LUV 10-Q report for 2025-09-30

LUV 10-Q report for 2025-09-30 luv-20250930 UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q (Mark One) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended September 30, 2025 or ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from ________ to ________ Commission File No. 1-7259 SOUTHWEST AIRLINES CO. (Exact name of registrant as specified in its charter) Texas 74-1563240 (State or other jurisdiction of (IRS Employer incorporation or organization) Identification No.) P.O. Box 36611 Dallas, Texas 75235-1611 (Address of principal executive offices) (Zip Code) Registrant's telephone number, including area code:   ( 214 ) 792-4000 Securities registered pursuant to Section 12(b) of the Act: Title of each class Trading Symbol Name of each exchange on which registered Common Stock ($1.00 par value) LUV New York Stock Exchange Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.   Yes x   No ¨ Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files).   Yes x   No ¨ Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company, or an emerging growth company. See the definitions of "large accelerated filer," "accelerated filer," "smaller reporting company," and "emerging growth company" in Rule 12b-2 of the Exchange Act. Large accelerated filer x Accelerated filer ☐ Non-accelerated filer ☐ Smaller reporting company ☐ Emerging growth company ☐ If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ¨ Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).Yes ☐  No x Number of shares of Common Stock outstanding as of the close of business on October 22, 2025: 517,155,080 TABLE OF CONTENTS TO FORM 10-Q PART I - FINANCIAL INFORMATION Item 1. Financial Statements Condensed Consolidated Balance Sheet as of September 30, 2025 and December 31, 2024 Condensed Consolidated Statement of Comprehensive Income for the three and nine months ended September 30, 2025 and 2024 Condensed Consolidated Statement of Stockholders' Equity as of September 30 , 2025 and 2024 Condensed Consolidated Statement of Cash Flows for the three and nine months ended September 30, 2025 and 2024 Notes to Condensed Consolidated Financial Statements Item 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations Item 3. Quantitative and Qualitative Disclosures About Market Risk Item 4. Controls and Procedures PART II - OTHER INFORMATION Item 1. Legal Proceedings Item 1A. Risk Factors Item 2. Unregistered Sales of Equity Securities and Use of Proceeds Item 3. Defaults Upon Senior Securities Item 4. Mine Safety Disclosures Item 5. Other Information Item 6. Exhibits SIGNATURES 2 Table of Contents SOUTHWEST AIRLINES CO. FORM 10-Q PART I – FINANCIAL INFORMATION Item 1. Financial Statements Southwest Airlines Co. Condensed Consolidated Balance Sheet (in millions) (unaudited) September 30, 2025 December 31, 2024 ASSETS Current assets: Cash and cash equivalents $ 2,902 $ 7,509 Short-term investments 116 1,216 Accounts and other receivables 1,118 1,110 Inventories of parts and supplies, at cost 792 800 Prepaid expenses and other current assets 467 639 Total current assets 5,395 11,274 Property and equipment, at cost: Flight equipment 26,009 25,202 Ground property and equipment 8,776 8,244 Deposits on flight equipment purchase contracts 402 413 Assets constructed for others 88 88 35,275 33,947 Less allowance for depreciation and amortization 15,570 14,891 19,705 19,056 Goodwill 970 970 Operating lease right-of-use assets 1,169 1,369 Other assets 1,073 1,081 $ 28,312 $ 33,750 LIABILITIES AND STOCKHOLDERS' EQUITY Current liabilities: Accounts payable $ 1,708 $ 1,818 Accrued liabilities 2,091 2,206 Current operating lease liabilities 310 328 Air traffic liability 6,862 6,294 Current maturities of long-term debt 23 1,630 Total current liabilities 10,994 12,276 Long-term debt less current maturities 4,079 5,069 Air traffic liability - noncurrent 1,263 1,948 Item 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations Item 3. Quantitative and Qualitative Disclosures About Market Risk Item 4. Controls and Procedures PART II - OTHER INFORMATION Item 1. Legal Proceedings Item 1A. Risk