Southwest Airlines Earnings Preview: Can This Streak Continue?

Southwest Airlines (NYSE:LUV) will report earnings before markets open on Thursday, April 25th. Southwest Airlines Co. is a domestic airline that provides primarily short-haul, high-frequency, point-to-point service. The Company offers flights throughout the United States.

Here is your Cheat Sheet to Southwest Airlines Earnings:

Earnings Expectations: Analysts expect earnings of $0.03 per share on revenues of $4.08 billion. Currently, the company’s P/E ratio stands at 23.18.

Analyst Trends:

Analysts have a neutral outlook for the company’s next-quarter performance. Over the past three months, the average estimate for next quarter’s earnings is a profit of $0.41 and has not changed. For the current year, the average estimate is a profit of $0.98, which is better than the estimate ninety days ago.

Earnings Trends:

Here’s how Southwest Airlines has been performing on an annual basis:

Fiscal Year 2008 2009 2010 2011 2012
Revenue ($) in millions 11,020 10,350 12,100 15,660 17,090
Diluted EPS ($) 0.24 0.13 0.61 0.23 0.56

Next, our CHEAT SHEET investing framework asks us to drill down to the recent quarterly data:

Quarter Dec. 31, 2011 Mar. 31, 2012 Jun. 30, 2012 Sep. 30, 2012 Dec. 31, 2012
Revenue ($) in millions 4,108 3,991 4,616 4,309 4,172
Diluted EPS ($) 0.19 0.13 0.30 0.02 0.11

Past Performance:
Southwest Airlines has beat analyst estimates 4 times in the past four quarters. Shareholders could expect a boost if the company beats estimates.

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(Company fundamentals provided by Xignite Financials. Email any earnings discrepancies to earnings [at]