Leisure Demand Propels Southwest Q3 Revenue, Although Challenges Spark Capacity Adjustments In 2024 Plan
Portfolio Pulse from Akanksha Bakshi
Southwest Airlines Co (NYSE:LUV) reported a 4.9% YoY increase in Q3 FY23 operating revenue to $6.525 billion, missing the consensus of $6.56 billion. The revenue strength was driven by solid leisure demand and managed business performance. Adjusted EPS was $0.38, down from $0.50 in 3Q22, in line with the consensus. The company expects a record-breaking Q4 in terms of operating revenue due to a high number of passengers. However, LUV shares are trading lower by 1.08% at $23.35.
October 26, 2023 | 4:33 pm
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Southwest Airlines reported a YoY increase in Q3 FY23 revenue but missed the consensus. The company expects a record-breaking Q4, but shares are trading lower.
Despite reporting a YoY increase in Q3 FY23 revenue, Southwest Airlines missed the consensus, which could negatively impact investor sentiment. The company's expectation of a record-breaking Q4 might not be enough to offset this negative sentiment, as reflected in the lower trading of LUV shares.
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IMPORTANCE 80
RELEVANCE 100