Delta Air Lines reports $1.5 billion third-quarter pre-tax profit

Delta Air Lines reported a third-quarter pre-tax profit of $1.5 billion for the period ending in September, matching performance from the previous year. Despite strong travel demand and a 16 percent increase in adjusted revenue to $17.6 billion, the airline is facing significant financial pressure from rising energy costs.

The company expects to face a $6 billion increase in fuel expenses for the full year, which has led to a lowered earnings forecast. Delta now projects full-year pre-tax profits of approximately $4.5 billion. Adjusted earnings per share are now expected to be between $5.10 and $5.60, a decrease from the earlier guidance of $6.50 to $7.50.

CEO Ed Bastian noted that while the airline has generated $1.9 billion in free cash flow so far this year, the surge in jet fuel prices—which rose 62 percent year-over-year to $4.14 billion in the third quarter—remains a primary challenge. The airline continues to rely on its premium seat offerings and its partnership with American Express to mitigate these operational costs.