American, Alaska, Southwest: Who Came Out on Top?

American, Alaska, Southwest: Who Came Out on Top?

Today hosts Gordon Smith and Jay Shabat discuss the latest earnings reports from major U.S. airlines, focusing on the performance of American Airlines, Southwest Airlines, and Alaska Airlines. They analyze the factors affecting profitability, including operating margins, domestic exposure, labor costs, and market dynamics. The conversation also touches on the upcoming European airline earnings and the competitive landscape in the airline industry. Takeaways Delta and United reported strong operating margins of 13% and 12%. American Airlines' operating margin was 8%, indicating challenges ahead. Southwest Airlines reported a disappointing 3% margin, half of last year's performance. Non-fuel costs have significantly increased for airlines, impacting profitability. Premium travel demand remains strong, benefiting airlines like Delta and United. American Airlines has a higher domestic exposure compared to its competitors. A distribution misstep has negatively affected American Airlines' performance. American Airlines faces a credit card contract disadvantage compared to Delta and United. Alaska Airlines is performing well, with a strong loyalty program and corporate travel exposure. The upcoming European airline earnings reports are highly anticipated. Connect with Airline WeeklyLinkedIn: https://www.linkedin.com/company/airline-weekly/X: https://x.com/Airline_Weekly/Facebook: https://www.facebook.com/airlineweekly/Instagram: https://www.instagram.com/skiftnews/WhatsApp: https://whatsapp.com/channel/0029VaAL375LikgIXmNPYQ0L/Subscribe to @SkiftNews and never miss an update from the airline and travel industries.

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Wizz Air Abu Dhabi: What Went Wrong?

Wizz Air Abu Dhabi: What Went Wrong?

Today, hosts Gordon Smith and Jay Shabat are joined by their colleague Meghna Maharishi to discuss Delta's latest earnings report and what it signals for the airline industry. They then delve into the...

17 Juli 202533min

Who Wants to Join an Airline Alliance?

Who Wants to Join an Airline Alliance?

In this episode of the Airline Weekly Lounge, hosts Gordon Smith and Jay Shabat discuss the latest developments in the One World Alliance, including the recent addition of Oman Air as its 15th member....

10 Juli 202531min

The 2025 Half-Time Airline Report

The 2025 Half-Time Airline Report

In this episode, Gordon and Jay reflect on the first half of 2025 in the airline industry, discussing key trends such as global demand, the impact of the U.S. dollar, and the ongoing consolidation wit...

3 Juli 202523min

Paris Air Show 2025: Highs and Lows

Paris Air Show 2025: Highs and Lows

In part one of this week's show, Gordon and Jay discuss the major developments from this year's Paris Air Show. In part two, the conversation turns to Vietnam, as we learn more about its rapidly growi...

26 Juni 202533min

The Resurgence of Virgin Australia

The Resurgence of Virgin Australia

Today Jay Shabat is joined by Meghna Maharishi to discuss the recent developments in the airline industry, focusing on Virgin Australia and its turnaround after bankruptcy. They explore the implicatio...

19 Juni 202526min

Grounded Ambitions: Can Spirit and Wizz Soar Again?

Grounded Ambitions: Can Spirit and Wizz Soar Again?

In this episode of the Airline Weekly Lounge, hosts Gordon Smith and Jay Shabat tackle the challenges faced by Wizz Air and Spirit Airlines. They discuss Wizz Air's struggles with engine issues, marke...

12 Juni 202537min

Making Sense of the JetBlue and United Partnership

Making Sense of the JetBlue and United Partnership

For this episode of the Airline Weekly Lounge, hosts Gordon Smith and Jay Shabat delve into the recent partnership between JetBlue and United Airlines. They discuss the implications of this collaborat...

5 Juni 202525min

IATA's Willie Walsh Talks Tariffs, Air Traffic Control and Oil Prices

IATA's Willie Walsh Talks Tariffs, Air Traffic Control and Oil Prices

In this special edition of the Airline Weekly Lounge, Gordon Smith shares highlights from a recent interview with Willie Walsh, Director General of IATA and former CEO of IAG. From Trump's tariffs to ...

29 Maj 202526min

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