Strong Revenue Recovery
Total revenue surged 12.8% year-over-year to $7.25B in Q1 FY2026, up from $6.43B in Q1 FY2025, reflecting improved passenger demand and pricing power as the airline industry continued its post-pandemic normalization.
SOUTHWEST AIRLINES CO is expected to release its Q2 2026 10-Q filing in the upcoming earnings season. Last quarter: Southwest Airlines (LUV) returned to profitability in Q1 FY2026, posting net income of $227M and revenue of $7.25B (+12.8% YoY), a dramatic turnaround from a $149M net loss in the prior-year period.
Drawn from management commentary in the Q1 2026 10-Q:
Total revenue surged 12.8% year-over-year to $7.25B in Q1 FY2026, up from $6.43B in Q1 FY2025, reflecting improved passenger demand and pricing power as the airline industry continued its post-pandemic normalization.
Operating income swung from a loss of $223M to a gain of $330M, representing a $553M improvement and an operating margin of approximately 4.6%, compared to -3.5% in the prior year period — a significant operational turnaround.
Operating cash flow increased 64.9% year-over-year to $1.42B, up from $860M, demonstrating improved cash generation from core airline operations and supporting the company's capital return program.
Revenue
$7.25B
++12.77% YoY
EPS (Basic)
$0.45
++273.08% YoY
Operating Income
$330M
++247.98% YoY
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