A JetBlue Airways Airbus A320 airliner landing at John F. Kennedy International Airport in New York City.
Nick Oiko | Lightrocket | Getty Images
jetblue airlines said Tuesday it expects to return to its first profit since the pandemic began this quarter and will remain cautious on growth while costs surge.
New York-based airline posted record revenue of nearly $2.45 billion in the second quarter as it tackled a nearly 35% increase in cost per available seat mile compared to three years ago up and lost $188 million. Fuel, labor and other costs increased sharply in the last quarter.
“We reported record-breaking earnings results in the second quarter, surpassing them again in the third quarter and posting our first quarterly profit since the start of the pandemic,” CEO Robin Hayes said on the earnings call. We are on track to achieve that.” release.
Airlines estimate that revenue per available seat mile will increase by up to 23% this quarter as consumers swallow higher fares that they expect to offset rising fuel costs. Excluding fuel, JetBlue expects unit prices to rise 15% to 17% compared to his 2019.
The airline said it will complete retirement of its Embraer E190 aircraft in mid-2025. This puts him over a year earlier than previously scheduled. The company said a faster transition to more fuel-efficient Airbus A220 aircraft would help cut costs.
airfare is chilled a little With the peak of the summer travel season now behind us, JetBlue says it is “cautiously optimistic about the fall, with early bookings.”
JetBlue announced last week that it had finally reached a deal acquisition ultra low cost airline spirit airlines for $3.8 billion cash After a long bidding war with discounters Frontier AirlinesFrontier’s agreement to merge with Spirit fell apart hours before the JetBlue-Spirit deal was announced.
JetBlue executives will face question Call Tuesday at 10am about Spirit’s trade and travel demand.
JetBlue shares fell more than 3% in pre-market trading on Tuesday.