Delta Air warns of rising jet-fuel cost, clouding profit rebound

Delta Air Lines Inc. reported the first quarterly profit excluding federal aid at a major U.S. carrier since the start of the pandemic but said rising jet fuel prices are a threat to staying in the black.

Earnings for the third quarter exceeded analysts’ expectations as the Atlanta-based airline overcame a temporary slowing of demand amid a resurgence of coronavirus-linked fears stemming from the delta variant.

Third-quarter net income, excluding $1.3 billion in government aid, came to $194 million, or 30 cents a share, the airline said Wednesday. Analysts had expected 17 cents, according to the average of estimates compiled by Bloomberg.