US low fares carrier JetBlue has released better-than-expected third quarter financial results; showing a massive reduction in net losses and an increase in revenue.
The airline said it exceeded its third quarter expectations and is on track to hit its full-year targets.
The transatlantic airline – which flies between the US and numerous European hubs, including routes between Dublin and Boston and New York-JFK – posted a net loss of $60m for the third quarter. This was a huge cut of $93m in losses, year-on-year, while operating revenue rose by 0.5% to $2.4bn.
“We met or exceeded all of our financial targets for the third quarter and progressed on the implementation of our JetForward strategy, sustaining the momentum we established in the second quarter,” said Joanna Geraghty, JetBlue’s Chief Executive.
“Thanks to our crewmembers’ efforts and our improved operational performance in the third quarter, we saw a double digit increase in customer satisfaction year-over-year. I am proud to lead this incredible team, particularly as they continue to deliver the JetBlue experience in the face of operational challenges like Hurricanes Helene and Milton.”
JetBlue President, Marty St. George, said: “Our number one goal remains returning to operating profitability, and growing our unit revenue is imperative to reach operating profitability. As underlying trends from the third quarter have broadly continued into the fourth quarter so far, we expect unit revenue growth to remain positive and sequentially consistent when adjusting for the CrowdStrike benefit in the third quarter and the negative impacts of Hurricane Milton and the election in the fourth quarter. As we look to 2025, I am encouraged by the backdrop for our revenue performance to continue improving, particularly as additional JetForward initiatives begin yielding benefits.
“We are pleased by our positive year-over-year unit revenue performance in the third quarter. Our self-help capacity actions have helped to better match supply with demand during off-peak flying. Demand remained healthy in peak periods and close-in, and was further supported by improving competitive capacity, particularly in the Latin region, and the ramp of our revenue initiatives.”
Furthermore, as part of its JetForward strategy, JetBlue has announced plans to evolve its Even More Space extra legroom seat into a compelling new offering with enhanced merchandising and greater visibility. The new approach is designed to boost customer consideration for JetBlue and strengthen the airline’s competitive position in the premium leisure segment.
The airline said: “Starting from mid-November, we plan to give Even More Space greater visibility in the booking process by offering it to customers directly on the flight search results page on jetblue.com. In addition, customers may continue to purchase Even More Space seats in the seat selection map. As we move into 2025, JetBlue will rebrand the offering EvenMore® to include new benefits and amenities with the existing extra legroom seat, creating an appealing offering for customers considering buying up for more space and perks. JetBlue plans to announce the new amenities early next year prior to the launch.“
“We’re thrilled to enhance our popular extra legroom seats, giving customers even more reasons to choose JetBlue,” said Mr St. George. “A key part of the EvenMore® transformation is making it easier for customers to find and book these enhanced options right from the start.”
Progressing on Roll-Out and Implementation of JetForward Strategy
- Reliable & Caring Service
- Realised benefits from initiatives to drive operational reliability, with on-time performance improving by 12 points and customer satisfaction scores improving by double digits year-over-year in 3Q.
- Best East Coast Leisure Network
- Year-to-date, optimized over 20% of JetBlue’s 2023 network, representing 15 station closures and over 50 route exits.
- Redeployed aircraft to our strengths in leisure-focused routes originating from Northeast airports, such as Providence, Rhode Island’s T.F. Green International Airport and Hartford, Connecticut’s Bradley International Airport, where JetBlue is well-positioned to build scale locally.
- Products & Perks Customers Value
- Announced enhancements to the airport experience with lounges coming to John F. Kennedy International Airport’s Terminal 5, in late 2025, and Boston Logan International Airport coming soon thereafter.
- Expanded co-brand portfolio with the announcement of a premium co-branded credit card.
- Launched changes to Blue Basic fare, allowing customers to bring a carry-on bag onboard, making JetBlue’s basic economy offering one of the industry’s best values for price-conscious customers.
- A Secure Financial Future
- Raised ~$3.2 billion of financing to retire existing debt, prefund capital expenditures in 2024 and 2025, and support the runway of JetForward
