The airline also forecast better-than-expected unit revenue (RASM), a proxy for pricing power, for the first quarter. Airlines across the U.S. have cut seating to boost fares after a surplus capacity, introduced last summer in anticipation of a demand surge, forced airlines to offer discounts and sacrifice margins.

Southwest Airlines Co. warned that costs will climb faster than expected as it grapples with heavy labor expenses, undercutting gains from strong demand for leisure travel.

Southwest Airlines stock was falling on Thursday after the carrier’s fourth-quarter revenue and forward guidance both came in a little short of Wall Street’s expectations. Shares fell 2.7% to $30.80 in premarket trading.

Southwest Airlines said Thursday it swung to a fourth-quarter profit of 42 cents a share from a year-ago loss of 42 cents a share, as overall expenses fell on lower fuel costs.

Despite pressure to cut costs and an activist investor campaign, Southwest reported a healthy profit for the fourth quarter.

Southwest's results echo sentiments laid out by Delta Air Lines, which reported quarterly results earlier in the month. Delta said demand accelerated throughout the fourth quarter, with a handful of its highest revenue days in history taking place in November and December. The company also expects travel demand to remain strong this year.

Figure skaters and coaches returning from the national championships were aboard the American Airlines flight that collided with a Black Hawk helicopter near Reagan National Airport on Wednesday, the U.

Below are the earnings highlights for Southwest Airlines Inc. (LUV): Earnings: $261 million in Q4 vs. -$252 million in the same

The lawsuit filed in Texas says the carrier's failure to remove an underperforming fund option, which holds over $2 billion in assets, has cost plan members millions.

In the midst of the airline’s financial woes, the company just revealed that it will be making some major changes in an effort to cut costs. According to a new report from CNBC, Southwest Airlines is putting a freeze on corporate hiring and promotions.

A regional jet approach ing Reagan National Airport collided with a military helicopter over the Potomac River late Wednesday night, prompting a massive search and rescue operation.

Southwest Airlines Co (LUV) stock saw a modest uptick, ending the day at $32.58 which represents a slight increase of $0.41 or 1.27% from the prior close of $32.17. The stock opened at $32.07 and touched a low of $31.