✨ Read this awesome post from Business News 📖
📂 Category:
💡 Here’s what you’ll learn:
A Southwest Airlines plane approaches Midway Airport on December 15, 2023 in Chicago. (Jun J. Kim/Chicago Tribune/Tribune News Service via Getty Images)
Jun J. Kim | Chicago Tribune | Getty Images
Southwest Airlines Emirates Airlines on Wednesday reported surprise third-quarter earnings and said it expects to achieve record sales in the last three months of the year thanks to improved travel demand and higher prices.
The carrier said it expects unit revenue to rise between 1% and 3% for the fourth quarter, with capacity increasing by 6% compared to the same period last year.
“This guidance range assumes that demand strength remains at current levels through the end of the quarter,” Southwest said.
Here’s how Southwest performed in the period ending Sept. 30 compared to Wall Street expectations, according to LSEG consensus estimates:
- EPS: 11 cents were revised against an expected loss of 3 cents
- profit: $6.95 billion versus $6.92 billion expected
In July, Southwest joined other airlines in lowering its 2025 profit forecast. The Dallas airline said it expects full-year pre-tax earnings to be between $600 million and $800 million, down from a previous forecast of $1.7 billion. Earnings expectations were reaffirmed on Wednesday.
The carrier is working to better compete with rivals and increase sales, ditching long-standing policies such as open seating and two free bags per passenger.
Southwest’s third-quarter profit fell more than 19% year over year to $54 million from $67 million. On a per-share basis, Southwest’s earnings fell to 10 cents from 11 cents a year earlier.
Adjusting for one-time items, Southwest reported earnings of $58 million for the third quarter, or 11 cents per share.
Revenues increased 1% to $6.95 billion compared to the same period a year earlier.
💬 What do you think?
#️⃣ #Southwest #Airlines #LUV #earnings
