First Quarter 2024 Financial ResultsNet loss for the first quarter of 2024 under Generally Accepted Accounting Principles ("GAAP") of $716 million or $2.11 loss per share. Excluding special items, adjusted net loss for the first quarter of 2024 of $145 million(1) or $0.43 loss per share.First quarter of 2024 capacity decreased by 2.7% year-over-year.Operating revenue of $2.2 billion for the first quarter of 2024, down 5.1% year-over-year.Operating expense for the first quarter of 2024 increased by 14.0% year-over-year to $2.9 billion.Operating expense per available seat mile ("CASM") for the first quarter of 2024 increased 17.1% year-over-year.Operating expense, excluding special items for the first quarter of 2024 decreased 3.7%(1) year-over-year to $2.4 billion.Operating expense per available seat mile, excluding fuel, other non-airline operating expenses, and special items ("CASM ex-Fuel")(1) for the first quarter of 2024 increased 7.1%(1) year-over-year.Average fuel price in the first quarter of 2024 of $2.97 per gallon.
Continued Implementing Strategic Network Changes Announced the scaling back of flying at Los Angeles International Airport, reallocating flying to more profitable opportunities in core leisure markets. Departure count will be down by roughly one-third, effective June 13th. Rationalized our footprint at seven stations, making progress to exit Baltimore, Bogotá, Burlington, Kansas City, Lima, Newburgh and Quito. Launched new non-stop seasonal service to Dublin, Ireland from New York's John F. Kennedy International Airport and Boston Logan International Airport ("BOS"), and launched new daily nonstop service to Paris Charles de Gaulle Airport from BOS. Executed on Our Cost Initiatives Implemented new fixed cost savings initiatives, including offering voluntary opt-out opportunities to select work groups, and rationalizing our real estate footprint. Achieved ~$100 million in structural cost savings to-date, keeping JetBlue on track to deliver run-rate savings of $175 million to $200 million by the end of 2024. Realized $70 million in cumulative cost savings from our fleet modernization program, which is now expected to deliver $100 million in cost savings through 2024, vs. $75 million previously, as we continue to replace the Embraer E190s with the margin-accretive A220s. Provided Exceptional Service for Our Customers Delivered improved operational performance versus our expectations, even with more disruptive operational events than last year, resulting in a completion factor of 98.7%. Launched additional ancillary revenue initiatives, including preferred seating on select routes, giving customers more options to choose the seat that best aligns with their preferences. Announced new and improved Signature Perks for Mosaics, including dedicated phone support, greater access to the Mint cabin, and the ability to gift Mosaic 1 status, further expanding the ways our most loyal customers can be rewarded. Advanced Our Progress as a Sustainability Leader Acted as one of three airlines in the largest-ever collective purchase of sustainable aviation fuel ("SAF") certificates, equal to about 50 million gallons of high-integrity SAF, or 500,000 tons, of abated CO2e, through the Sustainable Aviation Buyers Alliance.
JETBLUE AIRWAYS CORPORATION | |||||||||||
CONSOLIDATED STATEMENTS OF OPERATIONS | |||||||||||
(in millions, except per share amounts) | |||||||||||
(unaudited) | |||||||||||
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| Three Months Ended March 31, |
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(percent changes based on unrounded numbers) | 2024 |
| 2023 |
| Percent Change |
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OPERATING REVENUES |
|
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|
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Passenger | $ | 2,055 |
|
| $ | 2,182 |
|
| (5.8 | ) |
|
Other |
| 154 |
|
|
| 146 |
|
| 5.5 |
|
|
Total operating revenues |
| 2,209 |
|
|
| 2,328 |
|
| (5.1 | ) |
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OPERATING EXPENSES |
|
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Aircraft fuel |
| 625 |
|
|
| 785 |
|
| (20.4 | ) |
|
Salaries, wages and benefits |
| 823 |
|
|
| 741 |
|
| 11.0 |
|
|
Landing fees and other rents |
| 165 |
|
|
| 160 |
|
| 3.1 |
|
|
Depreciation and amortization |
| 158 |
|
|
| 151 |
|
| 4.6 |
|
|
Aircraft rent |
| 27 |
|
|
| 32 |
|
