How did Delta perform in the June 2026 quarter?

Delta reported GAAP operating revenue of $19.76 billion, up 19% year over year, with operating income of $1.86 billion and diluted EPS of $2.44, versus $3.27 a year earlier. Excluding third-party refinery sales and other adjusted items, the company reported operating revenue of $17.67 billion (up 13.9%), operating margin of 8.8% and EPS of $1.56. Management attributed the margin decline primarily to fuel costs, which it described as the highest quarterly fuel expense in its history.

What is Delta's outlook for the September quarter and full year?

For the September 2026 quarter, Delta expects total revenue to grow in the mid-teens percentage range year over year, an operating margin of 11% to 13%, and EPS of $2.00 to $2.50. The guidance assumes fuel at the forward curve as of July 2, 2026, with an all-in fuel price of about $3.15 per gallon, including a 5-cent-per-gallon refinery benefit. For full year 2026, the company affirmed adjusted EPS of $6.50 to $7.50 and free cash flow of $3 to $4 billion.

What did Delta announce regarding its dividend and balance sheet?

The filing states Delta announced a 15% increase to its dividend, beginning in the September quarter. Adjusted net debt was $13.59 billion at June 30, 2026, down $709 million from year-end 2025, and liquidity was $7.7 billion including $3.1 billion of undrawn revolver capacity. Management said it expects gross leverage of approximately 2x by year-end and that debt reduction remains a top priority.

Why did free cash flow decline in the second quarter?

Second-quarter free cash flow was $209 million, compared with $733 million a year earlier. Adjusted operating cash flow was $1.65 billion, down from $1.84 billion, and gross capital expenditures rose 23% to $1.44 billion, with flight equipment spending of $1.24 billion on the GAAP cash flow statement. Air traffic liability ended the quarter at $10.0 billion.

What are the main drivers of Delta's revenue growth?

The company cited broad demand strength. Domestic unit revenue grew 12% and international unit revenue rose 8%, led by Latin America. Premium ticket revenue grew 17%, cargo revenue rose 39%, MRO revenue grew 32%, and loyalty and related revenue grew 19%. Corporate sales grew double digits across all sectors, with premium corporate sales up more than 25%.

DAL 8-K: Earnings & Results

01—Abstract

Summary

Summary of the 8-K filed July 10, 2026. Cited figures are marked; the original filing is the authoritative source.

Delta Air Lines, Inc. (DAL) reported June quarter 2026 results in a press release furnished as Exhibit 99.1 to this Form 8-K.

GAAP operating revenue rose 19% to $19.76 billion^a, with operating income of $1.86 billion (9.4% operating margin) and diluted EPS of $2.44, down from $3.27 a year earlier. On an adjusted basis, which excludes third-party refinery sales, mark-to-market hedge and investment adjustments and other items, operating revenue was $17.67 billion (up 13.9%), operating margin was 8.8% and EPS was $1.56, versus $2.12. Management said it absorbed the highest quarterly fuel expense in its history, with adjusted fuel price of $3.93 per gallon, up 75% year over year.

For the September quarter, Delta guided to total revenue growth of up mid-teens year over year, an operating margin of 11% to 13%, and EPS of $2.00 to $2.50^b, assuming fuel at the forward curve as of July 2, 2026, with an all-in fuel price of approximately $3.15 per gallon. For full-year 2026, the company affirmed adjusted EPS guidance of $6.50 to $7.50 and free cash flow of $3 to $4 billion, and expects gross leverage of approximately 2x by year-end. The filing also states the company announced a 15% increase to its dividend beginning in the September quarter.

Balance sheet metrics improved: adjusted net debt was $13.59 billion^c at June 30, 2026, down $709 million from year-end 2025, and liquidity was $7.7 billion. Second-quarter free cash flow was $209 million, down from $733 million a year earlier, reflecting higher capital expenditures and lower operating cash flow.

02—Key points

Key Highlights

Revenue: GAAP operating revenue of $19.76 billion, up 19%; adjusted operating revenue of $17.67 billion, up 13.9%, on about 1% capacity growth and adjusted TRASM up 12.4%.
Profitability: GAAP operating income of $1.86 billion (9.4% margin) and diluted EPS of $2.44, down from $3.27; adjusted operating income of $1.56 billion (8.8% margin) and adjusted EPS of $1.56, down from $2.12.
Fuel: Average GAAP fuel price of $3.66 per gallon and adjusted price of $3.93 per gallon, up 75% year over year; the company cited the highest quarterly fuel expense in its history.
Diversified revenue: Other revenue rose 50% to $3.86 billion, loyalty and related revenue grew 19%, and American Express remuneration was $2.4 billion, up 16%; the company said diverse revenue streams were 61% of adjusted operating revenue.
Guidance: September quarter total revenue expected up mid-teens, operating margin of 11% to 13%, and EPS of $2.00 to $2.50; full-year 2026 adjusted EPS of $6.50 to $7.50 and free cash flow of $3 to $4 billion affirmed.
Balance sheet and shareholder returns: Adjusted net debt of $13.59 billion, down $709 million from year-end 2025; gross leverage expected at approximately 2x by year-end; dividend to rise 15% beginning in the September quarter.
Cash flow: Second-quarter free cash flow of $209 million, down from $733 million, as gross capital expenditures rose 23% to $1.44 billion.

03—Questions

Frequently Asked Questions

How did Delta perform in the June 2026 quarter?
Delta reported GAAP operating revenue of $19.76 billion, up 19% year over year, with operating income of $1.86 billion and diluted EPS of $2.44, versus $3.27 a year earlier. Excluding third-party refinery sales and other adjusted items, the company reported operating revenue of $17.67 billion (up 13.9%), operating margin of 8.8% and EPS of $1.56. Management attributed the margin decline primarily to fuel costs, which it described as the highest quarterly fuel expense in its history.
What is Delta's outlook for the September quarter and full year?
For the September 2026 quarter, Delta expects total revenue to grow in the mid-teens percentage range year over year, an operating margin of 11% to 13%, and EPS of $2.00 to $2.50. The guidance assumes fuel at the forward curve as of July 2, 2026, with an all-in fuel price of about $3.15 per gallon, including a 5-cent-per-gallon refinery benefit. For full year 2026, the company affirmed adjusted EPS of $6.50 to $7.50 and free cash flow of $3 to $4 billion.
What did Delta announce regarding its dividend and balance sheet?
The filing states Delta announced a 15% increase to its dividend, beginning in the September quarter. Adjusted net debt was $13.59 billion at June 30, 2026, down $709 million from year-end 2025, and liquidity was $7.7 billion including $3.1 billion of undrawn revolver capacity. Management said it expects gross leverage of approximately 2x by year-end and that debt reduction remains a top priority.
Why did free cash flow decline in the second quarter?
Second-quarter free cash flow was $209 million, compared with $733 million a year earlier. Adjusted operating cash flow was $1.65 billion, down from $1.84 billion, and gross capital expenditures rose 23% to $1.44 billion, with flight equipment spending of $1.24 billion on the GAAP cash flow statement. Air traffic liability ended the quarter at $10.0 billion.
What are the main drivers of Delta's revenue growth?
The company cited broad demand strength. Domestic unit revenue grew 12% and international unit revenue rose 8%, led by Latin America. Premium ticket revenue grew 17%, cargo revenue rose 39%, MRO revenue grew 32%, and loyalty and related revenue grew 19%. Corporate sales grew double digits across all sectors, with premium corporate sales up more than 25%.

04—Continue

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