They have New York/San Francisco/Mumbai/London/Hong Kong etc....this would mean that they are having issues everywhere.
Not necessarily.
If they have data from the last 10 years, they should be able to modal how many seats actually get sold at high prices in the few days before a flight. Assuming they can sell X seats at Y price that totals a greater number then the total for the expensive seats they would have sold = a greater total profit.
Don't forget that all these flights are sold as "light" fares which means LY will collect additional income from all the ancillary fees such as luggage, seating etc'
Lastly, not everyone is aware or has the patience to play the bidding game. If someone must fly on a given flight they will still likely pay the high price.
Therefore, LY can manage to capture the demand of those who will only fly at a lower cost without losing the extra revenue of those that are willing to pay the higher price. In economics there is a term for this and a way to show it on a supply/demand chart.