A Southwest Airlines aircraft parks at Gate B33 while its tail sticks into the sunlight at Boston Logan International Airport in Boston, MA, on December 22, 2025. Southwest Airlines on Wednesday forecast a surge in 2026 profits well above analysts’ expectations as the carrier overhauls its half-century-old business model to include new moneymakers like bag fees and seat assignments. In the first quarter, Southwest said it expects revenue per seat mile to rise 9.5%, above the 8.5% analysts expected. The carrier forecast adjusted earnings of 45 cents for the first quarter, above the 33 cents Wall Street projected. The sprawling winter storm forced airlines to cancel thousands of flights, though Southwest’s Texas rival American Airlines has especially struggled to recover from the weather impacts.