Southwest Airlines Lowers 2026 Profit Forecast Amid Rising Fuel Costs
Southwest Airlines has reduced its adjusted earnings forecast for 2026, citing significantly higher fuel prices. The carrier now expects to earn between $2.60 and $2.85 per share, a substantial decrease from the previous guidance of $3.25 to $4.25 per share issued in July. Despite the lowered outlook, Southwest's third-quarter performance exceeded Wall Street expectations, reporting adjusted earnings of 66 cents per share on revenue of $8.42 billion. CEO Bob Jordan noted that consumer demand remains strong as the company continues to transition its business model toward more traditional fee structures, including seat assignments and baggage fees.
Topics: airline industry business model change earnings beat fuel costs profit forecast downgrade
Part of the story United Airlines Cuts Profit Outlook for 2026 Amid Rising Fuel Costs (2 articles)