year's employee profit-sharing payout.
Broad-Based Travel Demand
Management said demand remains strong across leisure and business travel and across all cabins. Premium growth remains robust, main cabin trends are improving, and forward cash sales grew nearly 20% during the September quarter, the highest quarterly growth since 2022.
Strong Unit Revenue Performance
Total unit revenue grew 15.4%, accelerating by 3 points from the June quarter. Domestic unit revenue increased 16%, with load factors 1 point higher than last year, while international unit revenue grew 12%, led by 22% growth in Latin America. Transatlantic unit revenue growth accelerated 4 points sequentially to 11%.
Main Cabin and Premium Revenue Momentum
Main Cabin unit revenue grew in the high teens for the third consecutive quarter. Premium capacity increased 6% to 7%, premium load factors rose almost 2 points, and fares continued to increase without discounting.
Record Corporate Travel Performance
Corporate sales grew double digits across all sectors, cabins, hubs, and entities. The week after Labor Day was the highest corporate sales week in Delta's history, and management said it saw no cracks in corporate demand entering the fourth quarter.
Growth in Diversified Revenue Streams
Diverse revenue represented 61% of total revenue. Premium and loyalty revenue each grew nearly 20% year over year, while cargo and MRO revenue each grew nearly 30%. Cargo revenue increased 29% in the quarter and loyalty revenue increased 18%.
Loyalty and Co-Brand Momentum
Delta expects American Express remuneration to exceed $9 billion this year on the way to $10 billion. SkyMiles membership is growing faster than capacity, card acquisitions and spend both grew double digits, and Delta remains on track for a fifth consecutive year of 1 million new card acquisitions.
Strong Customer Engagement and Partnerships
Customer engagement is growing through SkyMiles, American Express, Uber, Starbucks, and other partnerships. Delta announced a strategic relationship with Hyatt, with strong customer response ahead of its launch later this year, and is expanding the loyalty ecosystem toward more experiential offerings.
Positive Fourth-Quarter Revenue Outlook
Delta expects December quarter revenue to grow approximately 20% year over year on roughly 3% capacity growth, with seat growth below 2% and a year-over-year reduction in main cabin seats. The company expects another sequential improvement in unit revenue growth.
Positive Early First-Quarter Booking Indicators
Early indications for the first quarter were described as very similar to the fourth quarter, with continued strength in corporate bookings and positive forward demand indications for the next 90 to 120 days.
Network and Premium Experience Expansion
Delta announced new service to the Philippines and expanded service to Tokyo, Paris, Athens, and Venice. It is also expanding from Los Angeles to the South Pacific, Hong Kong, and Manila, supported by airport, lounge, connectivity, and customer-experience investments ahead of the LA28 Olympics.
Expanded Connectivity and Technology Offerings
Fast, free Wi-Fi is available across virtually Delta's entire fleet. The company expects meaningful service enhancements through ViaSat and Hughes this quarter and plans to launch Amazon Kuiper connectivity beginning in 2028. Delta Concierge has also been rolled out to all SkyMiles members.
MRO Growth and Margin Expansion
TechOps generated $1 billion of MRO revenue year to date, an increase of nearly 60% over last year, while expanding margins and its customer base. Management expects double-digit MRO revenue growth, continued margin expansion, at least 100 basis points of annual margin improvement as a focus, and the opportunity to more than double MRO revenue over the next several years.
Balance Sheet Improvement and Credit Strength
Adjusted net debt ended the quarter at $13 billion, and Delta plans to pay down more than $2 billion of debt this year. The company expects to end the year with gross leverage of 2.2x, remains investment grade at all three credit-rating agencies, received a Fitch upgrade to BBB flat, and ended the quarter with a $3 billion pension surplus.
Full-Year Cash Flow and Earnings Outlook
Delta expects approximately $2.5 billion of free cash flow for the full year, more than $2 billion of debt reduction, and more than $10 billion of cumulative free cash generation over three years. Full-year earnings are expected to be $5.10 to $5.60 per share, while pretax profit is expected to be roughly $4.5 billion.
Long-Term Margin and ROIC Framework
Management reiterated a long-term objective of expanding margins and returns to the mid teens, including a 15% ROIC target and a double-digit operating margin framework. The company cited fleet renewal, high-value revenue growth, operational improvements, and a more efficient cost structure as contributors.
Cloud and Technology Efficiency Benefits
Delta said its move to the cloud several years ago has been a significant source of savings through greater efficiency and productivity in software development and technology. The company is continuing to focus on faster, more efficient, and more effective technology solutions.
DAL Earnings History
The table shows recent earnings report dates and whether the forecast was beat or missed. See the change in forecast and EPS from the previous year.
Beat
Missed