Like most US airlines, Southwest pulled its full-year financial forecast in April as the trade war made it difficult to project its business.
Southwest Airlines reported lower-than-expected quarterly profit and revenue on Wednesday, hurt by tepid demand from US consumers for travel.
Lingering uncertainty about the broader economy due to President Donald Trump’s trade war and rising living costs has hurt carriers that primarily service the US domestic market and price-sensitive customers. To stimulate demand, they have been leaning on fare discounts.
The Texas-based airline said domestic leisure travel demand stabilized after a slump in March and April and was showing signs of improvement.
But underscoring the uncertainty, it forecast its unit revenue, or revenue per seat, in the third quarter to range from down 2% to up 2 per cent from a year ago.
For the second quarter, Southwest reported an adjusted profit per share of 43 cents, compared with analysts’ average expectations of 51 cents, according to data compiled by LSEG.
It reported operating revenue of $7.24 billion in the quarter, compared with $7.29 billion expected by analysts.
Like most US airlines, Southwest pulled its full-year financial forecast in April as the trade war made it difficult to project its business.
On Wednesday, the company provided a new target for 2025 of $600 million to $800 million in earnings before interest and taxes. That compares with its previous forecast of $1.7 billion.
Southwest has been struggling to find its footing after the COVID-19 pandemic. Its lackluster earnings have fueled pressure to revamp its business model.
In the second quarter, it began charging customers for checked bags, ending a unique free policy. It also rolled out a new basic economy fare.
The company said the bag fee revenue thus far exceeded its expectations. But sales of basic economy fares on its website suffered a hit after their launch in May, hurting its unit revenue in the second quarter.
Southwest expects an impact on its third-quarter unit revenue as well. Meanwhile, its non-fuel operating costs were estimated to increase by as much as 5.5 per cent in the third quarter from a year ago.
Depressed demand
Summer, typically the peak money-making season for airlines, is falling short this year as sluggish demand for standard economy seats forces carriers to cut fares, undermining their pricing power.
Delta Air Lines and United Airlines have seen strong revenue gains from premium cabins, buoyed by affluent travelers willing to pay for upgrades.
By contrast, low-f carriers are under pressure to maintain profitability as price-sensitive travelers remain cautious with discretionary spending.
The airline, however, held out hopes for the second half of the year to be stronger, citing stronger demand as well as the industry’s efforts to limit seat supply and fend off discounting pressure.
“While early, recent industry demand shows signs of improvement off of depressed second quarter 2025 levels,” the company said.
Other airlines including United and Alaska have also reported a recovery in bookings in recent weeks. But the industry’s pricing power remains weak, particularly in the domestic market.
Southwest, the largest US domestic carrier, saw a 3 per cent year-on-year decline in its unit revenue in the second quarter. Its overall passenger revenue was also down from a year ago, with a sharp drop in passenger volumes.
The company said its capacity, or seats on its flights, was expected to be flat in the third quarter from a year ago.
The company will discuss its earnings with analysts on Thursday.
Published On Jul 24, 2025 at 10:05 AM IST
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Home»TRAVEL NEWS UPDATES» AEROTHAI Ensures Thai Flights Remain Unaffected by Border Tension: A Key Move for Thailand’s Tourism Industry Amidst Rising Security Concerns
Monday, July 28, 2025
With tensions heating up on the Thai-Cambodian border, Thailand’s air traffic and tourism sector is weathering the uncertainty in a calm and collected manner. AEROTHAI (Aeronautical Radio of Thailand) agreed with the statement, adding that as of now, there were no changes in the operation of commercial flights over the Thailand airspace despite the heightened geopolitical situation to tourism. Immediate and diligent reactions to the crisis by the authorities under such intense pressure, underscores the strength and resiliency of Thailand’s aviation infrastructure as the heart of tourism in the Southeast Asia Continent. AEROTHAI has been proactive in adopting measures and liaising with national defense agencies to safeguard passengers, TCEB reported, which further instilled confidence in the Thai travel industry.
AEROTHAI’s Strategic Response to Tensions at the Border
Since the clash between Thailand and Cambodia has been increasing, Thai government and its aviation authority is attempting to promote the tourism despite the conflict. On July 25, 2025, N otice to Airmen (NOTAM) was issued announcing a control on airspaces bordering the regions near the border, which might run the risk of affecting the safety of aircraft operations. AEROTHAI, an agency of the Ministry of Transport, immediately changed air traffic routes within the danger zones so that flights coming in and out of the country and into and out of the region continued to operate as per normal.
