Southwest CEO Bob Jordan told CNBC last month that discounting was common this summer. In April, Southwest had pulled its 2025 financial guidance, citing economic uncertainty. Domestic coach-class travel demand has come in weaker than airline executives expected this year. A Southwest Airlines Boeing 737 taxis at Ronald Reagan Washington National Airport in Arlington, Virginia, on May 16, 2025. Kevin Carter | Getty Images
Southwest Airlines on Wednesday posted second-quarter earnings and revenue that fell short of Wall Street’s estimates but said travel demand has stabilized, echoing other airlines in recent weeks.
The airline also announced a new $2 billion share buyback.
Here’s how Southwest performed in the second quarter compared with Wall Street expectations, according to consensus estimates from LSEG:
Earnings per share: 43 cents adjusted vs. 51 cents expected Revenue: $7.24 billion vs. $7.3 billion expected
The carrier pulled its 2025 guidance in April, citing economic uncertainty in the U.S. Similar to other airlines, Southwest said it would cut flights during off-peak periods as carriers grappled with weaker domestic travel demand than expected at the start