Factors Item 2. Unregistered Sales of Equity Securities and Use of Proceeds Item 3. Defaults Upon Senior Securities Item 4. Mine Safety Disclosures Item 5. Other Information Item 6. Exhibits SIGNATURES 2 Table of Contents SOUTHWEST AIRLINES CO. FORM 10-Q PART I – FINANCIAL INFORMATION Item 1. Financial Statements Southwest Airlines Co. Condensed Consolidated Balance Sheet (in millions) (unaudited) September 30, 2025 December 31, 2024 ASSETS Current assets: Cash and cash equivalents $ 2,902 $ 7,509 Short-term investments 116 1,216 Accounts and other receivables 1,118 1,110 Inventories of parts and supplies, at cost 792 800 Prepaid expenses and other current assets 467 639 Total current assets 5,395 11,274 Property and equipment, at cost: Flight equipment 26,009 25,202 Ground property and equipment 8,776 8,244 Deposits on flight equipment purchase contracts 402 413 Assets constructed for others 88 88 35,275 33,947 Less allowance for depreciation and amortization 15,570 14,891 19,705 19,056 Goodwill 970 970 Operating lease right-of-use assets 1,169 1,369 Other assets 1,073 1,081 $ 28,312 $ 33,750 LIABILITIES AND STOCKHOLDERS' EQUITY Current liabilities: Accounts payable $ 1,708 $ 1,818 Accrued liabilities 2,091 2,206 Current operating lease liabilities 310 328 Air traffic liability 6,862 6,294 Current maturities of long-term debt 23 1,630 Total current liabilities 10,994 12,276 Long-term debt less current maturities 4,079 5,069 Air traffic liability - noncurrent 1,263 1,948 Deferred income taxes 2,210 2,167 Noncurrent operating lease liabilities 846 1,031 Other noncurrent liabilities 1,144 909 Stockholders' equity: Common stock 888 888 Capital in excess of par value 4,283 4,199 Retained earnings 16,158 16,332 Accumulated other comprehensive loss ( 6 ) ( 25 ) Treasury stock, at cost ( 13,547 ) ( 11,044 ) Total stockholders' equity 7,776 10,350 $ 28,312 $ 33,750 See accompanying notes. 3 Table of Contents Southwest Airlines Co. Condensed Consolidated Statement of Comprehensive Income (in millions, except per share amounts) (unaudited) Three months ended September 30, Nine months ended September 30, 2025 2024 2025 2024 OPERATING REVENUES: Passenger $ 6,313 $ 6,250 $ 18,751 $ 18,673 Freight 42 43 127 131 Other 594 577 1,743 1,749 Total operating revenues 6,949 6,870 20,621 20,553 OPERATING EXPENSES: Salaries, wages, and benefits 3,219 3,070 9,583 9,010 Fuel and oil 1,331 1,417 3,907 4,548 Maintenance materials and repairs 299 335 921 1,046 Landing fees and airport rentals 548 493 1,638 1,468 Depreciation and amortization 394 438 1,189 1,250 Other operating expenses 1,123 1,079 3,346 3,188 Total operating expenses 6,914 6,832 20,584 20,510 OPERATING INCOME 35 38 37 43 NON-OPERATING EXPENSES (INCOME): Interest expense 35 63 120 191 Capitalized interest ( 13 ) ( 9 ) ( 38 ) ( 24 ) Interest income ( 34 ) ( 121 ) ( 172 ) ( 392 ) Other (gains) losses, net ( 21 ) 16 ( 28 ) ( 1 ) Total non-operating income ( 33 ) ( 51 ) ( 118 ) ( 226 ) INCOME BEFORE INCOME TAXES 68 89 155 269 PROVISION FOR INCOME TAXES 14 22 37 65 NET INCOME $ 54 $ 67 $ 118 $ 204 NET INCOME PER SHARE, BASIC $ 0.10 $ 0.11 $ 0.21 $ 0.34 NET INCOME PER SHARE, DILUTED $ 0.10 $ 0.11 $ 0.21 $ 0.34 COMPREHENSIVE INCOME $ 83 $ 19 $ 137 $ 167 WEIGHTED AVERAGE SHARES OUTSTANDING Basic 523 599 548 598 Diluted 526 601 551 643 See accompanying notes. 4 Table of Contents Southwest Airlines Co. Condensed Consolidated Statement of Stockholders' Equity (in millions, except per share amounts) (unaudited) Common Stock Capital in excess of par value Retained earnings Accumulated other comprehensive income (loss) Treasury stock Total Balance at December 31, 2024 $ 888 $ 4,199 $ 16,332 $ ( 25 ) $ ( 11,044 ) $ 10,350 Repurchase of common stock —  —  —  —  ( 758 ) (a) ( 758 ) Issuance of common and treasury stock pursuant to Employee stock plans —  ( 10 ) —  —  13 3 Share-based compensation —  21 —  —  —  21 Cash dividends, $ 0.18 per share —  —  ( 103 ) —  —  ( 103 ) Comprehensive income (loss) —  —  ( 149 ) 1 —  ( 148 ) Balance at March 31, 2025 $ 888 $ 4,210 $ 16,080 $ ( 24 ) $ ( 11,789 ) $ 9,365 Repurchase of common stock —  —  —  —  ( 1,515 ) (a) ( 1,515 ) Issuance of common and treasury stock pursuant to Employee stock plans —  12 —  —  5 17 Share-based compensation —  25 —  —  —  25 Cash dividends, $ 0.18 per share —  —  ( 94 ) —  —  ( 94 ) Comprehensive income (loss) —  —  213 ( 11 ) —  202 Balance at June 30, 2025 $ 888 $ 4,247 $ 16,199 $ ( 35 ) $ ( 13,299 ) $ 8,000 Repurchase of common stock —  —  —  —  ( 252 ) (a) ( 252 ) Issuance of common and treasury stock pursuant to Employee stock plans —  10 —  —  4 14 Share-based compensation —  26 —  —  —  26 Cash dividends, $ 0.18 per share —  —  ( 95 ) —  —  ( 95 ) Comprehensive income —  —  54 29 —  83 Balance at September 30, 2025 $ 888 $ 4,283 $ 16,158 $ ( 6 ) $ ( 13,547 ) $ 7,776 (a) Includes excise tax incurred on share repurchases, net of issuances. 5 Table of Contents Common Stock Capital in excess of par value Retained earnings Accumulated other comprehensive income (loss) Treasury stock Total Balance at December 31, 2023 $ 888 $ 4,153 $ 16,297 $ — $ ( 10,823 ) $ 10,515 Issuance of common and treasury stock pursuant to Employee stock plans —  ( 25 ) —  —  15 ( 10 ) Share-based compensation —  10 —  —  —  10 Cash dividends, $ 0.18 per share —  —  ( 107 ) —  —  ( 107 ) Comprehensive income (loss) —  —  ( 231 ) 19 —  ( 212 ) Balance at March 31, 2024 $ 888 $ 4,138 $ 15,959 $ 19 $ ( 10,808 ) $ 10,196 Issuance of common and treasury stock pursuant to Employee stock plans —  12 —  —  5 17 Share-based compensation —  7 —  —  —  7 Cash dividends, $ 0.18 per share —  —  ( 108 ) —  —  ( 108 ) Stock warrants repurchase —  ( 6 ) —  —  —  ( 6 ) Comprehensive income (loss) —  —  367 ( 8 ) —  359 Balance at June 30, 2024 $ 888 $ 4,151 $ 16,218 $ 11 $ ( 10,803 ) $ 10,465 Issuance of common and treasury stock pursuant to Employee stock plans —  10 —  —  5 15 Share-based compensation —  19 —  —  —  19 Cash dividends, $ 0.18 per share —  —  ( 107 ) —  —  ( 107 ) Comprehensive income (loss) —  —  67 ( 48 ) —  19 Balance at September 30, 2024 $ 888 $ 4,180 $ 16,178 $ ( 37 ) $ ( 10,798 ) $ 10,411 See accompanying notes. 6 Table of Contents Southwest Airlines Co. Condensed Consolidated Statement of Cash Flows (in millions) (unaudited) Three months ended Nine months ended September 30, September 30, 2025 2024 2025 2024 CASH FLOWS FROM OPERATING ACTIVITIES: Net income $ 54 $ 67 $ 118 $ 204 Adjustments to reconcile net income to net cash provided by (used in) operating activities: Depreciation and amortization 394 438 1,189 1,250 Impairment of long-lived assets — — 8 — Unrealized/realized loss on fuel derivative instruments — 15 — 17 Deferred income taxes 14 19 37 62 Gain on sale-leaseback transactions — — ( 3 ) — Changes in certain assets and liabilities: Accounts and other receivables ( 83 ) 193 64 ( 80 ) Other assets 3 ( 13 ) 359 4 Accounts payable and accrued liabilities 11 ( 196 ) ( 209 ) ( 1,668 ) Air traffic liability ( 172 ) ( 377 ) ( 117 ) 421 Other liabilities 16 ( 18 ) ( 19 ) ( 136 ) Cash collateral provided to derivative counterparties — ( 8 ) ( 22 ) ( 28 ) Other, net 50 ( 7 ) 142 ( 60 ) Net cash provided by (used in) operating activities 287 113 1,547 ( 14 ) CASH FLOWS FROM INVESTING ACTIVITIES: Capital expenditures ( 678 ) ( 517 ) ( 1,814 ) ( 1,594 ) Assets constructed for others — ( 10 ) — ( 26 ) Proceeds from sale-leaseback transactions — — 23 — Purchases of short-term investments ( 100 ) ( 636 ) ( 470 ) ( 3,845 ) Proceeds from sales of short-term and other investments 350 1,621 1,577 5,160 Other, net — — ( 3 ) ( 29 ) Net cash provided by (used in) investing activities ( 428 ) 458 ( 687 ) ( 334 ) CASH FLOWS FROM FINANCING ACTIVITIES: Payroll Support Program stock warrants repurchase — — — ( 6 ) Proceeds from Employee stock plans 14 15 46 46 Repurchase of common stock ( 250 ) — ( 2,500 ) — Payments of long-term debt and finance lease obligations ( 6 ) ( 11 ) ( 2,603 ) ( 27 ) Payments of cash dividends ( 189 ) ( 216 ) ( 399 ) ( 431 ) Other, net ( 1 ) 2 ( 11 ) ( 19 ) Net cash used in financing activities ( 432 ) ( 210 ) ( 5,467 ) ( 437 ) NET CHANGE IN CASH AND CASH EQUIVALENTS ( 573 ) 361 ( 4,607 ) ( 785 ) CASH AND CASH EQUIVALENTS AT BEGINNING OF PERIOD 3,475 8,142 7,509 9,288 CASH AND CASH EQUIVALENTS AT END OF PERIOD $ 2,902 $ 8,503 $ 2,902 $ 8,503 CASH PAYMENTS FOR: Interest, net of amount capitalized $ 3 $ 14 $ 67 $ 124 Income taxes $ — $ — $ 5 $ 7 SUPPLEMENTAL DISCLOSURE OF NON-CASH TRANSACTIONS: Right-of-use assets acquired or modified under operating leases $ 4 $ 23 $ 38 $ 42 Flight and ground equipment acquired or modified under finance leases $ 6 $ 17 $ 6 $ 16 See accompanying notes. 