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Southwest Airlines

cut its 2025 earnings forecast on Friday, citing a demand dip during the federal government shutdown, the longest ever.

The carrier said it expects 2025 earnings before interest and taxes of about $500 million, down from a previous forecast of $600 million to $800 million, because of lower revenue in the shutdown and higher fuel prices.

“Following the temporary decline in demand related to the shutdown, bookings have returned to previous expectations,” Southwest said in a securities filing.