Introduction of Bag Fees and Basic Economy
Southwest Airlines successfully implemented bag fees and a basic economy product on May 28, which have exceeded revenue expectations and had no negative impact on operations.
Transformation and New Initiatives
Southwest is on a transformational journey, with the introduction of assigned and premium seating set to begin on January 27. The company has also launched new benefits for its Chase co-branded credit cards.
Industry-Leading On-Time Performance
Southwest Airlines led the industry in on-time performance for the first half of 2025, reflecting strong operational management.
Strong Capital Allocation and Share Repurchase
The Board of Directors authorized a new $2 billion share repurchase program over the next two years, reflecting confidence in the company's strategic plan and financial health.
Improved Aircraft Utilization
Southwest Airlines exceeded 2019 aircraft utilization levels through the introduction of red-eye flights and other operational efficiencies.
Expansion Initiatives
Southwest announced new services to St. Thomas and formed new partnerships with Icelandair and China Airlines, expanding its network.