7 Table of Contents Southwest Airlines Co. Notes to Condensed Consolidated Financial Statements (unaudited) 1. Basis of Presentation 2. New Accounting Pronouncements 3. Financial Derivative Instruments 4. Comprehensive Income 5. Revenue 6. Net Income Per Share 7. Fair Value Measurements 8. Supplemental Financial Information 9. Commitments and Contingencies 10. Financing Activities 11. Restructuring 8 Notes to Condensed Consolidated Financial Statements Southwest Airlines Co. Notes to Condensed Consolidated Financial Statements (unaudited) 1.     BASIS OF PRESENTATION Basis of Presentation Southwest Airlines Co. (the "Company" or "Southwest") operates Southwest Airlines, a major passenger airline that provides scheduled air transportation in the United States and near-international markets. The unaudited Condensed Consolidated Financial Statements include accounts of the Company and its wholly owned subsidiaries. The accompanying unaudited Condensed Consolidated Financial Statements of the Company and its subsidiaries have been prepared in accordance with accounting principles generally accepted in the United States for interim financial information and with the instructions to Form 10-Q and Article 10 of Regulation S-X. Accordingly, they do not include all of the information and footnotes required by generally accepted accounting principles in the United States ("GAAP") for complete financial statements as required in Form 10-K. The unaudited Condensed Consolidated Financial Statements for the interim periods ended September 30, 2025 and 2024 include all adjustments which are, in the opinion of management, necessary for a fair presentation of the results for the interim periods. This includes all normal and recurring adjustments and elimination of significant intercompany transactions. Financial results for the Company and airlines in general can be seasonal in nature. For example, absent other factors, travel demand is generally higher during the summer period, or the Company’s second and third fiscal quarters. However, air travel is also significantly impacted by general economic conditions, the amount of disposable income available to consumers and changes in consumer behavior, unemployment levels, corporate travel budgets, global pandemics, extreme or severe weather and natural disasters, fears of terrorism or war, governmental actions, and other factors beyond the Company's control. These and other factors, such as the price of jet fuel in some periods, have created, and may continue to create, significant volatility in the Company's financial results. Operating results for the three and nine months ended September 30, 2025, are not necessarily indicative of the results that may be expected for future quarters or for the year ended December 31, 2025. For further information, refer to the Consolidated Financial Statements and footnotes thereto included in the Company's Annual Report on Form 10-K for the year ended December 31, 2024. On July 4, 2025, the One Big Beautiful Bill Act, was signed into law. The legislation did not have a material impact on the Company's income tax expense for the quarter ending September 30, 2025, nor is it expected to materially change the Company's effective income tax rate for 2025. During third quarter 2025, the Company completed an annual review of the estimated residual values of its long-lived assets. As a result of this review, the Company increased the estimated residual values for its Boeing 737-700 ("-700") airframe and -700, Boeing 737-800 ("-800"), and Boeing 737-8 ("-8") engine assets. This change took into consideration third party valuation data and recent market transactions. As