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Southwest’s quarterly profit misses estimates, but airline says U.S. travel demand is stabilizing

A Southwest Airlines Boeing 737 taxis at Ronald Reagan Washington National Airport on May 16, 2025 in Arlington, Virginia.

Kevin Carter | Getty Images

Southwest Airlines on Wednesday posted second-quarter earnings and revenue that fell short of Wall Street’s estimates but said demand has stabilized.

The airline announced a new $2 billion share buyback.

The carrier pulled its 2025 guidance in April, citing economic uncertainty in the U.S. Like other airlines, Southwest said it would cut flights during off-peak periods.

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

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