Southwest Airlines CFO Says Demand Environment Remains "Very, Very Strong" - Morgan Stanley Conf. Call - LUV News | RalliesSouthwest Airlines CFO Says Demand Environment Remains "Very, Very Strong" - Morgan Stanley Conf. Call
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LUV• Fleet timing and Boeing 737 MAX 7 update
- Southwest CFO says deliveries of some Boeing 737 MAX 7 aircraft are expected to start around year-end.
- Southwest CFO says the 737 MAX 7 is expected to enter service in early 2027.
- Southwest CFO says 27 MAX 7 aircraft are already built and in storage.
Ancillary revenue plans and capacity outlook
- Southwest CFO says assigned seating and extra-legroom seats are expected to generate over $1 billion EBIT in 2026, about $1.5 billion in 2027.
- Southwest CFO says bag fees are expected to generate about $1 billion EBIT in 2026.
- Southwest CFO says lounge rollout envisions seven more locations beyond four already announced.
- Southwest CFO says the airline has not decided on international long-haul flying, but is "absolutely considering" it.
- Southwest CFO says the airline plans to add a premium-level co-branded credit card.
- Southwest CFO says 2026 capacity growth has been cut about in half because of higher fuel prices.
- Southwest CFO says if fuel remains higher for longer, the airline would trim more capacity.
CFO says demand and revenue trends remain strong
- Southwest Airlines CFO says the demand environment remains "very, very strong" during a Morgan Stanley conference call.
- Southwest CFO says September travel demand has exceeded expectations.
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