this is considered a change in estimate, it has been accounted for on a prospective basis in accordance with Accounting Standards Codification ("ASC") 205, "Accounting Changes and Error Corrections" and thus the Company will record less depreciation expense over the remainder of the useful lives for each related asset. The effect of this change in estimate was an immaterial change to depreciation expense for the three and nine months ended September 30, 2025. Operating Segments and Related Disclosures The Company's chief operating decision maker, the Company's President, Chief Executive Officer, & Vice Chairman of the Board of Directors, assesses performance for the Company's single reportable segment and decides how to allocate resources based on its Net income or loss (see the unaudited Condensed Consolidated Statement of Comprehensive Income). For single reportable segment-level financial information, total assets, revenues from external customers, Item 1A. Risk Factors Item 2. Unregistered Sales of Equity Securities and Use of Proceeds Item 3. Defaults Upon Senior Securities Item 4. Mine Safety Disclosures Item 5. Other Information Item 6. Exhibits SIGNATURES 2 Table of Contents SOUTHWEST AIRLINES CO. FORM 10-Q PART I – FINANCIAL INFORMATION Item 1. Financial Statements Southwest Airlines Co. Condensed Consolidated Balance Sheet (in millions) (unaudited) September 30, 2025 December 31, 2024 ASSETS Current assets: Cash and cash equivalents $ 2,902 $ 7,509 Short-term investments 116 1,216 Accounts and other receivables 1,118 1,110 Inventories of parts and supplies, at cost 792 800 Prepaid expenses and other current assets 467 639 Total current assets 5,395 11,274 Property and equipment, at cost: Flight equipment 26,009 25,202 Ground property and equipment 8,776 8,244 Deposits on flight equipment purchase contracts 402 413 Assets constructed for others 88 88 35,275 33,947 Less allowance for depreciation and amortization 15,570 14,891 19,705 19,056 Goodwill 970 970 Operating lease right-of-use assets 1,169 1,369 Other assets 1,073 1,081 $ 28,312 $ 33,750 LIABILITIES AND STOCKHOLDERS' EQUITY Current liabilities: Accounts payable $ 1,708 $ 1,818 Accrued liabilities 2,091 2,206 Current operating lease liabilities 310 328 Air traffic liability 6,862 6,294 Current maturities of long-term debt 23 1,630 Total current liabilities 10,994 12,276 Long-term debt less current maturities 4,079 5,069 Air traffic liability - noncurrent 1,263 1,948 Deferred income taxes 2,210 2,167 Noncurrent operating lease liabilities 846 1,031 Other noncurrent liabilities 1,144 909 Stockholders' equity: Common stock 888 888 Capital in excess of par value 4,283 4,199 Retained earnings 16,158 16,332 Accumulated other comprehensive loss ( 6 ) ( 25 ) Treasury stock, at cost ( 13,547 ) ( 11,044 ) Total stockholders' equity 7,776 10,350 $ 28,312 $ 33,750 See accompanying notes. 3 Table of Contents Southwest Airlines Co. Condensed Consolidated Statement of Comprehensive Income (in millions, except per share amounts) (unaudited) Three months ended September 30, Nine months ended September 30, 2025 2024 2025 2024 OPERATING REVENUES: Passenger $ 6,313 $ 6,250 $ 18,751 $ 18,673 Freight 42 43 127 131 Other 594 577 1,743 1,749 Total operating revenues 6,949 6,870 20,621 20,553 OPERATING EXPENSES: Salaries, wages, and benefits 3,219 3,070 9,583 9,010 Fuel and oil 1,331 1,417 3,907 4,548 Maintenance materials and repairs 299 335 921 1,046 Landing fees and airport rentals 548 493 1,638 1,468 Depreciation and amortization 394 438 1,189 1,250 Other operating expenses 1,123 1,079 3,346 3,188 Total operating expenses 6,914 6,832 20,584 20,510 OPERATING INCOME 35 38 37 43 NON-OPERATING EXPENSES (INCOME): Interest expense 35 63 120 191 Capitalized interest ( 13 ) ( 9 ) ( 38 ) ( 24 ) Interest income ( 34 ) ( 121 ) ( 172 ) ( 392 ) Other (gains) losses, net ( 21 ) 16 ( 28 ) ( 1 ) Total non-operating income ( 33 ) ( 51 ) ( 118 ) ( 226 ) INCOME BEFORE INCOME TAXES 68 89 155 269 PROVISION FOR INCOME TAXES 14 22 37 65 NET INCOME $ 54 $ 67 $ 118 $ 204 NET INCOME PER SHARE, BASIC $ 0.10 $ 0.11 $ 0.21 $ 0.34 NET INCOME PER SHARE, DILUTED $ 0.10 $ 0.11 $ 0.21 $ 0.34 COMPREHENSIVE INCOME $ 83 $ 19 $ 137 $ 167 WEIGHTED AVERAGE SHARES OUTSTANDING Basic 523 599 548 598 Diluted 526 601 551 643 See accompanying notes. 