Southwest pleased with strong Q2 revenue trends

Washington DC
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Southwest Airlines is "very pleased" with revenue performance so far this second quarter, following a stronger than expected result in April.

The Dallas-based carrier expects to announce "very strong" May unit revenues and traffic in the following days, says chief financial officer Tammy Romo at the Deutsche Bank Global Industrials and Basic Materials conference in Chicago today.

"Trends continue to be very strong," says Romo. "The strength we saw in April is continuing. April came in stronger than we were expecting."

Southwest grew passenger revenue per available seat mile (PRASM) in the 7-8% range in April, it announced last month. This is higher than the 6-7% range it had earlier forecasted in April during the release of its first quarter financial results.

The month had benefitted from the later timing of the Easter and Passover holidays this year, which took place in April instead of March in 2013.

The carrier reported record operating and net profits in the first quarter, and posted a 3.5% growth in PRASM during the period to 12.90 cents.