Delta Air Lines releases transcript of Q2 2026 earnings call
DAL•Capacity and growth plans
Capacity plans called for Q3 up 1%, Q4 up 2%-3% led by international; growth focus over the next few years is centered on upgauging, Asia, and the Middle East.
Q2 2026 earnings call highlights
Delta Air Lines held its Q2 2026 earnings call with CEO Ed Bastian, COO Dan Janki, CCO Joe Esposito, and CFO Erik Snell.
- Posted record revenue of $17.7 billion, up 14% on about 1% capacity growth; pre-tax profit was $1.4 billion; EPS was $1.56; operating margin was 9%.
- Kept full-year EPS outlook of $6.5-$7.5 despite a nearly $4 billion fuel-cost increase; free cash flow is seen at $3-$4 billion.
- Guided Q3 operating margin of 11%-13% on mid-teens revenue growth; EPS of $2-$2.5; fuel price assumed at $3.15 per gallon.
- Delta-Amex remuneration is expected at $9 billion in 2026, up 10%; diverse revenue reached 61% of total, with premium and loyalty up nearly 20%.
Management commentary and balance sheet
Management cited industry “structural change” supporting fare durability; low-end carriers still need about 5% higher fares to break even at current fuel.
Adjusted net debt ended at $13.6 billion; gross leverage is targeted at 2x by year-end; non-fuel unit costs are expected to trend to low single-digit growth.