4 Table of Contents Southwest Airlines Co. Condensed Consolidated Statement of Stockholders' Equity (in millions, except per share amounts) (unaudited) Common Stock Capital in excess of par value Retained earnings Accumulated other comprehensive income (loss) Treasury stock Total Balance at December 31, 2024 $ 888 $ 4,199 $ 16,332 $ ( 25 ) $ ( 11,044 ) $ 10,350 Repurchase of common stock —  —  —  —  ( 758 ) (a) ( 758 ) Issuance of common and treasury stock pursuant to Employee stock plans —  ( 10 ) —  —  13 3 Share-based compensation —  21 —  —  —  21 Cash dividends, $ 0.18 per share —  —  ( 103 ) —  —  ( 103 ) Comprehensive income (loss) —  —  ( 149 ) 1 —  ( 148 ) Balance at March 31, 2025 $ 888 $ 4,210 $ 16,080 $ ( 24 ) $ ( 11,789 ) $ 9,365 Repurchase of common stock —  —  —  —  ( 1,515 ) (a) ( 1,515 ) Issuance of common and treasury stock pursuant to Employee stock plans —  12 —  —  5 17 Share-based compensation —  25 —  —  —  25 Cash dividends, $ 0.18 per share —  —  ( 94 ) —  —  ( 94 ) Comprehensive income (loss) —  —  213 ( 11 ) —  202 Balance at June 30, 2025 $ 888 $ 4,247 $ 16,199 $ ( 35 ) $ ( 13,299 ) $ 8,000 Repurchase of common stock —  —  —  —  ( 252 ) (a) ( 252 ) Issuance of common and treasury stock pursuant to Employee stock plans —  10 —  —  4 14 Share-based compensation —  26 —  —  —  26 Cash dividends, $ 0.18 per share —  —  ( 95 ) —  —  ( 95 ) Comprehensive income —  —  54 29 —  83 Balance at September 30, 2025 $ 888 $ 4,283 $ 16,158 $ ( 6 ) $ ( 13,547 ) $ 7,776 (a) Includes excise tax incurred on share repurchases, net of issuances. 5 Table of Contents Common Stock Capital in excess of par value Retained earnings Accumulated other comprehensive income (loss) Treasury stock Total Balance at December 31, 2023 $ 888 $ 4,153 $ 16,297 $ — $ ( 10,823 ) $ 10,515 Issuance of common and treasury stock pursuant to Employee stock plans —  ( 25 ) —  —  15 ( 10 ) Share-based compensation —  10 —  —  —  10 Cash dividends, $ 0.18 per share —  —  ( 107 ) —  —  ( 107 ) Comprehensive income (loss) —  —  ( 231 ) 19 —  ( 212 ) Balance at March 31, 2024 $ 888 $ 4,138 $ 15,959 $ 19 $ ( 10,808 ) $ 10,196 Issuance of common and treasury stock pursuant to Employee stock plans —  12 —  —  5 17 Share-based compensation —  7 —  —  —  7 Cash dividends, $ 0.18 per share —  —  ( 108 ) —  —  ( 108 ) Stock warrants repurchase —  ( 6 ) —  —  —  ( 6 ) Comprehensive income (loss) —  —  367 ( 8 ) —  359 Balance at June 30, 2024 $ 888 $ 4,151 $ 16,218 $ 11 $ ( 10,803 ) $ 10,465 Issuance of common and treasury stock pursuant to Employee stock plans —  10 —  —  5 15 Share-based compensation —  19 —  —  —  19 Cash dividends, $ 0.18 per share —  —  ( 107 ) —  —  ( 107 ) Comprehensive income (loss) —  —  67 ( 48 ) —  19 Balance at September 30, 2024 $ 888 $ 4,180 $ 16,178 $ ( 37 ) $ ( 10,798 ) $ 10,411 See accompanying notes. 6 Table of Contents Southwest Airlines Co. Condensed Consolidated Statement of Cash Flows (in millions) (unaudited) Three months ended Nine months ended September 30, September 30, 2025 2024 2025 2024 CASH FLOWS FROM OPERATING ACTIVITIES: Net income $ 54 $ 67 $ 118 $ 204 Adjustments to reconcile net income to net cash provided by (used in) operating activities: Depreciation and amortization 394 438 1,189 1,250 Impairment of long-lived assets — — 8 — Unrealized/realized loss on fuel derivative instruments — 15 — 17 Deferred income taxes 14 19 37 62 Gain on sale-leaseback transactions — — ( 3 ) — Changes in certain assets and liabilities: Accounts and other receivables ( 83 ) 193 64 ( 80 ) Other assets 3 ( 13 ) 359 4 Accounts payable and accrued liabilities 11 ( 196 ) ( 209 ) ( 1,668 ) Air traffic liability ( 172 ) ( 377 ) ( 117 ) 421 Other liabilities 16 ( 18 ) ( 19 ) ( 136 ) Cash collateral provided to derivative counterparties — ( 8 ) ( 22 ) ( 28 ) Other, net 50 ( 7 ) 142 ( 60 ) Net cash provided by (used in) operating activities 287 113 1,547 ( 14 ) CASH FLOWS FROM INVESTING ACTIVITIES: