However, in the midst of all this, at the Dallas Love Field global Airport, Southwest Airlines is looking at some serious competition from Delta Air Lines. Inc. On a different note, The Company has disclosed insider buying and selling activities to the Securities Exchange, The Securities and Exchange Commission has divulged that Ricks Ron, Officer (EVP, Chief Legal & Reg. Off.) of Southwest Airlines Co, had unloaded 5,125 shares at an average price of $46.04 in a transaction dated on January 26, 2015.
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Southwest Airlines is packing more passengers on planes than last summer and paying sharply lower prices for fuel.
Southwest’s shares traded up about 4.8% in Thursday’s premarket, at $36.80 in a 52-week range of $27.42 to $47.17.
( ALK ) reported that second-quarter net income grew to $234 million or $1.79 per share from $165 million or $1.19 per share in the prior-year quarter. It was the airline’s ninth straight quarter of record profit.
Analysts on average were expecting the company to report earnings of $1.02 per share on revenue of $5.14 billion.
The sharp drop in oil prices has been generally favorable to airlines.
It said it expects to pay about USD$2.20 per gallon of fuel in the third quarter, compared to USD$2.94 per gallon a year earlier.
The Dallas-based company said it had net income of 90 cents per share. The airline reported $0.66 EPS for the quarter, beating the Thomson Reuters consensus estimate of $0.65 by $0.01.
Revenue increased to to $5.11 billion from $5.01 billion a year earlier. Analysts expected revenue of $1.44 billion for the quarter.
In a press release statement, Chairman of the Board, President, and CEO Gary Kelly said, “We significantly expanded our margins and generated very strong cash flows during first half 2015, allowing us to return $811 million to Shareholders through dividends and share repurchases so far this year”.
Shares of Southwest Airlines (NYSE:LUV) traded up 1.17% during mid-day trading on Tuesday, hitting $34.71. They ended Wednesday’s session down 17 percent in 2015, compared with a 3 percent gain in the Standard & Poor’s 500 index.
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The price to earnings ratio, or the valuation ratio of a company’s current share price compared to its per-share earnings sits at 16.450.
