Southwest Airlines Profit Margin

The latest profit margin for LUV is 2.78% as of June 2026. That compares with 1.43% in the prior-year period — up 94.6% year over year. That is below the Consumer Discretionary sector average of 9.32%. Investors often review this figure alongside Southwest Airlines's historical trend and sector peers before judging valuation or financial health.

Over the past year, LUV's profit margin moved from 1.43% to 2.78% — a 94.6% year-over-year increase. If the trend continues in the same direction for several quarters, it can signal a meaningful shift in Southwest Airlines's valuation or profitability profile.

Against Consumer Discretionary companies, LUV currently prints 2.78% for profit margin, while the sector average sits near 9.32%. That is roughly 70.1% below the sector mean. Large gaps often invite a closer look at Southwest Airlines's growth, margins, and balance sheet.

Profit Margin shows how effectively Southwest Airlines converts resources into returns. At 2.78%, LUV may look efficient or underperforming depending on peer benchmarks and trend direction. That compares with 1.43% in the prior-year period — up 94.6% year over year. Pair the percentage with revenue growth and leverage for a fuller health check.

After noting LUV's profit margin (2.78%), review year-over-year change from 1.43%, peer averages, and a few neighboring metrics such as revenue, margins, or valuation multiples. That combination usually beats staring at a single figure. The navigation links on this page jump you to those related views.