Capital expenditures ( 678 ) ( 517 ) ( 1,814 ) ( 1,594 ) Assets constructed for others — ( 10 ) — ( 26 ) Proceeds from sale-leaseback transactions — — 23 — Purchases of short-term investments ( 100 ) ( 636 ) ( 470 ) ( 3,845 ) Proceeds from sales of short-term and other investments 350 1,621 1,577 5,160 Other, net — — ( 3 ) ( 29 ) Net cash provided by (used in) investing Item 7. Management's Discussion and Analysis of Financial Condition and Results of Operations" in the Company's Annual Report on Form 10-K for the fiscal year ended December 31, 2024. Cautionary Statement Regarding Forward-Looking Statements This Form 10-Q contains “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934 ("Exchange Act"). Forward-looking statements are based on, and include statements about, the Company's estimates, expectations, beliefs, intentions, and strategies for the future, and the assumptions underlying these forward-looking statements. Specific forward-looking statements can be identified by the fact that they do not relate strictly to historical or current facts and include, without limitation, statements related to the following: • the Company’s financial targets for 2025 and 2026 and factors that could impact the Company’s financial results; • the Company’s financial guidance for fourth quarter and full year 2025 and factors that could impact the Company’s financial results; • the Company’s capacity guidance and expectations; • the Company’s estimated fuel costs and fuel efficiency and the assumptions underlying the Company’s fuel-related expectations and estimates; • the Company's expectations with respect to fleet transactions; • the Company’s expectations regarding passenger demand, revenue management, revenue trends, and bookings; • the Company’s focus areas, goals, opportunities, and initiatives, including with respect to checked bag fees, creating efficiencies, Getaways by Southwest, the Company’s fare structure, the Company’s delivery of WiFi, airline partnerships, and the Company’s co-brand credit card agreement with Chase; • the Company’s expectations with respect to cost reductions; • the Company’s plans and expectations with respect to assigned and extended legroom seating, cabin design and seating, redesigned boarding model, aircraft turn times, and redeye flying; • the Company’s plans and expectations with respect to improving financial performance, driving Shareholder value, capital allocation, capital deployment, infrastructure investments, leverage, and Shareholder returns; • the Company’s fleet plans and expectations, including with respect to fleet modernization, fleet retrofits, fleet utilization, flexibility, fleet strategy and extracting value from the fleet and the fleet order book, and expected fleet deliveries and retirements, and underlying expectations and dependencies; • the Company’s network plans and expectations; • the Company’s labor plans and expectations including with respect to the Company’s reduction in force; • the Company’s financial expectations, targets and goals, including with respect to fuel prices, income taxes, leverage, liquidity, balance sheet goals, and cost mitigation; • the Company’s short-term and long-term financial and operational goals; • the Company’s cash flow expectations and capital spending guidance, in particular with respect to aircraft capital expenditures and underlying aircraft delivery expectations; • the Company’s expectations with respect to its ability to meet its ongoing capital and operating commitments, including underlying assumptions and factors that could impact this ability; • the Company's assessment of market risks; and • the Company's plans and expectations related to legal and regulatory proceedings. 