Tuesday, September 30th12.0°C
22738
22768

Higher fares, more full seats help push Southwest Airlines to record 2Q profit of $465 million

DALLAS - Southwest Airlines is reporting a record profit for the second quarter, more than doubling its earnings from a year ago.

The company said it set records for passenger fares per mile and the percentage of seats sold on its planes during the April-to-June period. It said that bookings in July have been strong, with passengers paying about 3 per cent more per mile than in July 2013.

Southwest Airlines Co. is in the midst of several big changes, including phasing out the AirTran Airways brand, starting international flights on Southwest, and expansion in Dallas and other key markets.

The Dallas-based company said Thursday that second-quarter net income rose to $465 million, or 67 cents per share, compared with $224 million, or 31 cents per share, a year earlier.

Excluding special items, the airline said it would have earned 70 cents per share. That beat Wall Street's forecast of 61 cents per share, according to FactSet.

Revenue climbed 8 per cent to $5.01 billion, topping analysts' forecast of $4.94 billion.

Southwest said that passenger revenue per available seat mile, a closely watched number in the airline business, rose 9 per cent, a sign that customers are paying higher average fares. Despite the higher prices, Southwest and AirTran filled 83.9 per cent of seats on the average flight, up from 81.6 per cent a year earlier.

The company caught a break at the fuel pump. Spending on fuel dropped 4 per cent to $1.4 billion. Labor spending, however, rose 8 per cent, also to $1.4 billion.

Its shares slipped 4 cents to $28.87 in morning trading.

The Canadian Press


Read more Business News

23437


Recent Trending




Today's Market
S&P TSX15020.23+43.311
S&P CDNX909.50-3.26
DJIA17114.0942.87
Nasdaq4513.965+8.112
S&P 5001980.75+2.95
CDN Dollar0.8933-0.0026
Gold1208.30-10.50
Oil91.75-1.03
Lumber332.00+3.10
Natural Gas4.117-0.037

 
Okanagan Companies
Pacific Safety0.13-0.005
Knighthawk0.01-0.005
QHR Technologies Inc1.23+0.01
Cantex0.090.00
Anavex Life Sciences0.1850.00
Metalex Ventures0.0550.00
Russel Metals34.65+0.16
Copper Mountain Mining2.51-0.01
Colorado Resources0.150.00
ReliaBrand Inc0.025+0.005
Sunrise Resources Ltd0.065+0.045
Mission Ready Services0.335-0.005

 



23562

FEATURED Property
18558293777 glenford rd
3 bedrooms 3 baths
$419,900
more details
image2image2image2
Click here to feature your property
Please wait... loading


Power-save your way to a down payment

Part 2 of 2 to read Part 1, click here. 5. Dial down your vacations. New York is out. Maybe Buffalo. For West coast, maybe Seattle instead of Hawaii. Use sites like Airbnb (aribnb.ca) to find ch...


A wildly successful manufacturer

Niche food producer “Sweets from the Earth” thrives using innovation, uniqueness and an unwavering focus on quality. A neighbour’s stew turned Ilana Kadonoff off meat at the age of s...


Finding the smart money

Recently I had the privilege of working alongside André Voskuil, a local guru in the world of Alternative Financing. André has quite the reputation in the world of direct investments as ...

_








Member of BC Press Council


22620