Company Reports

Southwest Airlines is the largest carrier in the US by passenger volume. For decades, Southwest stuck to its strategy of streamlining airline operations to maintain lower unit costs than its full-service rivals, which it passed on to customers in the form of cheaper tickets and a relatively low-frills experience.

Southwest Airlines is the largest carrier in the US by passenger volume. For decades, Southwest stuck to its strategy of streamlining airline operations to maintain lower unit costs than its full-service rivals, which it passed on to customers in the form of cheaper tickets and a relatively low-frills experience.

Southwest reported second-quarter results very close to our expectations overall, earning $285 million in operating profit on $8.4 billion in revenue. As in last quarter, its new seating and pricing plan resulted in more empty seats but higher revenue per seat than we had foreseen.

Southwest Airlines is the largest carrier in the US by passenger volume. For decades, Southwest stuck to its strategy of streamlining airline operations to maintain lower unit costs than its full-service rivals, which it passed on to customers in the form of cheaper tickets and a relatively low-frills experience.

Southwest reported first-quarter results very much in line with our expectations, earning $330 million in operating profit on $7.3 billion in revenue. Its new seating and pricing plan resulted in more empty seats and higher revenue per seat than we had foreseen.

We lowered our forecast for long-term air travel growth based on observed relationships among overall economic growth, demand for air travel, and the US share of global travel, which reduced our 2030 forecast for US airline capacity by 8%. We now suspect US airline capacity may shrink 1% in 2026.

Southwest Airlines is the largest carrier in the US by passenger volume. For decades, Southwest stuck to its strategy of streamlining airline operations to maintain lower unit costs than its full-service rivals, which it passed on to customers in the form of cheaper tickets and a relatively low-frills experience.

Southwest Airlines is the largest carrier in the US by passenger volume. For decades, Southwest stuck to its strategy of streamlining airline operations to maintain lower unit costs than its full-service rivals, which it passed on to customers in the form of cheaper tickets and a relatively low-frills experience.

Fuel prices have spiked since March 6, as US-Israeli attacks on oil infrastructure in Iran threatened global petroleum supply. We updated our forecasts to reflect the impact of higher fuel costs through the second quarter, offsetting some of the benefit of long-term tax deferrals in our valuations.

Since the US and Israel launched an attack on Iran on Feb. 28, and Iran pledged to close the Strait of Hormuz to petroleum shipments, market prices for crude oil and other distillates like kerosene or heating oil have risen 12% in the two trading days since.

Southwest Airlines is the largest carrier in the US by passenger volume. For decades, Southwest stuck to its strategy of streamlining airline operations to maintain lower unit costs than its full-service rivals, which it passed on to customers in the form of cheaper tickets and a relatively low-frills experience.

Southwest reported fourth-quarter results very much in line with our expectations, though the airline traded more empty seats for higher revenue per seat than we had foreseen. The company turned a corner in late January, having successfully rolled out its new seating and pricing plan.

To reduce strain on the unfunded and understaffed air traffic control system, the US Federal Aviation Administration announced restrictions on air traffic at 40 busy airports to go into effect Friday, Nov. 7, that would reduce flights by about 10% until the US government regains funding.

Southwest Airlines is the largest carrier in the US by passenger volume. For decades, Southwest stuck to its strategy of streamlining airline operations to maintain lower unit costs than its full-service rivals, which it passed on to customers in the form of cheaper tickets and a relatively low-frills experience.

Southwest reported healthy third-quarter results buoyed by renewed travel demand since July. Management updated expectations for how its modernized seating and ticketing practices will affect the bottom line in 2025 and beyond, with assigned seats taking effect at the end of January 2026.

Southwest reported decent second-quarter results and updated 2025 expectations for how its modernized seating and ticketing practices will affect the bottom line, offset by soft travel bookings in the spring, which pulled down the company's full-year profit expectation by about $1 billion.

Southwest Airlines is the largest carrier in the US by passenger volume. It has stuck to its strategy of streamlining airline operations to maintain lower unit costs than its full-service rivals, which it passes on to customers in the form of cheaper tickets and a relatively low-frills experience.

Southwest Airlines is the largest carrier in the US by passenger volume. It has stuck to its strategy of streamlining airline operations to maintain lower unit costs than its full-service rivals, which it passes on to customers in the form of cheaper tickets and a low-frills experience.

Southwest reported its first-quarter results and clarified how its modernized seating and ticketing practices will change the passenger experience beginning later in 2025. Uncertainty about travel spending later in the year prevented management from reaffirming most of its 2025 guidance.

Southwest Airlines is the largest carrier in the US by passenger volume. It has stuck to its strategy of streamlining airline operations to maintain lower unit costs than its full-service rivals, which it passes on to customers in the form of cheaper tickets and a low-frills experience.