Southwest Airlines (LUV) Gross Margin (2009 - 2026)
Southwest Airlines (LUV) posted quarterly Gross Margin of 86.94% for Q2 2026, up 258.0% year-on-year from 24.29% in Q2 2025, and up 1.46% on a QoQ basis from 85.69% in Q1 2026.
Southwest Airlines (LUV) Gross Margin (2009 - 2026) Analysis & Trends
Southwest Airlines (LUV) has reported Gross Margin for 18 consecutive years, with 86.94% the latest figure, recorded in Q2 2026.
- Quarterly Gross Margin rose 258.0% year-over-year to 86.94% in Q2 2026, while the trailing twelve-month figure through Jun 2026 was 85.43% (up 91.0% YoY) and the FY2025 annual result came in at 84.08%, down 86.0% from the prior year.
- Gross Margin advanced to 86.94% in Q2 2026 per LUV's latest filing, from 85.69% in the prior quarter.
- Over the last five years, Gross Margin for LUV reached as high as 88.24% in Q2 2022 and fell as low as 77.45% in Q4 2022.
- A 5-year average of 84.66% and a median of 84.68% in 2022 frame the typical range for Gross Margin.
- The largest YoY upside for Gross Margin was 699 bps in 2022 against a maximum downside of 901 bps in 2022.
- Year by year, Gross Margin stood at 77.45% in 2022, then increased by 8 bps to 83.42% in 2023, then climbed by 3 bps to 86.29% in 2024, then fell by 2 bps to 84.94% in 2025, then climbed by 2 bps to 86.94% in 2026.
- According to Business Quant data, Gross Margin over the past three periods registered 86.94%, 85.69%, and 84.94% for Q2 2026, Q1 2026, and Q4 2025 respectively.
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Peer Comparison
| # | Company | Market Cap | Enterprise Value | Gross Profit (Qtr) | Gross Margin (Qtr) |
|---|---|---|---|---|---|
| 1 | Latam Airlines | 30,517.01 Bn | 30,514.34 Bn | 1.28 Mn | 0.03% |
| 2 | Ryanair Holdings | 61.45 Bn | 58.26 Bn | - | - |
| 3 | Delta Air Lines | 56.36 Bn | 51.69 Bn | 19.07 Bn | 96.52% |
| 4 | Southwest Airlines | 22.04 Bn | 18.25 Bn | 7.33 Bn | 86.94% |
| 5 | Controladora Vuela Compania de Aviacion, S.A.B. de C.V | 8.85 Bn | 8.03 Bn | - | - |
| 6 | Copa Holdings | 5.67 Bn | 4.34 Bn | 713.71 Mn | 74.12% |
| 7 | Alaska Air | 5.37 Bn | 3.60 Bn | 3.20 Bn | 97.00% |
| 8 | Skywest | 4.30 Bn | 3.70 Bn | 1.01 Bn | 91.70% |
| 9 | Jetblue Airways | 2.00 Bn | 1.58 Bn | 1.87 Bn | 83.66% |
| 10 | Allegiant Travel | 1.80 Bn | 895.60 Mn | 651.87 Mn | 97.03% |
Historic Data
Download Data| Date | Value |
|---|---|
| Jun 30, 2026 | 86.94% |
| Mar 31, 2026 | 85.69% |
| Dec 31, 2025 | 84.94% |
| Sep 30, 2025 | 83.84% |
| Jun 30, 2025 | 84.36% |
| Mar 31, 2025 | 83.04% |
| Dec 31, 2024 | 86.29% |
| Sep 30, 2024 | 84.29% |
| Jun 30, 2024 | 85.14% |
| Mar 31, 2024 | 83.92% |
| Dec 31, 2023 | 83.42% |
| Sep 30, 2023 | 85.32% |
| Jun 30, 2023 | 86.41% |
| Mar 31, 2023 | 83.32% |
| Dec 31, 2022 | 77.45% |
| Sep 30, 2022 | 86.83% |
| Jun 30, 2022 | 88.24% |
| Mar 31, 2022 | 84.43% |
| Dec 31, 2021 | 86.46% |
| Sep 30, 2021 | 85.85% |