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Southwest Airlines LUV Third party services

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Other financials

Income statement

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Revenue$8.4B+16.4%
Operating income$285.0M+26.7%
Net income$233.0M+9.4%
EPS (diluted)$0.47+20.5%

Balance sheet

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Cash & equivalents$3.8B+9.1%
Total debt$6.9B+29.0%
Total equity$7.1B-11.5%
Total assets$30.1B+4.9%

Cash flow

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Operating cash flow$530.0M+32.2%
CapEx$818.0M+23.9%
Free cash flow-$288.0M-11.2%

Valuation

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Market cap$23.87B+53.0%
Enterprise value$26.97B+54.4%
P/E28.5×-11.3×
P/S0.8×+0.2×

Profitability

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Operating margin3.5%+2.3pp
Net margin2.8%+1.4pp
FCF margin-1.5%+0.5pp

Returns & leverage

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Return on equity11.1%+6.9pp
Debt / equity+0.3×
Current ratio0.5×-0.1×

Where this comes from

Reported directly by Southwest Airlines in its filing.

Tagged under the XBRL concept luv:AccruedThirdPartyServices.

The source filing: Southwest Airlines’s 10-Q, filed July 23, 2026.

Filed
Jul 23, 2026, 4:11 PM EDT
Fiscal quarter
Q2 FY2026
Calendar quarter
Q2 2026
Accession
0000092380-26-000077
(in millions)June 30, 2026December 31, 2025
Salaries, withholdings, and payroll taxes540563
Ticket taxes and fees452333
Aircraft maintenance payable3145
Fuel payable232157
Dividends payable8893
Third party services165201
Other payable196210
Accounts payable$2,072$1,991

Item 1. Financial Statements

FAQ

What is Southwest Airlines's third party services?
Southwest Airlines (LUV) reported third party services of $165M in Q2 2026.
How has Southwest Airlines's third party services changed year-over-year?
Southwest Airlines's third party services decreased by 21.4% year-over-year, from $210M to $165M.
What is the long-term trend for Southwest Airlines's third party services?
Over 3 years (2022 to 2025), Southwest Airlines's third party services has grown at a 0.8% compound annual growth rate (CAGR), from $196M to $201M.
What does third party services mean?
This captures accrued expenses for various third-party professional or operational services that have been incurred but not yet invoiced or paid. It includes costs for ground handling, IT support, consulting, or other outsourced functions necessary for daily operations. This account ensures that expenses are matched to the period in which the services were consumed.

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