Southwest Airlines (LUV) Gross Margin (2009 - 2026)
Southwest Airlines (LUV) reported Gross Margin of 85.69% for Q1 2026, up 265.0% on a YoY basis from 23.48% in Q1 2025, and up 4.39% quarter-over-quarter from 82.09% in Q4 2025.
Southwest Airlines (LUV) Gross Margin (2009 - 2026) Analysis & Trends
Southwest Airlines has reported Gross Margin for 18 years, with the latest figure at 85.69% in Q1 2026.
- For the quarter ending Q1 2026, Gross Margin rose 265.0% year-over-year to 85.69%; the trailing twelve-month figure through Mar 2026 stood at 83.32% (up 649.0% YoY), and the FY2025 full-year result was 81.33%, up 248.0% from the prior year.
- Gross Margin for Q1 2026 stood at 85.69%, up from 82.09% in the prior quarter.
- The five-year high for Gross Margin was 86.83% in Q3 2022, with the low at 62.14% in Q4 2024.
- Historically, Gross Margin has averaged 79.68% across 5 years, with a median of 81.7% in 2025.
- Annual changes were most pronounced in 2024 — Gross Margin tumbled 1290 bps — and 2025, when it jumped 1995 bps.
- Southwest Airlines' Gross Margin stood at 77.45% in 2022, then slipped by 3 bps to 75.04% in 2023, then slipped by 17 bps to 62.14% in 2024, then jumped by 32 bps to 82.09% in 2025, then gained by 4 bps to 85.69% in 2026.
- The last three Gross Margin figures came in at 85.69% (Q1 2026), 82.09% (Q4 2025), and 83.84% (Q3 2025), per Business Quant data.
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Peer Comparison
| # | Company | Market Cap | Enterprise Value | Gross Profit (Qtr) | Gross Margin (Qtr) |
|---|---|---|---|---|---|
| 1 | Ryanair Holdings | 453.97 Bn | 448.50 Bn | 1.55 Bn | 52.58% |
| 2 | Delta Air Lines | 54.89 Bn | 49.84 Bn | 15.19 Bn | 95.80% |
| 3 | Grupo Aeromexico, S.A.B. de C.V | 47.52 Bn | 46.49 Bn | -239.00 Mn | -314.47% |
| 4 | Southwest Airlines | 23.88 Bn | 20.55 Bn | 6.21 Bn | 85.69% |
| 5 | Copa Holdings | 6.22 Bn | 4.88 Bn | 713.71 Mn | 74.12% |
| 6 | Alaska Air | 5.64 Bn | 3.87 Bn | 3.20 Bn | 97.00% |
| 7 | Skywest | 3.71 Bn | 3.08 Bn | 924.11 Mn | 91.21% |
| 8 | Controladora Vuela Compania de Aviacion, S.A.B. de C.V | 2.23 Bn | 2.23 Bn | - | - |
| 9 | Jetblue Airways | 2.11 Bn | -62.86 Mn | 1.87 Bn | 83.66% |
| 10 | Allegiant Travel | 1.82 Bn | 921.81 Mn | 651.87 Mn | 97.03% |
Historic Data
Download Data| Date | Value |
|---|---|
| Mar 31, 2026 | 85.69% |
| Dec 31, 2025 | 82.09% |
| Sep 30, 2025 | 83.84% |
| Jun 30, 2025 | 81.70% |
| Mar 31, 2025 | 83.04% |
| Dec 31, 2024 | 62.14% |
| Sep 30, 2024 | 84.29% |
| Jun 30, 2024 | 78.26% |
| Mar 31, 2024 | 75.81% |
| Dec 31, 2023 | 75.04% |
| Sep 30, 2023 | 85.32% |
| Jun 30, 2023 | 80.06% |
| Mar 31, 2023 | 72.89% |
| Dec 31, 2022 | 77.45% |
| Sep 30, 2022 | 86.83% |
| Jun 30, 2022 | 75.68% |
| Mar 31, 2022 | 84.43% |
| Dec 31, 2021 | 86.46% |
| Sep 30, 2021 | 85.85% |
| Jun 30, 2021 | 85.38% |