SOUTHWEST AIRLINES CO is expected to release its Q3 2026 10-Q filing on October 22, 2026. Last quarter: In Q2 FY2026, Southwest Airlines (LUV) delivered record quarterly revenue of $8.432B and 26.7% growth in GAAP operating income to $285M, but sharply higher fuel costs and a $285M flight-credit breakage revenue reversal constrained the reported operating margin to 3.4%.
EPS Estimate
$0.59
Revenue Estimate
$8.34B
Analyst consensus from Finnhub. Actual results posted within minutes of the SEC filing on the LUV page.
Drawn from management commentary in the Q2 2026 10-Q:
Total operating revenue rose 16.4% year over year to an all-time quarterly record of $8.432B, despite a $285M breakage-revenue adjustment. Passenger revenue increased $1.118B, or 16.9%, to $7.745B, reflecting more customers purchasing higher fare categories, bag-fee revenue, assigned and extra-legroom seating, and related co-brand effects; average fare increased 20.9% to $225.61 and yield rose 15.4%.
Aircraft fuel and related taxes increased $889M, or 67.0%, to $2.215B as fuel cost per gallon rose to $3.92 from $2.32. The Company attributed the increase primarily to higher jet-fuel prices associated with market disruptions and worldwide geopolitical events; its July 17, 2026 forward curve implied third-quarter fuel cost of $3.70-$3.75 per gallon, including related taxes.
GAAP second-quarter results included a $285M reversal of breakage revenue recorded in prior years for certain non-expiring flight credits issued from July 2022 through December 2025, because actual and projected customer redemptions were higher than previously estimated. Excluding special items, operating income was $585M and diluted EPS was $0.94, compared with reported GAAP operating income of $285M and diluted EPS of $0.47.
Revenue
$8.43B
++16.40% YoY
EPS (Basic)
$0.48
++20.00% YoY
Operating Income
$285M
++26.67% YoY
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