LUV FY 2021 Earnings Report — Southwest Airlines Co. Revenue & Financial Results | Market Cap Arena

Southwest Airlines Co.LUV

FY 2021 Earnings

Reported February 4, 2022

Quarter Comparison

Revenue

Operating Income

Gross Margin

Net Margin

EPS (Diluted)

Free Cash Flow

Metric	FY 2021	Prior Q	FY 2020	QoQ Change	YoY Change
Revenue	$15.8B	—	$9.0B	—	74.5%
Op. Income	$1.7B	—	-$3.8B	—	145.1%
Gross Margin	26.1%	—	-20.9%	—	46.9pp
Net Margin	6.2%	—	-34.0%	—	40.2pp
EPS (Diluted)	$1.61	—	$-5.44	—	129.6%
Free Cash Flow	$1.8B	—	-$1.6B	—	210.3%

Revenue Flow

Item	Amount
REVENUE	$15.8B
Cost of Revenue	$11.7B
GROSS PROFIT	$4.1B
R&D Expenses	$0
Selling & Marketing	$185M
General & Administrative	$0
SG&A Expenses	$185M
Other Expenses	$2.2B
Operating Expenses	$2.4B
Cost & Expenses	$14.1B
OPERATING INCOME	$1.7B
Interest Income	$13M
Interest Expense	$431M
Other Income/Expenses	-$396M
INCOME BEFORE TAX	$1.3B
Income Tax Expense	$348M
Net Income from Continuing Ops	$977M
Net Income from Discontinued Ops	$0
Other Adjustments	$0
NET INCOME	$977M
Net Income Deductions	$0
BOTTOM LINE NET INCOME	$977M
D&A	$1.3B
EBIT	$1.8B
EBITDA	$3.0B
EPS	$2
EPS Diluted	$2

Income Statement

Item	Amount
REVENUE	$15.8B
Cost of Revenue	$11.7B
GROSS PROFIT	$4.1B
R&D Expenses	$0
Selling & Marketing	$185M
General & Administrative	$0
SG&A Expenses	$185M
Other Expenses	$2.2B
Operating Expenses	$2.4B
Cost & Expenses	$14.1B
OPERATING INCOME	$1.7B
Interest Income	$13M
Interest Expense	$431M
Other Income/Expenses	-$396M
INCOME BEFORE TAX	$1.3B
Income Tax Expense	$348M
Net Income from Continuing Ops	$977M
Net Income from Discontinued Ops	$0
Other Adjustments	$0
NET INCOME	$977M
Net Income Deductions	$0
BOTTOM LINE NET INCOME	$977M
D&A	$1.3B
EBIT	$1.8B
EBITDA	$3.0B
EPS	$2
EPS Diluted	$2

Cash Flow Statement

Item	Amount
Net Income	$977M
Depreciation & Amortization	$1.3B
Stock-Based Compensation	$58M
Deferred Income Tax	-$21M
Other Non-Cash Items	$136M
Change in Working Capital	-$100M
OPERATING CASH FLOW	$2.3B
Capital Expenditure	-$511M
Acquisitions (Net)	$505M
Purchases of Investments	-$5.8B
Sales/Maturities of Investments	$5.1B
Other Investing Activities	-$505M
NET CASH FROM INVESTING	-$1.3B
Net Debt Issuance	$231M
Common Stock Repurchased	$0
Common Dividends Paid	$0
Other Financing Activities	$77M
NET CASH FROM FINANCING	$359M
FREE CASH FLOW	$1.8B
Net Change in Cash	$1.4B

Balance Sheet

Item	Amount
Cash & Equivalents	$12.5B
Short-Term Investments	$3.0B
Net Receivables	$1.4B
Inventory	$537M
Other Current Assets	$638M
TOTAL CURRENT ASSETS	$18.0B
PP&E (Net)	$16.4B
Goodwill	$970M
Intangible Assets	$295M
Long-Term Investments	$0
Tax Assets	$0
Other Non-Current Assets	$587M
TOTAL NON-CURRENT ASSETS	$18.3B
TOTAL ASSETS	$36.3B
Account Payables	$156M
Short-Term Debt	$371M
Deferred Revenue	$5.6B
Other Current Liabilities	$1.3B
TOTAL CURRENT LIABILITIES	$9.2B
Long-Term Debt	$9.9B
Deferred Revenue NC	$2.2B
Deferred Tax Liabilities	$1.8B
Other Non-Current Liabilities	$1.2B
TOTAL NON-CURRENT LIABILITIES	$16.7B
TOTAL LIABILITIES	$25.9B
Common Stock	$888M
Additional Paid-In Capital	$4.2B
Retained Earnings	$15.8B
Treasury Stock	-$10.9B
Accum. Other Comp. Income	$388M
Other Equity	$0
TOTAL STOCKHOLDERS' EQUITY	$10.4B
Minority Interest	$0
TOTAL EQUITY	$10.4B
TOTAL LIABILITIES & EQUITY	$36.3B
Total Debt	$12.3B
Net Debt	-$199M