Southwest Airlines said Thursday it plans to slow its capacity growth next year, citing moderating travel demand as booking patterns shift back to pre-pandemic norms.
Southwest will expand its flying between 10% and 12% in the first quarter of 2024 from a year earlier, down from a previous forecast of as much as 16% growth, Southwest said in an earnings release.
Adjusting for the impact of labor contract adjustments and other one-time items, the company earned 38 cents per share.
The company forecast negative margins in the last three months of the year, citing weaker demand even for year-end holidays.
Southwest and Spirit shares were each down more than 4% in premarket trading, while Frontier was off 1%.
Persons:
Bob Jordan, Ted Christie
Organizations:
Southwest Airlines, Airlines, Southwest, Spirit Airlines, JetBlue Airways, Department, Frontier Airlines, Frontier
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