North Texas airlines report quarterly losses amid travel uncertainty

North Texas airlines impacted by Trump tariffs

The uncertainty with tariffs is impacting major airlines. Southwest and American Airlines both held earnings calls today to talk about how they plan to move forward.

(Southwest Airlines)

Southwest, American and even Delta Air Lines are withdrawing their profit outlooks for the year, citing less domestic travel and global uncertainty over things like tariffs.

As airlines prepare to head into what’s traditionally a busy summer travel season, the leaders of Dallas-based Southwest Airlines and Fort Worth-based1 American Airlines expressed some caution. 

On Thursday, Southwest and American held their first-quarter earnings call with reporters. 

Overall, both airlines told reporters they were heading in a positive direction but experienced some losses.

Both airlines talked about the current economic climate being left uncertain due to tariff threats. 

Aside from the tariff uncertainty, American Airlines is still recovering from the deadly January midair accident among other impacts.

American noted a positive area by saying business and international flights have remained steady. The airline entered a partnership with AT&T to provide free Wi-Fi to the advantage of members next year. 

Southwest is also undergoing major changes to their customer model by soon switching to a traditional paid seat model. But the airline says they are improving when it comes to reducing delays. 

What they're saying:

Southwest Airlines President and CEO, Bob Jordan, said the company is having trouble predicting the current forecast of air travel amid many factors constantly affecting air travel this year.

"Amid the current macroeconomic uncertainty, it is very difficult to confidently forecast given recent. And short-lived trends," said Jordan. 

American Airlines' CEO, Robert Isom, seemed to feel the same, citing first-quarter operations and the unpredictable future of travel plans.

Given this macro environment, we're withdrawing our full-year outlook. That said, if current demand trends continue, we expect to deliver a profitable year and produce positive free cash flow," said Isom. "Our first quarter operation was impacted by the California wildfires, increased winter weather in our Sunbelt hubs, and the tragic accident of flight 5342 on January 29."