Delta Air Lines Q2 Earnings Preview: Premium Travel and Tariff Risks in Focus

Delta Air Lines prepares to unveil Q2 earnings on July 10 against a backdrop of mixed operational headwinds and tailwinds. Analysts project $2.07 EPS on $16.21 billion revenue—a 12.3% YoY earnings contraction despite 5.3% revenue growth.

Premium cabins continue driving performance, with Q1's 16% international revenue surge and 7% premium yield increase offsetting domestic softness. The American Express loyalty partnership remains a reliable revenue pillar, though leisure travel shows signs of price sensitivity.

New risks emerge as fuel costs and potential tariff impacts loom over FY25 guidance. The airline's European expansion gains momentum with plans for a net-zero headquarters in the Netherlands, while UBS's upgraded $66 price target reflects Optimism about Delta's positioning.