Delta narrowly misses and cuts its 2026 profit forecast by nearly a quarter as fuel costs surge

Delta reported adjusted third-quarter earnings of $1.72 a share on Friday, slightly below Wall Street's estimate, and lowered its full-year adjusted earnings outlook to $5.10 to $5.60 a share from $6.50 to $7.50. Reuters put the cut at nearly a quarter at the midpoint.

Fuel drove the cut. Delta's quarterly fuel expense rose 62 percent to $4.1 billion, per Reuters, and the airline now expects about $2.5 billion of free cash flow this year, down from as much as $4 billion. "All of it's fuel," said finance chief Erik Snell.

Demand is holding up. Chief executive Ed Bastian told CNBC the consumer response "continues to be quite strong," and Delta guided fourth-quarter adjusted earnings of $1.15 to $1.65 a share. The shares were down about 3 percent before the opening bell.