Delta Air Lines (DAL) Q3 2025 earnings

Delta Airlines We predict that 2025 will have a better ending than expected, thanks to rising airfares and resilient luxury travel demand.

The airline on Thursday forecast adjusted earnings of $1.60 to $1.90 per share for the fourth quarter; Analysts participating in the LSEG survey expected $1.65 per share. Delta said revenue would grow as much as 4% in the final three months of the year, above Wall Street’s expectation of 1.7%.

“As we look to 2026, Delta is well positioned to deliver top-line growth, margin expansion and earnings growth consistent with our long-term financial framework,” CEO Ed Bastian said in an earnings release.

Delta shares were up more than 5% in premarket trading.

Here is the company’s performance three months ended on September 30, Compared to Wall Street’s expectations, based on consensus estimates from LSEG:

• Earnings per share: Adjusted $1.71, expected $1.53
• Revenues: $15.2 billion versus the expected $15.06 billion

Delta’s outlook points to increased demand and reduced flight overhang; This has depressed airlines’ domestic fares and revenues, especially in early 2025 when consumer confidence was shaken in the early stages of President Donald Trump’s tariffs.

The Atlanta-based airline was the first of the major airlines to announce its results this quarter.

“Starting in July, cash sales increased,” Bastian said in an interview.

Delta’s third-quarter profit rose 11% to $1.42 billion, or $2.17 per share, from $1.27 billion, or $1.97 per share, a year earlier. Taking into account one-time items, including investment-related adjustments, its profit rose 15% to $1.12 billion, or $1.71 per share, above analyst estimates.

Adjusted revenue increased 4% year over year.

Demand for premium travel continued to eclipse coach cabin. Revenue from the upper-level segment, which includes first class and larger economy seats, rose 9% to about $5.8 billion in the third quarter, while main cabin revenue fell 4% to about $6 billion.

Bastian said there was no sign of consumer pullback on premium products.

Delta and other carriers have canceled unprofitable or less profitable flights, such as on unpopular midweek travel days, to help stem an oversupply of seats in the market. That overcapacity, along with changing consumer habits and higher costs, has made it more difficult for some U.S. carriers to generate big summer profits in advance.

The carrier’s domestic unit revenue rose 2% in the third quarter on a 4% increase in capacity, and Delta expects it to remain positive on an annualized basis this quarter. Strong corporate travel demand helped total domestic passenger revenue rise 5% in the third quarter.

Delta said in July it expects full-year adjusted earnings per share to be $6, at the upper end of the $5.25 to $6.25 range forecast for 2025.

When asked about the federal government shutdown, Bastian said the airline had seen “no impact” on its operations in recent days.