Southwest Airlines and JetBlue Airways has both reported strong figures for the third quarter of 2010, crediting higher fares for the lift.
“Our outlook for October is excellent, based on traffic and revenue trends, thus far,” said Gary Kelly, Southwest’s chairman and chief executive. “Assuming traffic and revenue trends continue, we expect a solid unit- revenue improvement in fourth quarter 2010, even with more difficult year-over-year comparisons.”
For the third quarter, Southwest posted third-quarter profits of $205 million over a loss of $16 million in 2009. Revenue rose 20% to $3.19 billion in the last three months, as average passenger fare rose 16.3% to $132.53.
JetBlue was a big mover this quarter with earnings nearly quadrupling to $59 million, from $15 million in the same period last year. Operating revenue rose 21% to $1.03 billion, while average fares increased by 11.6% to $141.79.
“Looking ahead, we are encouraged by strong revenue trends, particularly in our Boston and Caribbean markets. We expect this revenue momentum to continue into the fourth quarter,” says Ed Barnes. JetBlue’s chief financial officer.