SOUTHWEST AIRLINES CO

Southwest Airlines' Compensation Committee approved changes to annual base salaries and long-term incentive targets for certain officers, including named executive officers, effective August 15, 2026. The adjustments, including for CEO Bob Jordan, were made following an annual review and a reassessment of the company's airline peer group, aligning compensation more closely with American Airlines, Delta Air Lines, and United Airlines to attract and retain senior executive talent.

Southwest Airlines reported a 9.4% increase in net income to $233 million for Q2 2026, with total operating revenues climbing to $8.432 billion. Basic EPS reached $0.48, reflecting strong financial performance. The company recorded a $285 million breakage revenue reversal in Q2 2026 due to updated flight credit redemption estimates, which reduced net income by $185 million. Cash and cash equivalents improved, and the company continued share repurchases.

Southwest Airlines reported strong second quarter 2026 financial results, with adjusted diluted EPS of $0.94 and record operating revenues of $8.4 billion, driven by broad demand and cost discipline. The company achieved significant margin expansion despite a nearly $900 million increase in fuel expense. However, Southwest lowered its full-year 2026 adjusted EPS guidance to a range of $3.25 to $4.25, from its prior expectation of at least $4.00, while maintaining a positive outlook for Q3.

Southwest Airlines Co. entered into an Increase Joinder Agreement and First Amendment to its Credit Agreement, securing an additional $1.0 billion in incremental term loans. This increases the aggregate outstanding principal amount of Term Loans under the Amended Credit Agreement to $1.5 billion. The Term Loans mature on March 11, 2029, and are secured by certain aircraft and related assets, with terms substantially similar to the existing loans.

Southwest Airlines Co. filed its Form 10-Q for the quarter ended March 31, 2026, reporting key financial positions. As of March 31, 2026, the company's cash and cash equivalents stood at $3.33 billion, an increase from $3.23 billion at year-end 2025. Total current assets also rose to $5.97 billion from $5.65 billion over the same period. The filing includes comprehensive financial statements and management's discussion.

Southwest Airlines reported strong first-quarter 2026 financial results, with record operating revenues of $7.2 billion and a net income of $227 million, or $0.45 EPS, aligning with guidance. The company achieved a significant operating margin improvement of 8.1 points year-over-year to 4.6%, driven by successful business transformation initiatives and strong demand for new product offerings. Southwest also generated $1.4 billion in operating cash flow and returned over $1.3 billion to shareholders, demonstrating robust financial health and operational momentum despite higher fuel costs.