Southwest Airlines posts $3.5 billion loss in 2020, after 47 years of being profitable

Southwest Airlines reported a record loss of $3.5 billion in 2020, excluding special items, with the Covid-19 pandemic bringing airline traffic to a near halt.

Revenue for the year plunged $13.4 billion, or 60 percent to $9 billion for the year.

It was in 1972 when Southwest Airlines, then serving on Texas-only routes, last posted an annual loss. It has since grown to become the fourth-largest US airline.

The six largest US airlines, American, Delta, United, Southwest, JetBlue, and Alaska Air, lost $30.4 billion in last year, excluding special items, compared to a $13.8 billion combined profit in 2019.

The US government's $50 billion assistance for the airline industry approved in March did not help prevent the losses.

Analysts are forecasting losses full-year losses in 2021 for all major US carriers.

Although the Covid-19 vaccine could soon push demand for air travel, the earliest could be in the late summer or early fall.