Southwest cuts 2026 adjusted EPS outlook amid higher fuel costs

On October 22, 2026, Southwest Airlines lowered its 2026 adjusted EPS forecast to $2.60 to $2.85 from $3.25 to $4.25. The company attributed the revision primarily to rising fuel prices, while CEO Robert Jordan said passenger bookings remained strong. Southwest also projects Q4 adjusted EPS of 55-80 cents and plans a capital markets day for March 2, 2027.

The lower forecast reduces Southwest's expected 2026 adjusted earnings range and reflects higher fuel costs. Strong bookings may partially offset the pressure, but the company has not provided a quantified offset in these materials.

  • 1Southwest lowered its 2026 adjusted EPS forecast from $3.25 to $4.25 to $2.60 to $2.85.
  • 2Southwest projects Q4 adjusted EPS of 55-80 cents.
  • 3The company attributed the 2026 forecast revision primarily to rising fuel prices.
  • 4Southwest plans to hold a capital markets day on March 2, 2027.
  • Material 1 describes the previous 2026 adjusted EPS forecast as $4, while material 2 gives the previous range as $3.25 to $4.25; the materials do not reconcile the difference.

Sources