AEROTHAI’s Acting Director, Surachai Nuprom confirmed the capability of the state agency to run a smooth flight schedule without hindering military activities in the air space. Moreover, AEROTHAI closely cooperates with the Civil Aviation Authority of Thailand and the Royal Thai Air Force for prompt resolution of any emergency air traffic situation. Fast action has so far averted cancellations or long delays for flights involving many passengers, notably international travellers who are coming to and leaving from major airports like Suvarnabhumi in Bangkok.
The Future of Thai Tourism and Economic Stability: A positive forecast despite ongoing uncertainty
Thailand’s economy is heavily reliant on tourism, accounting for a large share of its GDP and providing jobs for millions. As the 10th most visited country in the world, more than 40 million international tourists travel to Thailand each year. Thousands of tourists arrive daily into the country through its international flights, with airlines operating from major hubs of Europe, the Middle East and Asia and the aviation industry, is a major gateway for the country’s wealth of tourist attractions, including culturally ig monument rich towns and cities, as well as world-famous beaches and hospitable people.
We are pleased to be working with AEROTHAI to keep Thailand’s tourism infrastructure up and running during a time of unrest in the region.” Concerns have arisen, though safety and security issues including in certain upcountry destinations, as images of the current Thai-Cambodia conflict continue to flood the world media, though this has not deterred would be travelers booking holidays, choosing Thailand as a destination in record numbers. But the rapid air transport sorting out by AEROTHAI as kept concerns over the political air zoning between the two countries, at bay for those who have been concerned. These are the means to mitigate the inconvenience and ensure the comfort of persons travelling to Thailand to relax, do business or learn about Thai culture; they also help sustain global tourism.
How Tourism Is Being Hit: Some Easing but No Effort to Let DownguardThe government added lower taxes for restaurants to its August stimulus measures.PhotoRestrictions related to the third state of emergency in Japan, which spanned July and August, were a drag on the country’s reopening.Credit Hiroko Masuike/The New York Times.Serve SagamiWe no longer wanted people to just enjoy our bountiful harvests from a safe distance.
Despite AEROTHAI’s great effort to allow air travel to operate as usual, the impact of border tension has been felt only on flight services between Thailand and Cambodia. Thai airways has temporarily canceled flights TG584 and TG585 from Bangkok to Phnom Penh after the run of an international safety play out depots of flight safety association that it is unsafe to fly to Cambodia. But the carrier merged those flights into bigger planes to move passengers, so no large number of passengers were left hanging. The others are airlines with extensive operations in the region that still are keeping to their regular flights, providing travelers with reliable alternatives in and out of Thailand.
With these relatively small adjustments, the effect on tourism has actually been marginal. Important travel hubs in Thailand like Bangkok, Phuket, Chiang Mai and Pattaya are generally unaffected by the fighting. The nation remains the target of robust interest from overseas tourists, especially from long-haul destinations such as the United States, Europe and China, who are without doubt still eager to savor the country’s world-class resorts, temples and cultural festivals. Furthermore, close cooperation between Thai air traffic services and those around the world has not been interrupted by COVID-19.
Growing Significance of Regional Tourism and Sustainable Forms of Travel
Overall, one of the important positive outcomes of this situation is that the spotlight has been thrown on regional tourism in Thailand. As a result, there’s been a surge in visitors from the domestic market, and travellers checking out what’s on offer outside of the usual tourist hotspots. This change is partly due to continued safety concerns in some places, but it has also provided an opportunity for Thailand’s lesser-known secondary destinations to prove themselves.
With the rapid growing tourism industry, it will be important for the government and travel bodies to look for sustainable travel models, to look at environmental, local culture and infrastructure issues of the area. Through its development of sustainable tourism projects, Thailand can ensure that all parts of its territory gain the benefits of tourism while the eco-system and the life of communities are not irreparably scarred.
In order to improve its overall long-term tourism prospects, AEROTHAI, as well as other government agencies, will probably increase efforts to diversify the ecotourism, rural tourism, and off-the-beaten-path tourism. That would relieve pressure on overpopulated megacities and spread the economic spoils of tourism more widely across the country.
