Southwest Airlines (LUV) Operating Margin (2009 - 2026)
Southwest Airlines' (LUV) quarterly Operating Margin came in at 3.38% in Q2 2026, up 27.0% YoY from 2.66% in Q2 2025, and down 25.75% on a QoQ basis from 4.55% in Q1 2026.
Southwest Airlines (LUV) Operating Margin (2009 - 2026) Analysis & Trends
Southwest Airlines (LUV) has 18 years of Operating Margin data on file, last reported at 3.38% in Q2 2026.
- Quarterly Operating Margin rose 27.0% year-over-year to 3.38% in Q2 2026, while the trailing twelve-month figure through Jun 2026 was 3.46% (up 230.0% YoY) and the FY2025 annual result came in at 1.53%, up 36.0% from the prior year.
- Operating Margin slipped to 3.38% in Q2 2026, from 4.55% in the prior quarter.
- In the past five years, Operating Margin ranged from a high of 17.21% in Q2 2022 to a low of 6.24% in Q4 2022.
- A 5-year average of 1.86% and a median of 2.45% in 2023 frame the typical range for Operating Margin.
- Annual changes were most pronounced in 2022 — Operating Margin slumped 1291 bps — and 2024, when it jumped 993 bps.
- Tracing LUV's Operating Margin over 5 years: stood at 6.24% in 2022, then grew by 5 bps to 5.92% in 2023, then soared by 168 bps to 4.01% in 2024, then surged by 31 bps to 5.25% in 2025, then sank by 36 bps to 3.38% in 2026.
- The last three Operating Margin figures came in at 3.38% (Q2 2026), 4.55% (Q1 2026), and 5.25% (Q4 2025), per Business Quant data.
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Peer Comparison
| # | Company | Market Cap | Enterprise Value | Gross Profit (Qtr) | Operating Margin (Qtr) |
|---|---|---|---|---|---|
| 1 | Delta Air Lines | 53.01 Bn | 48.34 Bn | 19.07 Bn | 9.43% |
| 2 | Ryanair Holdings | 28.78 Bn | 25.56 Bn | - | 12.63% |
| 3 | Southwest Airlines | 19.50 Bn | 15.71 Bn | 7.33 Bn | 3.38% |
| 4 | Copa Holdings | 5.30 Bn | 4.04 Bn | 1.03 Bn | 8.65% |
| 5 | Alaska Air | 4.46 Bn | 1.80 Bn | 3.76 Bn | -4.13% |
| 6 | Skywest | 3.98 Bn | 3.38 Bn | 1.01 Bn | 14.13% |
| 7 | Jetblue Airways | 1.79 Bn | -232.60 Mn | 2.32 Bn | -5.23% |
| 8 | Allegiant Travel | 1.75 Bn | 695.62 Mn | 902.77 Mn | 2.24% |
| 9 | Frontier Group Holdings | 1.33 Bn | 373.12 Mn | - | -7.58% |
| 10 | Republic Airways Holdings | 843.32 Mn | 565.72 Mn | 487.40 Mn | 10.28% |
Historic Data
Download Data| Date | Value |
|---|---|
| Jun 30, 2026 | 3.38% |
| Mar 31, 2026 | 4.55% |
| Dec 31, 2025 | 5.25% |
| Sep 30, 2025 | 0.50% |
| Jun 30, 2025 | 3.11% |
| Mar 31, 2025 | -3.47% |
| Dec 31, 2024 | 4.01% |
| Sep 30, 2024 | 0.55% |
| Jun 30, 2024 | 5.41% |
| Mar 31, 2024 | -6.21% |
| Dec 31, 2023 | -5.92% |
| Sep 30, 2023 | 1.79% |
| Jun 30, 2023 | 11.30% |
| Mar 31, 2023 | -4.98% |
| Dec 31, 2022 | -6.24% |
| Sep 30, 2022 | 6.35% |
| Jun 30, 2022 | 17.21% |
| Mar 31, 2022 | -3.22% |
| Dec 31, 2021 | 3.86% |
| Sep 30, 2021 | 15.67% |