Southwest Airlines is bringing in more revenue, but a bigger fuel bill is weighing on its outlook. The Dallas-based carrier on Oct. 21 lowered its forecast for 2026 adjusted earnings to $2.60–$2.85 a share.
That compares with the $3.25–$4.25 range Southwest issued July 22. These are full-year forecasts, not the results of a single quarter.
In its third-quarter earnings release, Southwest reported $8.4 billion in revenue, up 21.2% from a year earlier, and net income of $270 million.
Fuel cost $3.92 a gallon in the quarter, above the airline’s earlier $3.70–$3.75 assumption. The total fuel expense was $821 million higher than in the same period of 2025.