How Thailand is Reassuring International Tourists: Sense, Caring and Confidence
With the ongoing border disputes it is despite also one of the most exciting and popular travel and tourism places on earth. The Thai authorities are taking a proactive approach to making tourists feel safe in the country. If anything, the rapid and effective action of AEROTHAI in responding to this incident, speaks volumes of the readiness and robustness of Thailand’s travel infrastructure.
Local tour operators, hotels and transport providers are cooperating with AEROTHAI to ensure tourists are aware of any possible suspensions during the peak tourism season. As the situation develops, updates are issued by tourism channels, and tourists are urged to stay informed with government advisories. Keeping Thailand safe and informed in real time has been key to ensuring that the country remains a friendly, safe destination for international tourists.
Long-Term Impact On Tourism: It Pays To Stay Vigilant
Into the future, the evolving scenario will necessitate close attention from local authorities and tourism providers. As Thailand’s tourism recovers from global upheavals like the pandemic, it’s important for the industry to show resilience in the face of regional hostilities or security threats. Government agencies will have to work with public and private organizations devoted to global tourism and security to make sure not only that visitors are safe, but that their well-being is understood as crucial to any city they visit.
The present conflict presents some immediate problems, but the Thai state and AEROTHAI have been working proactively to ensure that people will be able to fly to Thailand without hassle. This suggests that the Thai tourism industry can jolly well take a war or two. The need to respond to these challenges, whilst maintaining the thriving and sustainable tourism of the past, will be a critical factor in the country remaining as one of the world’s leading destinations.
Conclusion: Thailand’s Tourism Is Holding Up Well Despite Regional Troubles
Despite the setback caused by the border conflict with Cambodia, Thailand’s tourism has not declined, nor has it been weakened. A quick response by AEROTHAI and proactive measures implemented by the Thai government has allowed Thailand to maintain the movement of air transport smooth and instil confidence among international travellers. Increased regional tourism and the rise of an eco-friendly and ‘conscious travel’ trend would help maintain Thailand as an authentic and rewarding tourism destination, even as it adapts to a changing geopolitical scene.
Meanwhile, with a focus on continued dialogue and safety, and AEROTHAI securing safe and efficient flights, there is hope that the Kingdom’s tourism industry can weather the harshest of storms and come out the other side continuing to flourish for years to come.
Malaysia Airlines will increase flights on its Kuala Lumpur–Thiruvananthapuram (or Trivandrum) route to meet growing demand, introducing a fifth weekly service from Sept 12, 2025 and moving to daily operations starting Dec 1, 2025. Tickets for the additional flights are now available through the airline’s official channels and appointed travel partners.
The airline said the decision reflects strong load factors and sustained demand since the route’s launch in Nov 2023, which started with two weekly flights before increasing to four in April 2024. With the expansion, Malaysia Airlines will operate 80 weekly flights across ten Indian cities by December, up from the current 77.
“India remains a key focus market for Malaysia Airlines, and this frequency increase reaffirms our dedication to meeting the growing demand for air travel from South India,” said Malaysia Aviation Group Chief Commercial Officer of Airlines Dersenish Aresandiran. He added that daily flights would provide more flexibility for leisure and business travellers while supporting trade and tourism between both countries.
Malaysia Airlines also highlighted its Bonus Side Trip programme, which offers international travellers a domestic flight within Malaysia at zero base fare to encourage exploration of local destinations.
Save Your Time with Direct Flights from Pontianak, Kuching, Kuala Lumpur, and Sarawak Unlock New Travel Adventures and Hidden Gems Across Southeast Asia
Home»Airline News In Asia» Save Your Time with Direct Flights from Pontianak, Kuching, Kuala Lumpur, and Sarawak Unlock New Travel Adventures and Hidden Gems Across Southeast Asia
Monday, July 28, 2025
Travellers are in for a treat as direct flights between Pontianak, Indonesia, and the Malaysian cities of Kuching and Kuala Lumpur are making waves in the tourism industry. This bold move promises to reshape tourism and cultural exchanges, while also giving a significant boost to the region’s economic ties. As part of this exciting development, AirAsia has announced its new flight routes, setting the stage for an unforgettable travel experience. These flights are more than just a convenient way to travel; they represent a bridge between cultures, communities, and economies.
Revolutionizing Travel in West Kalimantan and Sarawak
For those eager to explore the stunning landscapes and vibrant cities of Malaysia, this new route offers a seamless travel experience. The newly reinstated flights will enhance connectivity between Pontianak in West Kalimantan and Sarawak, opening the door for tourists to explore the natural beauty, historical landmarks, and cultural richness of these regions. From the idyllic beaches of Kuching to the bustling streets of Kuala Lumpur, travelers can now enjoy easy access to Malaysia’s top attractions.
