Southwest profit rises
Southwest Airlines posted a higher quarterly profit, outperforming its larger and older rivals.
Dallas-based Southwest said third-quarter earnings rose to $106 million from a net income of $75 million a year ago.
Revenue rose nearly 12% to $1.55 billion from $1.39 billion.
Southwest, however, which recently eliminated agent commission costs, also predicted its overall costs will rise the rest of this year.
Other airlines have also been reporting profits, though less than Southwest.
Codeshare partners Northwest and Continental Airlines, for example, both also posted profits. Northeast reported a $42 million net profit following a $46 million loss a year ago. Continental’s quarterly gain of $133 million included $100 million from selling 17 million shares of stock.
For both Continental and Northwest, the third quarter was the second consecutive quarter of net profitability. Their numbers, however, were helped by a cash infusion from the federal government.
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