COVID variant causes Southwest to lower hopes for 3Q profit
Southwest Airlines says it no longer expects to be profitable in its third quarter.
Its gloomier forecast comes as a surge in COVID-19 infections fueled by the highly contagious delta variant darkens the outlook for travel.
The airline said in a regulatory filing that it was profitable in July. But it said it believes the recent negative effects of the pandemic on August and September revenue trends will make it difficult to be profitable in the third quarter.
That’s without accounting for the benefit of temporary relief provided by proceeds from the government’s payroll support program.