Southwest Airlines facing profitability challenges; investor pressure to improve, stock negative.

From Investing.com: 2024-09-26 00:16:05

Southwest Airlines plans to restore profit margins in the face of activist investor pressure. Shares have plummeted 40%, earnings are down, and profit is expected to plunge 83% by 2024. Elliott Investment Management is pushing for management changes. The airline must deliver on its strategy to improve financial results. Requests include premium seats and revamped flight schedules. The airline has to address overcapacity, Boeing delivery delays, and shifting business travel trends. Operating costs have soared due to staffing and aging jets. Southwest must navigate these challenges to regain profitability and investor confidence.



Read more at Investing.com: Southwest Airlines to outline strategy to fix its profitability problem By Reuters