A surge in fuel prices will likely eat into Delta Air Lines' profits this quarter, despite strong travel demand, the airline said Wednesday.
Delta said in a filing that it expects to earn $1.65 to $1.75 a share in the three months ending June 30, down from its forecast in April of $1.80 to $2 a share.
The airlines have been grappling with a jump in fuel prices, generally their second-largest expense after employee salaries.
Earlier this week, the International Air Transport Association, an industry group that represents most of the world's airlines, cut its profit outlook for airlines this year due to higher costs.
Delta said fuel prices are up about 50 percent over the past 12 months. That's enough to crimp profits even though the airline expects revenue growth of between 4 and 5 percent quarter from the year-earlier period, a narrower range from the 3 to 5 percent the airline forecast in April.