Southwest reports Q2 2018 net income of USD 733m

Southwest Airlines Co. (NYSE:LUV) has reported second quarter 2018 net income of USD 733m and earnings per diluted share of USD 1.27, compared with second quarter 2017 net income of USD 743 million, or USD1.23 per diluted share, the company said.

The company reported operating income of USD 972 million and operating margin of 16.9%, operating cash flow of USD 1.6 billion and free cash flow of USD 1.1 billion.

As of June 30, 2018, the Company had approximately USD 3.7 billion in cash and short-term investments, and a fully available unsecured revolving credit line of USD 1 billion.

During second quarter 2018, the Company returned USD 593 million to its Shareholders through the repurchase of USD 500 million in common stock and the payment of USD 93 million in dividends.

For the six months ended June 30, 2018, net cash provided by operations was approximately USD 2.6 billion, capital expenditures were approximately USD 929 million, and free cash flow was USD 1.8 billion.

The Company ended second quarter with 730 aircraft in its fleet. This reflects the second quarter 2018 delivery of 12 new 737-800s and 2 new 737 MAX 8s. The Company expects to end 2018 with 751 aircraft in its fleet based on the current aircraft delivery schedule.

Southwest Airlines Co. (NYSE: LUV) is a major United States airline headquartered in Dallas, Texas, and is the world´s largest low-cost carrier. The airline has more than 57,000 employees as of March 2018 and operates more than 4,000 departures a day during peak travel season.