Southwest Airlines Posts Impressive 4th Quarter Profits
Southwest Airlines is making money on more traffic and higher ticket prices, producing a 15 percent jump in revenue.And the airline says bookings for January and the rest of the winter look strong.
Southwest said Thursday it made $131 million in the fourth quarter, compared with a gain of $116 million in the same period last year. Analysts expected $116.2 million, according to FactSet.
The airline likes to advertise that it offers low fares, but lately it's been raising prices right along with all the other airlines to boost revenue.
The airline industry is on a rebound after getting hammered by falling demand during the recession. But airline executives are spooked by rising fuel prices that could undercut profit. Southwest's fuel bill jumped 18 percent in the fourth quarter.