Activist Investor pushing changes at SWA
07-18-2024, 09:11 AM
#253
Gets Weekends Off
Joined APC: Nov 2013
Position: 737CA
Posts: 186
So far, we have had three airlines report earnings. Some nuggets from the income statements from the 2nd quarter.
DAL- domestic yields were down 2% with domestic capacity up 8%
UAL- domestic yields were down 1.2% with domestic capacity up 5.3%
ALK- yields were flat with capacity up 6%.
If these airlines have hard time pushing yields higher domestically, this will not bold well for SWA when they report next week.
In other news, JBLU will be adding more premium seating to the fleet as well as ALK. ALK will have 28% of their total seats as premium by the end of 2025. SWA's competitors see the trend also. SWA need's to get with the program or they will be left in the dust. Although investor day is late Sept, BJ will be under pressure to start talking about what they will do when they report on Thursday.
DAL- domestic yields were down 2% with domestic capacity up 8%
UAL- domestic yields were down 1.2% with domestic capacity up 5.3%
ALK- yields were flat with capacity up 6%.
If these airlines have hard time pushing yields higher domestically, this will not bold well for SWA when they report next week.
In other news, JBLU will be adding more premium seating to the fleet as well as ALK. ALK will have 28% of their total seats as premium by the end of 2025. SWA's competitors see the trend also. SWA need's to get with the program or they will be left in the dust. Although investor day is late Sept, BJ will be under pressure to start talking about what they will do when they report on Thursday.
07-18-2024, 09:34 AM
#254
Gets Weekends Off
Joined APC: Oct 2017
Posts: 326
So far, we have had three airlines report earnings. Some nuggets from the income statements from the 2nd quarter.
DAL- domestic yields were down 2% with domestic capacity up 8%
UAL- domestic yields were down 1.2% with domestic capacity up 5.3%
ALK- yields were flat with capacity up 6%.
If these airlines have hard time pushing yields higher domestically, this will not bold well for SWA when they report next week.
In other news, JBLU will be adding more premium seating to the fleet as well as ALK. ALK will have 28% of their total seats as premium by the end of 2025. SWA's competitors see the trend also. SWA need's to get with the program or they will be left in the dust. Although investor day is late Sept, BJ will be under pressure to start talking about what they will do when they report on Thursday.
DAL- domestic yields were down 2% with domestic capacity up 8%
UAL- domestic yields were down 1.2% with domestic capacity up 5.3%
ALK- yields were flat with capacity up 6%.
If these airlines have hard time pushing yields higher domestically, this will not bold well for SWA when they report next week.
In other news, JBLU will be adding more premium seating to the fleet as well as ALK. ALK will have 28% of their total seats as premium by the end of 2025. SWA's competitors see the trend also. SWA need's to get with the program or they will be left in the dust. Although investor day is late Sept, BJ will be under pressure to start talking about what they will do when they report on Thursday.
07-18-2024, 11:27 AM
#255
Gets Weekends Off
Joined APC: Apr 2013
Posts: 3,650
By 2037 the whole fleet will be configured!
Our earning forecast has already been adjusted down. I predict flat to slight improvement over last year since they were still reeling from the meltdown then. We will beat the estimate that they set intentionally low.
07-18-2024, 11:50 AM
#256
Gets Weekends Off
Joined APC: Nov 2013
Position: 737CA
Posts: 186
This is what concerns me more than anything else. They will announce a study that will take 2 years followed by a slow phase into the fleet with new deliveries the way they are doing power outlets.
By 2037 the whole fleet will be configured!
Our earning forecast has already been adjusted down. I predict flat to slight improvement over last year since they were still reeling from the meltdown then. We will beat the estimate that they set intentionally low.
By 2037 the whole fleet will be configured!
Our earning forecast has already been adjusted down. I predict flat to slight improvement over last year since they were still reeling from the meltdown then. We will beat the estimate that they set intentionally low.
07-18-2024, 02:29 PM
#258
Line Holder
Thread Starter
Joined APC: Dec 2020
Posts: 41
So far, we have had three airlines report earnings. Some nuggets from the income statements from the 2nd quarter.
DAL- domestic yields were down 2% with domestic capacity up 8%
UAL- domestic yields were down 1.2% with domestic capacity up 5.3%
ALK- yields were flat with capacity up 6%.
If these airlines have hard time pushing yields higher domestically, this will not bold well for SWA when they report next week.
In other news, JBLU will be adding more premium seating to the fleet as well as ALK. ALK will have 28% of their total seats as premium by the end of 2025. SWA's competitors see the trend also. SWA need's to get with the program or they will be left in the dust. Although investor day is late Sept, BJ will be under pressure to start talking about what they will do when they report on Thursday.
DAL- domestic yields were down 2% with domestic capacity up 8%
UAL- domestic yields were down 1.2% with domestic capacity up 5.3%
ALK- yields were flat with capacity up 6%.
If these airlines have hard time pushing yields higher domestically, this will not bold well for SWA when they report next week.
In other news, JBLU will be adding more premium seating to the fleet as well as ALK. ALK will have 28% of their total seats as premium by the end of 2025. SWA's competitors see the trend also. SWA need's to get with the program or they will be left in the dust. Although investor day is late Sept, BJ will be under pressure to start talking about what they will do when they report on Thursday.
Now anything short of what JetBlue is doing is going to be a really tough sell to investors.
07-18-2024, 03:47 PM
#259
Gets Weekends Off
Joined APC: Oct 2018
Posts: 146
JetBlue (and to a lesser extent Alaska) announcing that they will be reconfiguring every single plane in their fleet over the next couple years to add premium seats significantly increases the pressure on SWA to act and act in a big way. I suspect that their plan all along has been to try to get away with selling the first row and the exit rows as “premium” and pat themselves on the back that they responded to the premium demand without actually doing anything.
Now anything short of what JetBlue is doing is going to be a really tough sell to investors.
Now anything short of what JetBlue is doing is going to be a really tough sell to investors.
I have yet to see a first class seat unfilled. People want meals, booze and the ability to get some sleep and space to themselves. They're paying for the product, which is why UA/DL and Jetblue are doubling down on premium product offerings.
Curious to see how SWA reacts. They could easily change the product, but it reamins to be seen whether the C-Suite wants to change with the times or stay in the 1980s.
07-19-2024, 07:24 AM
#260
Gets Weekends Off
Joined APC: Nov 2013
Position: 737CA
Posts: 186
Normally when they release earnings, they bring in leadership to give them a update. This time around they will do a 'Southwest: After the call" Q&A for all employees with CEO,COO and CFO. Maybe i'm reading too much into that but usually it's pretty common to hear the talking points of the CC. Nothing more. This time it maybe different. We'll see.
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