Rising fuel costs slashed Delta’s profit outlook despite strong demand

Rising fuel prices push Delta’s annual fuel expenses up by $6bn, affecting its profit outlook for 2026.Delta Air Lines cut its profit forecast despite heightened demand as fuel costs surge across the air travel sector.The Atlanta-based air carrier said in its third-quarter earnings report released on Friday that it expects its annual fuel costs to jump by $6bn, as ongoing tensions between the United States and Iran have sent fuel prices surging across the global aviation sector.Recommended Stories list of 3 itemslist 1 of 3FAA halts flights to major US East Coast airports amid outagelist 2 of 3US aviation sanctions disrupt Iran flights, push travellers overlandlist 3 of 3What would a US diesel export ban mean for global fuel prices?end of listOverall, US airlines spent nearly $43bn on fuel in the first eight months of the year, a $13.2bn increase from the same period a year earlier.On Wall Street, Delta cut its earnings outlook for the year to adjusted earnings per share of $5.10 to $5.60, down from its July forecast of $6.50 to $7.50. The midpoint of the new range is below analysts’ average estimate of $5.46, according to LSEG data.Delta’s stock tumbled in midday trading as the tr...