Southwest Airlines Suffers Stock Decline Due to Lower Boeing 737-8 Deliveries
Friday, 15 March 2024, 18:00
Southwest disappoints the market
The airline disappointed investors with an update this week. Shares in Southwest Airlines (NYSE: LUV) declined by 18.1% this week through early Friday morning trading. The setback occurred after Southwest management gave a disappointing update at the JPMorgan Industrials Conference.
Southwest's mixed first-quarter update
- Available seat miles (ASM) in the first quarter up 11%
- Bookings ahead of normal trends for the second quarter
- Non-fuel cost per ASM (CASM) to increase by around 6%
On a more negative note, the capacity reduction due to aircraft delivery delays could impact Southwest's growth strategy.
This article was prepared using information from open sources in accordance with the principles of Ethical Policy. The editorial team is not responsible for absolute accuracy, as it relies on data from the sources referenced.