Southwest Airlines revised its Q2 revenue outlook to a 4%-4.5% drop in unit revenues, citing challenges in adapting its revenue management strategy.

Southwest Airlines reduced its second-quarter revenue outlook, forecasting a 4% to 4.5% drop in unit revenues, up from its previous expectation of a 1.5% to 3.5% decline. The airline attributes the change to the challenges in adapting its revenue management strategy to current booking patterns in a dynamic environment. Despite the lowered expectations, Southwest continues to anticipate an all-time quarterly record for operating revenue in Q2 2024.