Southwest Airlines trims flights again to manage staffing crunch

Earnings

In this article

A Southwest Airlines Co. Boeing 737 passenger jet arrives at Midway International Airport (MDW) in Chicago, Illinois, U.S., on Monday, Oct. 11, 2021.
Luke Sharrett | Bloomberg | Getty Images

Southwest Airlines on Thursday reported a third-quarter profit on Thursday thanks to a boost from federal payroll aid but said operational problems from understaffing for the aggressive growth it planned hurt its bottom line.

Dallas-based Southwest earlier this month canceled more than 2,000 flights between Oct. 8 and Oct. 13, blaming the issues on bad weather in Florida, air traffic control compounded by staffing shortages.

Southwest said the disruptions cost it $75 million from cancellations, customer refunds and “gestures of goodwill.”

Here’s how Southwest performed in the second quarter compared with what Wall Street expected, based on average estimates compiled by Refinitiv:

  • Adjusted results per share: a loss of 23 cents versus an expected loss of 27 cents.
  • Total revenue: $4.68 billion versus expected $4.58 billion.

This is breaking news. Check back for updates.

Articles You May Like

AI funding fears rattle Wall Street. Here’s how we’re adjusting our portfolio
4 Top Retirement Havens Where You Can Watch The World Series
Southwest Airlines cuts 2026 profit forecast on higher fuel
United Airlines slashes 2026 profit outlook on fuel prices, but travelers keep booking despite higher fares
American Express is cutting 5% of its workforce to ‘prepare for AI’

Leave a Reply

Your email address will not be published. Required fields are marked *