This move is set to revolutionize tourism for both countries, offering visitors from West Kalimantan a direct path to Malaysia’s most popular destinations. It also strengthens Sarawak’s position as a key travel hub in Southeast Asia, making it even more accessible to travelers looking for adventure, culture, and history.
A Boost for Cultural and Educational Travel
Beyond the usual sightseeing and relaxation, the new flight routes open up incredible opportunities for cultural immersion and educational exchanges. The connectivity will foster stronger ties in areas such as healthcare, education, and the arts. Malaysians traveling to West Kalimantan and vice versa will benefit from an enriched cultural experience while gaining easier access to academic and healthcare institutions across the borders.
The flights are part of a broader effort to attract more international students, healthcare patients, and professionals, which could reshape the regional economy. The economic and social integration of Malaysia and West Kalimantan through these flights will result in a new wave of opportunities for travelers and business professionals alike.
Tourism Takes Center Stage in the 2026 Visit Malaysia Year
As part of the official campaign to promote Visit Malaysia Year 2026, the new air routes will play a significant role in boosting tourism numbers from West Kalimantan. The Malaysian Consul in Pontianak, Azizul Zekri Abd Rahim, has emphasized how the renewed services will increase visitor numbers and fuel travel between the two countries, with a specific focus on Sarawak.
Not only will these flights draw tourists looking to explore Malaysia’s natural wonders, but they will also provide opportunities for adventure seekers to engage with the country’s cultural offerings. Malaysia’s diverse culture, rich heritage, and inviting hospitality will now be within closer reach for travelers coming from Indonesia.
An Economic Powerhouse in the Making: Why This Matters
The economic impact of these direct flights cannot be understated. Azizul highlighted that in the past year alone, nearly 500,000 West Kalimantan residents entered Sarawak via land, while 400,000 Malaysians traveled to West Kalimantan through similar means. This already impressive cross-border movement will now be bolstered by easier and faster air travel, opening the floodgates for more tourists, business professionals, and trade between the two regions.
The flights also cater to the demand for more accessible travel for residents living along the Malaysia-Indonesia border. For many, the ability to hop on a flight to Kuala Lumpur or Kuching means quicker access to jobs, education, and essential services, which has been a major draw for local populations. From students to health tourists, the new flight routes are a game-changer for the people of West Kalimantan and Sarawak.
Building Stronger Ties for Sustainable Tourism Growth
The Sarawak Tourism Board (STB) has lauded the new flight routes as a catalyst for stronger tourism, healthcare, and educational collaborations between Malaysia and Indonesia. The STB’s marketing director, Barbara Benjamin Atan, emphasized how these new connections will lead to sustainable tourism growth and cultural exchanges that benefit both regions. According to her, with shared commitment, mutual trust, and effective communication, both regions can expect to see lasting benefits from these enhanced ties.
This collaboration between Pontianak, Kuching, and Kuala Lumpur marks a new chapter in tourism relations between the two nations, providing ample opportunities for travelers to immerse themselves in the rich cultural offerings, culinary delights, and adventure-packed landscapes these regions have to offer.
Ready for Adventure: What to Expect from the New Flight Routes
With the new direct flights making it easier to travel between Pontianak and the Malaysian cities of Kuching and Kuala Lumpur, travelers can expect hassle-free journeys and plenty of opportunities to explore. Whether you’re heading to Sarawak’s rugged wilderness or taking in the skyscrapers and cultural attractions of Kuala Lumpur, there’s no shortage of experiences waiting for you.
From exploring the culinary scene in Kuching to hiking through the natural wonders of Sarawak, there’s something for every type of traveler. These destinations are known for their vibrant street markets, historical sites, and breathtaking landscapes, offering an unforgettable travel experience that should not be missed.
Conclusion: A Bright Future for Regional Tourism
The new direct flight routes between Pontianak, Kuching, and Kuala Lumpur not only promise to boost tourism numbers but also create lasting economic and cultural bonds between the regions. Whether you’re a tourist looking for new experiences, a business professional eager to tap into new markets, or a local resident seeking easier travel options, this exciting development is a win for everyone. With enhanced connectivity and growing opportunities, the future of regional tourism in Southeast Asia is brighter than ever before.
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