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flag Southwest Airlines beats earnings estimates, raises 2026 outlook on fees and cost cuts.

flag Southwest Airlines posted fourth-quarter earnings of 58 cents per share, slightly above expectations, with revenue of $7.44 billion, up 7.4% year-over-year. flag The airline reported record full-year revenue of $28.1 billion and raised its 2026 guidance, projecting adjusted earnings of at least $4.00 per share—well above the $3.19 consensus—driven by new fees, assigned seating, and cost-cutting measures. flag The company expects first-quarter earnings of at least 45 cents per share, up from the 34 cents forecast. flag Southwest’s stock rose over 5% after the results, reflecting investor confidence in its transformation.

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