| (16.1 | ) |
|
Sales and marketing |
| 77 |
|
|
| 76 |
|
| 1.7 |
|
|
Maintenance, materials and repairs |
| 132 |
|
|
| 176 |
|
| (24.2 | ) |
|
Special items |
| 562 |
|
|
| 112 |
|
| NM (1) |
| |
Other operating expenses |
| 359 |
|
|
| 337 |
|
| 6.3 |
|
|
Total operating expenses |
| 2,928 |
|
|
| 2,570 |
|
| 14.0 |
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OPERATING LOSS |
| (719 | ) |
|
| (242 | ) |
| NM |
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Operating margin |
| (32.6 | )% |
|
| (10.4 | )% |
| (22.2 | ) | pts. |
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OTHER INCOME (EXPENSE) |
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Interest expense |
| (53 | ) |
|
| (46 | ) |
| 14.8 |
|
|
Interest income |
| 19 |
|
|
| 12 |
|
| 52.7 |
|
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Capitalized interest |
| 4 |
|
|
| 5 |
|
| (9.6 | ) |
|
Gain (loss) on investments, net |
| (22 | ) |
|
| 3 |
|
| NM |
|
|
Other |
| 4 |
|
|
| 2 |
|
| NM |
|
|
Total other expense |
| (48 | ) |
|
| (24 | ) |
| (95.0 | ) |
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LOSS BEFORE INCOME TAXES |
| (767 | ) |
|
| (266 | ) |
| NM |
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Pre-tax margin |
| (34.7 | )% |
|
| (11.4 | )% |
| (23.3 | ) | pts. |
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Income tax benefit |
| 51 |
|
|
| 74 |
|
| (31.3 | ) |
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NET LOSS | $ | (716 | ) |
| $ | (192 | ) |
| NM |
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LOSS PER COMMON SHARE: |
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Basic | $ | (2.11 | ) |
| $ | (0.58 | ) |
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| |
Diluted | $ | (2.11 | ) |
| $ | (0.58 | ) |
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| |
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WEIGHTED AVERAGE SHARES OUTSTANDING: |
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Basic |
| 339.7 |
|
|
| 327.6 |
|
|
|
| |
Diluted |
| 339.7 |
|
|
| 327.6 |
|
|
|
| |
(1) Not meaningful or greater than 100% change.
JETBLUE AIRWAYS CORPORATION | |||||||||||
COMPARATIVE OPERATING STATISTICS | |||||||||||
(unaudited) | |||||||||||
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| Three Months Ended March 31, |
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(percent changes based on unrounded numbers) | 2024 |
| 2023 |
| Percent Change |
| |||||
Revenue passengers (thousands) |
| 9,584 |
|
|
| 10,192 |
|
| (6.0 | ) |
|
Revenue passenger miles (RPMs) (millions) |
| 13,002 |
|
|
| 13,375 |
|
| (2.8 | ) |
|
Available seat miles (ASMs) (millions) |
| 16,313 |
|
|
| 16,769 |
|
| (2.7 | ) |
|
Load factor |
| 79.7 | % |
|
| 79.8 | % |
| (0.1 | ) | pts. |
Aircraft utilization (hours per day) |
| 10.2 |
|
|
| 11.1 |
|
| (8.1 | ) |
|
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Average fare | $ | 214.39 |
|
| $ | 214.07 |
|
| 0.1 |
|
|
Yield per passenger mile (cents) |
| 15.80 |
|
|
| 16.31 |
|
| (3.1 | ) |
|
Passenger revenue per ASM (cents) |
| 12.60 |
|
|
| 13.01 |
|
| (3.2 | ) |
|
Operating revenue per ASM (cents) |
| 13.54 |
|
|
| 13.88 |
|
| (2.5 | ) |
|
Operating expense per ASM (cents) |
| 17.95 |
|
|
| 15.32 |
|
| 17.1 |
|
|
Operating expense per ASM, excluding fuel (cents) (1) |
| 10.57 |
|
|
| 9.87 |
|
| 7.1 |
|
|
|
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Departures |
| 79,700 |
|
|
| 87,481 |
|
| (8.9 | ) |
|
Average stage length (miles) |
| 1,279 |
|
|
| 1,199 |
|
| 6.7 |
|
|
Average number of operating aircraft during period |
| 285 |
|
|
| 278 |
|
| 2.5 |
|
|
Average fuel cost per gallon | $ | 2.97 |
|
| $ | 3.59 |
|
| (17.3 | ) |
|
Fuel gallons consumed (millions) |
| 210 |
|
|
| 219 |
|
| (3.8 | ) |
|
Average number of full-time equivalent crewmembers |
| 20,222 |
|
|
| 20,536 |
|
| (1.5 | ) |
|
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(1) Refer to Note A at the end of our Earnings Release for more information on this non-GAAP financial measure. | |||||||||||
JETBLUE AIRWAYS CORPORATION | |||||
SELECTED CONSOLIDATED BALANCE SHEET DATA | |||||
(in millions) | |||||
| March 31, 2024 |
| December 31, 2023 | ||
| (unaudited) |
|
| ||
Cash and cash equivalents | $ | 1,237 |
| $ | 1,166 |
Total investment securities |
| 471 |
|
| 564 |
Total assets |
| 13,721 |
|
| 13,853 |
Total debt |
| 5,012 |
|
| 4,716 |
Stockholders' equity |
| 2,633 |
|
| 3,337 |
