Southwest Tops Estimates on Higher Traffic, Lower Fuel Costs

  • Airline speeds retirement of oldest Boeing 737s to next year
  • Move will reduce 2017 capacity growth below original plans

Southwest Airlines Co. Boeing 737 aircraft stand at their gates at Terminal 1 of Los Angeles International Airport (LAX) in Los Angeles, California, U.S., on Tuesday, August 18, 2015.

Photographer: Patrick T. Fallon/Bloomberg
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Southwest Airlines Co. reported first-quarter profit that beat analysts’ estimates and said it would speed retirement of its oldest Boeing 737s to better manage pilot training for a new model of the plane.

Earnings excluding some items climbed 88 cents a share, beating the 84-cent average of analyst estimates compiled by Bloomberg. Sales rose 9.3 percent to $4.83 billion, Dallas-based Southwest said in a statementBloomberg Terminal Thursday. Analysts had predicted $4.81 billion. Profit increased 26 percent to $567 million.