How Did Southwest Perform Operationally In October?
Like many of its competitors, Southwest Airlines (NYSE:LUV) suffered operationally in the month of October on adverse weather conditions propagated by three hurricanes that hit the East Coast and the Caribbean. These hurricanes impacted operations and forced the company to cancel over 5,000 flights in Q3.
In the month of October, the company grew its capacity by a meager 1.7% y-o-y, bringing the year to date capacity up by 3.8%. Furthermore, the occupancy rate increased by an insignificant 10 bps to come in at 85.8%. Passenger traffic grew at a marginal pace of about 1.9% y-o-y, with year to date traffic touching 3.5%.
Based on these results and current trends, the Company continues to expect its fourth quarter 2017 operating revenue per ASM (RASM) to increase in the range of up slightly to 1.5 percent, as compared with thee fourth quarter 2016.
- What’s Behind The 15% Fall In Southwest Airlines Stock Earlier This Week?
- What’s Next For Southwest Stock After A 20% Rise This Year?
- Gaining 20% In 2023 Will Delta Continue To Outperform Southwest Stock?
- Will Southwest Airlines Stock Recover To Its Pre-Inflation-Shock Level?
- Here’s A Better Pick Over Southwest Airlines Stock
- Southwest Airlines Stock Has Shed 30% Since Late 2019: Here’s Why
Notes:
1) The purpose of these analyses is to help readers focus on a few important things. We hope such communication sparks thinking, and encourages readers to comment and ask questions on the comment section, or email content@trefis.com
2) Figures mentioned are approximate values to help our readers remember the key concepts more intuitively. For precise figures, please refer to our complete analysis for Southwest Airlines
View Interactive Institutional Research (Powered by Trefis):
Global Large Cap | U.S. Mid & Small Cap | European Large & Mid Cap