FirmAtlas

Company handbook · LUV · Prepared by FirmAtlas · firmatlas.app · printed 2026-10-17

LUV · CIK 92380 · LATEST FILING: 10-Q JUN '26 · FILED JUL 23, 2026

SOUTHWEST AIRLINES CO.

$39.50 −1.33 (−3.26%)

Close, Oct 16, 2026 · 52-week $29–55

↗ southwest.com

Last fiscal year

SOUTHWEST AIRLINES CO. reported revenue of $28.1B for the year ended Dec 31, 2025 (FY25), up 2.1% from FY24. Net income was $441M, operating cash flow $1.8B and free cash flow −$831M. Source: 10-K filed Feb 5, 2026.

Market cap

$22.0B

P/E

26.3

EV/EBITDA

11.8x

P/B

3.1

Div yield

1.82%

ROIC

4.2%

Revenue 1Y

2.1%/yr

EPS 1Y

3.9%/yr

Shares 1Y

−13%

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Daily closes, split-adjusted · ratios at each fiscal year end

Company

CEORobert E. Jordan

HQDallas, TX

AuditorErnst & Young LLP

Year endsDecember

Compounded growth & averages

10Y

TTM

Share price

−0.4%

−4.7%

15.5%

18.7%

Upgrade to see 10 years

Share price: yearly compound rate of the traded close; the last column is the past year.

Where the cash went · FY24–FY25

$8.4B deployed

Capex $4.7B 56.6%

Dividends $829M 9.9%

Buybacks $2.8B 33.5%

Operating cash flow over the period: $2.3B. Total debt changed by −$492M.

Capex was more than operating cash flow in FY25.

Sources 10-K FY25 10-Q Jun '26 All filings on EDGAR

Latest filings

Aug 12, 2026 Material agreement 8-K Aug 10, 2026 Executive or director change 8-K Aug 7, 2026 Executive or director change 8-K Jul 22, 2026 Quarterly results 8-K May 19, 2026 Material agreement 8-K

Growth engines

How much of the profit growth came from new investment, and how much from running the business better.

Upgrade to see 10 years

Financials

Last 2 years · Upgrade to see 10 years · USD millions · each year opens its 10-K · change vs previous year

Last 4 quarters · USD millions · quarter-end month shown · change vs same quarter a year earlier

TTM = the last four quarters, to Jun '26. Balance-sheet rows show that latest quarter. “—” where the quarters do not add up to the annual figures. No TTM for cash: our quarterly rows do not hold short-term investments yet, and annual cash includes them.

Income

FY24 FY25

TTM

Revenue

27,483

28,063+2.1%

30,072

YoY

+2.1%

Operating income

321

428+33.3%

1,041

Operating margin

1.2%

1.5%+0.4 pp

—

EBITDA

1,978

1,988+0.5%

—

EBITDA margin

7.2%

7.1%−0.1 pp

—

Interest expense

249

167−32.9%

—

Interest coverage

7.94x

11.90x+3.96x

—

Net income

465

441−5.2%

837

YoY

−5.2%

Net margin

1.7%

1.6%−0.1 pp

—

EPS (diluted, $)

0.76

0.79+3.9%

1.60

YoY

+3.9%

Balance sheet

FY24 FY25

TTM

Total assets

33,750

29,061−13.9%

30,122

Cash & short-term investments

8,725

3,231−63.0%

—

Accounts receivable

98+108.5%

—

Net PP&E

19,056

20,245+6.2%

—

Other assets

5,922

5,487−7.3%

—

Total liabilities

23,400

21,080−9.9%

23,040

Accounts payable

1,818

1,991+9.5%

—

Total debt

5,069

4,577−9.7%

3,790

Other liabilities

16,513

14,512−12.1%

—

Shareholders’ equity

10,350

7,981−22.9%

7,082

Total liabilities = total assets − shareholders’ equity, so it includes minority interest where a company has one.

Cash flow statement · as filed

FY24 FY25

TTM

Cash from operations

462

1,842+298.7%

2,529

Net income

465

441−5.2%

—

Depreciation & amortization

1,657

1,560−5.9%

—

Stock-based compensation

99+120.0%

—

Working capital & other

(1,705)

(258)n/m

—

Cash from investing

(261)

(1,429)n/m

—

Capex

(2,054)

(2,673)n/m

—

Investments bought

(5,014)

(470)n/m

—

Investments sold / matured

5,995

1,693−71.8%

—

Other investing

812

21−97.4%

—

Cash from financing

(1,980)

(4,691)n/m

—

Debt raised

1,500n/m

—

Dividends

(430)

(399)n/m

—

Buybacks

(250)

(2,550)n/m

—

Other financing

(1,300)

(3,242)n/m

—

Net change in cash

(1,779)

(4,278)n/m

—

Free cash flow (OCF − capex)

(1,592)

(831)n/m

(405)

Where the cash went

FY24 FY25

TTM

Operating cash flow

462

1,842+298.7%

2,529

Reinvested in the business

2,054

2,673+30.1%

—

% of operating cash flow

444.6%

145.1%

Capex

2,054

2,673+30.1%

2,934

Free cash flow

(1,592)

(831)n/m

(405)

YoY

n/m

Returned to shareholders

680

2,949+333.7%

—

% of free cash flow

—

Dividends

430

399−7.2%

—

Buybacks

250

2,550+920.0%

—

Change in total debt

—

(492)

—

Cash left over

—

(4,272)

—

FCF conversion (FCF ÷ net income)

−342.4%

−188.4%+153.9 pp

—

Owner earnings

—

(550)

—

Owner earnings margin

—

−2.0%

—

Buyback yield

1.2%

11.1%+9.9 pp

—

Returns & ratios

FY24 FY25

TTM

ROIC (all capital)

3.7%

4.2%+0.5 pp

—

ROIC (operating)

1.4%

1.9%+0.4 pp

—

Net debt / EBITDA

−1.85x

0.68x+2.53x

—

Debt / equity

0.49x

0.57x+0.08x

—

ROE

4.5%

5.5%+1.0 pp

—

ROA

1.4%

1.5%+0.1 pp

—

ROCE

1.5%

2.4%+0.9 pp

—

NOPAT

250

335+34.3%

—

Invested capital (operating)

17,285

18,352+6.2%

—

Invested capital (all)

6,694

9,327+39.3%

—

Reinvestment rate

—

318.3%

—

Income

Sep '25

Dec '25

Mar '26

Jun '26

Revenue

6,949

7,442

7,249

8,432

vs year-ago quarter

Operating income

391

330

285

Net income

323

227

233

vs year-ago quarter

Net margin

0.8%

4.3%

3.1%

2.8%

EPS (diluted, $)

0.10

0.58

0.45

0.47

vs year-ago quarter

Balance sheet

Sep '25

Dec '25

Mar '26

Jun '26

Total assets

28,312

29,061

29,355

30,122

Cash & equivalents

2,902

3,231

3,328

3,791

Total debt

4,079

4,577

4,536

3,790

Shareholders’ equity

7,776

7,981

6,875

7,082

Cash flow

Sep '25

Dec '25

Mar '26

Jun '26

Operating cash flow

287

294

1,418

530

Capex

678

808

630

818

Free cash flow

(391)

(514)

788

(288)

vs year-ago quarter