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Airlines post records
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July 20, 1999: 3:53 p.m. ET
Northwest, Southwest, America West all show strong increases
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NEW YORK (CNNfn) - Airlines continued to report strong earnings Tuesday, with Southwest Airlines, Northwest Airlines Corp. and America West Holdings Corp. all setting records.
Southwest just below street estimate
Southwest (LUV) the nation's fourth-largest airline, posted record earnings in the second quarter due to increased passenger traffic, but its numbers fell just below street estimates.
Southwest earnings were 29 cents per share after a three-for-two stock split, just a penny short of analysts expectations.
Net income increased 18.3 percent to $157.8 million from $133.4 million a year earlier. Operating rose 13.1 percent to $1.22 billion from $1.08 billion.
"Thus far, strong load factor and revenue trends have continued in July, and customer bookings for the remainder of the third quarter 1999 are strong," Herbert D. Kelleher, chairman and chief executive officer, said.
Northwest recovers after 1998 slowdown
Northwest (NWAC) rebounded from the previous year's labor troubles to post record net income of $120 million for the second quarter, which included a $17 million non-recurring credit.
Earnings per diluted share were $1.29, compared with 51 cents a year earlier. Analysts were expecting earnings of 98 cents per share for the quarter ended June 30.
Last year, Northwest's second-quarter earnings included a $42 million charge.
"Our second quarter marked the company's return to profitability after last year's debilitating labor disruptions and strike," John H. Dasburg, chief executive officer, said. "At the same time, we have seen a significant improvement in operational performance."
America West well ahead of expectations
American West Holdings Corp., (AWA) the parent of ninth-largest carrier America West Airlines, blew away predictions with earnings of $1.06 per share for the second quarter, compared with the 90 cents per share expected by analysts.
The company earned 86 cents per share in the year-ago quarter.
Despite an increase in operating costs, net income grow to a record $42.3 million from $41.4 million.
Included in the latest quarter's results is a $2.7 million pre-tax gain from the sale of stock in Online ticket agent Priceline.com.
America West Holdings also has repurchased $35.8 million in stock since it last reported earnings in mid-April.
Revenue for American West Holdings also includes $65.6 million from The Leisure Company, a travel service. Gross profit from the leisure company was $15.4 million, up 8 percent from a year ago. 
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