JetBlue Now Expects Q4 Revenue Per ASM At Low End Of 15-19% Guidance Range

JetBlue Airways Corporation (“JetBlue” or the “Company”) announced today an operational and financial update of its expected fourth quarter 2022 results.
JetBlue’s operational performance has remained strong with a solid completion factor quarter-to-date, including nearly 100% during the November holiday travel period. The Company continues to expect flown capacity for the fourth quarter of 2022 to increase 1% to 4% compared to the third quarter of 2019 (“year over three”).
Underlying demand trends continue to be strong with healthy load factors and yields above 2019 levels for both trough and peak travel periods. JetBlue also continues to generate strong ancillary revenue performance, with exceptional co-brand performance which continues to reach record levels. However, JetBlue experienced a negative impact from Hurricane Nicole in November, and the expected very strong close-in demand for December reflected in its prior outlook has materialized below expectations. In addition, the adverse impact of the fourth quarter holiday calendar timing this year is greater than previously forecasted. As a result, JetBlue now expects revenue per available seat mile for the fourth quarter of 2022 to be at the low-end of its prior guidance range for a 15% to 19% increase.
The Company continues to expect CASM Ex-Fuel (1) for the fourth quarter of 2022 to increase between 8.5% and 10.5%, year over three. Based on the forward curve as of December 9, 2022, JetBlue continues to expect an average all-in price per gallon of fuel of $3.65 in the fourth quarter of 2022.
(1) Operating expenses per available seat mile, or CASM, is a common metric used in the airline industry. We exclude aircraft fuel and related taxes, operating expenses related to other non-airline business, such as our subsidiaries, JetBlue Technology Ventures and JetBlue Travel Products, and special items from operating expenses to determine CASM Ex-Fuel, which is a non-GAAP financial measure.
The information included under this Item 7.01 is being furnished and shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934 (the “Exchange Act”), nor shall such information be deemed incorporated by reference in any filing under the Securities Act of 1933 (the “Securities Act”) or the Exchange Act, except as may be expressly set forth by specific reference in such filing.