Southwest Airlines third-quarter profit fell from a year ago but topped Wall Street estimates while the carrier workers to drum up revenue and fend off activist investor Elliott Investment Management.

The Dallas-based carrier forecast unit revenue for the fourth quarter up 3.5% to 5.5% on a 4% drop in capacity compared with a year ago. It said costs, excluding fuel, would likely rise as much as 13%.

“Thus far in the quarter, travel demand remains healthy and bookings-to-date for the holiday season are strong, demonstrating the continued resilience of the leisure travel market,” Southwest said in an earnings release.

It reported third quarter revenue of $6.87 billion, an increase of more than 5% on the year. Net income fell 65% from the year-earlier quarter to $67 million, or 11 cents a share, though that was ahead of estimates. Adjusting for one-time items, it reported $89 million in net income or 15 cents a share, compared with analysts’ forecasts to break even on an adjusted basis.

Here is how Southwest performed in the third quarter compared with Wall Street expectations, according to consensus estimates from LSEG:

• Earnings per share: 15 cents adjusted vs. an expected zero cents
• Revenue: $6.87 billion vs. $6.74 billion expected

Southwest last month laid out a three-year plan that the company would add $4 billion to earnings before interest and taxes in 2027.The airline also said it authorized a $2.5 billion buyback and would slash underperforming flights from Atlanta to cut costs.

This is breaking news. Check back for updates.