Delta Air Lines has withdrawn its full-year profit forecast and scaled back some planned capacity increases, citing weakening demand and growing concerns over a potential recession and trade conflicts.
The airline, one of the first to report its quarterly results since President Donald Trump’s announcement of major tariffs on U.S. trading partners, noted that global market uncertainty was affecting its outlook. While Delta’s first-quarter profits were slightly higher than the previous year, executives said they were adjusting their strategy to reduce the number of flights in response to a more challenging consumer environment, driven by shifting trade dynamics.
Delta CEO Ed Bastian explained, “With broad economic uncertainty around global trade, growth has largely stalled.” He added, “In this slower-growth environment, we are protecting margins and cash flow by focusing on what we can control.”
