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Morgan Stanley forecasts 2025 to be an uplifting year for airlines and major tailwinds could boost profitability for the industry as a whole. Southwest Airlines (LUV) CEO Bob Jordan sits down in-studio with Seana Smith and Brad Smith on The Morning Brief.
"Airfares are, on a relative basis, far cheaper than they were, you know, 20, 30 years ago. But there have been increases. We're really focused on two things: adapting the network and adding new distribution techniques," Jordan tells Yahoo Finance. "We added kayak, we added Skyscanner. We're now making changes to adapt to selling on TikTok as an example. And so all of that will help boost load factors."
Jordan states that these Southwest strategies are all done to provide travelers "something more for that fare." He finds the current situation with aircraft manufacturer Boeing (BA) "very complex" for the time being, but is confident in new CEO Kelly Ortberg's leadership in the coming years.
Jordan also goes on to comment on the regulatory outlook for airline operators in the coming second Trump administration, as Elon Musk's proposed Department of Government Efficiency (DOGE) agency seeks out where to cut excess spending within government.
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This post was written by Luke Carberry Mogan.