50 Table of Contents While management believes these forward-looking statements are reasonable as and when made, forward-looking statements are not guarantees of future performance and involve risks and uncertainties that are difficult to predict. Therefore, actual results may differ materially from what is expressed in or indicated by the Company's forward-looking statements or from historical experience or the Company's present expectations. Factors that could cause these differences include, among others: • the impact of consumer perception, consumer uncertainties with respect to government shutdowns or trade policies (including the imposition of tariffs), economic conditions, banking conditions, fears or actual outbreaks of diseases, extreme or severe weather and natural disasters, actions of competitors (including, without limitation, pricing, scheduling, capacity, and network decisions, and consolidation and alliance activities), socio-demographic trends, and other factors beyond the Company's control on consumer behavior and the Company's results of operations and business decisions, plans, strategies, and results; • the Company's ability to timely and effectively implement, transition, and maintain the necessary information technology systems and infrastructure to support its operations and initiatives; • the impact of governmental regulations and other governmental actions, including with respect to government shutdowns, as well as the Company's ability to obtain any required governmental approvals,

The provided excerpt is only the Form 10‑Q cover page for GE Vernova Inc. (GEV) for quarter ended 2026‑06‑30, with no financial statements, MD&A, segment results, guidance, backlog, risks, or other performance details included. As-is, it contains almost no trade-relevant incremental information beyond confirming the filing/period and listing details.

This excerpt is only the cover page/header of Sleep Number’s Form 10-Q for the quarter ended April 4, 2026. It contains filing metadata (issuer, ticker, exchange, address) but no financial statements, MD&A, guidance, risks, or operational commentary. As a result, it is not directly actionable for trading beyond confirming the filing exists.

The provided excerpt is only the cover/filing header of SoundHound AI, Inc.’s 10‑Q for the quarter ended 2026‑03‑31. It contains listing/security identifiers (SOUN, SOUNW) but no financial statements, MD&A, guidance, risk updates, liquidity details, or material events. As a result, there is insufficient information to form high-confidence, actionable bullish/bearish theses beyond generic “company filed its 10‑Q” metadata.

The provided excerpt is only the boilerplate cover/filing-status section of Teucrium Commodity Trust’s Form 10‑Q for period ended 2026‑03‑31, with no portfolio holdings, performance, risk, or material updates included. As-is, it contains no actionable investment information beyond confirming the existence of the filing and the issuer/ticker identity (WEAT).

The provided text is only the cover/header portion of Archer Aviation’s Form 10‑Q for the quarter ended 2026‑03‑31 (issuer identity, exchange listing, and securities outstanding). It contains no operating/financial results, guidance, liquidity details, backlog, or risk-factor updates—so it is minimally actionable for trading beyond basic security identifiers and a generic dilution/optionality consideration from warrants.

This excerpt is essentially the cover page of CleanSpark, Inc.’s Form 10-Q for the quarter ended March 31, 2026. It contains identifiers (CIK/file no.), listing venue, and security descriptions (common stock and redeemable warrants with specific exercise terms), but no operating/financial results, guidance, risks, or MD&A detail. Actionability is therefore limited to capital-structure/dilution considerations around the listed warrant.

This excerpt of AST SpaceMobile’s 10‑Q is largely SEC cover-page/boilerplate (registrant info, exchange listing, filing compliance) and contains no financial results, guidance, liquidity, risk-factor updates, or operating metrics. As provided, it does not create a clear tradable catalyst beyond confirming continued reporting/listing status.

This excerpt only includes the cover page of Super Micro Computer, Inc.’s Form 10‑Q for the quarter ended March 31, 2026. It confirms the filing, issuer identity, listing (Nasdaq), and ticker (SMCI), but contains no financial results, guidance, risks, or MD&A content to support a directional investment view.