SWA 2Q Profit Falls
#1
SWA 2Q Profit Falls
http://www.thestreet.com/_yahoo/news...FREE&cm_ite=NA
This is not a cost problem, everybody has that. Notice their unit revenue fell by 3.4%. Maybe it's time to raise prices???
This is not a cost problem, everybody has that. Notice their unit revenue fell by 3.4%. Maybe it's time to raise prices???
#3
http://www.thestreet.com/_yahoo/news...FREE&cm_ite=NA
This is not a cost problem, everybody has that. Notice their unit revenue fell by 3.4%. Maybe it's time to raise prices???
This is not a cost problem, everybody has that. Notice their unit revenue fell by 3.4%. Maybe it's time to raise prices???
#4
Yeah. But unit revenue is a measure of efficiency. Their aggregate revenue increases come from producing more ASM's, if yields continue to fall it won't matter how much more revenue they produce. Kelly has said as much, and I'm sure they're working hard to fix it. It will be interesting to see what they do. i.e. assigned seating, entertainment, food service, international, or whatever it takes to attract premium fares. Or maybe they come up with something no one else has thought of??? If anybody can fix it, they can. I wouldn't be worried if I was working there. Yet.
#7
Like I said, I wouldn't. I'm not picking on SWA, I wish every airline had their management talent and prospects. My point is they have a revenue problem, not a fuel cost problem, and they know it. My guess is they will fix it. If they don't, and yields continue to fall, then I'd worry.
#8
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