NEW YORK–(BUSINESS WIRE)– JetBlue Airways Corporation reported its financial results for the first quarter of 2026.
“We delivered a strong first quarter, with revenue performance exceeding our expectations, driven by resilient consumer demand and an appreciation for JetBlue’s industry-leading customer offering,” said Joanna Geraghty, JetBlue’s chief executive officer. “Demand trends strengthened as the quarter progressed, supporting improved yields, even in the face of a challenging operational environment.”
“While the macro environment, particularly fuel, has become more volatile, we are taking decisive actions to manage what is within our control, including adjusting capacity, optimizing revenue, and maintaining disciplined cost control. At the same time, we are seeing clear evidence that JetForward is on track and working, and we remain confident it is the right plan to transform our business and get us closer to our financial priorities. In the near term, we are focused on mitigating the impact of elevated fuel prices, as JetForward continues to position us to restore sustained profitability over the long term.”
JetBlue Continues to Expand and Strengthen Our #1 Position in Fort Lauderdale (FLL)
- FLL continued to exceed expectations in 1Q26 and remains a key driver of JetBlue’s network and revenue strategy.
- Delivered strong performance in FLL, with RASM up 5% year-over-year on 23% capacity growth.
- Expanded service with new routes and increased frequencies across high-demand markets.
Taking Action to Mitigate Increased Fuel Costs
- Expect 30% to 40% fuel recapture in the second quarter, and 100% by early 2027.
- Reduced second quarter capacity by nearly one point versus close-in expectations and reducing second half by at least two to three points versus 2026 prior expectations, with reductions focused in off-peak travel periods.
- Implemented additional cost savings beyond capacity reductions and continue to evaluate opportunities to offset increased input costs, including continued focus on fuel optimization efforts.
Proactively Strengthening Liquidity and Preserving Financial Flexibility
- Executed $500 million of committed aircraft-backed financing, with the ability to upsize by an additional $250 million.
- Repaid remaining $325 million of 2021 convertible notes during the second quarter.
- Ended the first quarter with $2.4 billion in liquidity (26% of trailing twelve month revenue versus target of 17 to 20%), excluding undrawn $600 million revolving credit facility, and continue to maintain over $6.0 billion in unencumbered assets.
First Quarter 2026 Financial Results
- First quarter 2026 system capacity decreased by 1.7% year-over-year, within our revised guidance (1) range of down 2.0% to down 1.0%.
- Operating revenue of $2.2 billion for the first quarter of 2026, an increase of 4.7% year-over-year.
- Operating revenue per available seat mile (“RASM”) increased 6.5% year-over-year, near the better end of our revised guidance range.
- Operating expense per available seat mile (“CASM”) for the first quarter of 2026 increased 8.3% year-over-year.
- Operating expense per available seat mile, excluding fuel, other non-airline operating expenses, and special items (“CASM ex-Fuel”) (4) for the first quarter of 2026 increased 6.6% year-over-year, including ~four points of pressure driven by operational disruptions.
- Average fuel price in the first quarter of 2026 of $2.96 per gallon, $0.39 higher year-over-year, or 15.2%.
- Capital expenditures, including predelivery deposits, in the first quarter totaled $141 million versus our revised guidance of ~$175 million, driven by the timing of deliveries.
First Quarter 2026 Commercial and Financial Highlights
- Executed throughout the quarter despite disruptions (~four point capacity impact), delivering unit revenue performance above high end of initial guidance range and near better end of revised guidance range.
- Premium cabin performance continued to outperform, with year-over-year RASM approximately nine points higher than core in the first quarter. In addition, year-over-year core RASM was strongly positive for the quarter.
- Loyalty cash remuneration grew 19% year-over-year, supported by double-digit co-brand spend growth, a 45% increase in card acquisitions, and record levels of TrueBlue ® active members and attach rates.
- Expanded TrueBlue ® value with new offerings including point redemption for seats and other ancillaries, Points On Repeat, and Family Tiles.
- Advanced Blue Sky collaboration with United Airlines, with customers now able to book flights on either airline using cash, points, or miles, giving travelers more freedom to shop and pay the way they prefer while accessing the strengths of either network.
- Recognized by The Points Guy with a TPG Award for Best U.S. Economy Cabin, including for transatlantic service. This is the sixth time JetBlue has won the coveted award and marks our ninth TPG Award since 2018.
- Continued progress across JetForward’s four priority moves, on track for $310 million incremental EBIT (2) in 2026.
Outlook
“As we look ahead, we are seeing continued strength across the booking curve, with momentum carrying into the second quarter supporting our unit revenue outlook,” said Marty St. George, JetBlue’s president. “We are particularly pleased with the revenue trends and customer response we are seeing in Fort Lauderdale. All of our second quarter capacity growth is driven by Fort Lauderdale, and we plan to continue building upon our leadership position in this key focus city.”
| Second Quarter 2026 Outlook | Estimated 2Q 2026 |
| Available Seat Miles (“ASMs”) Year-Over-Year | 1.5% – 4.5% |
| RASM(3) Year-Over-Year | 7.0% – 11.0% |
| CASM Ex-Fuel(4) Year-Over-Year | 3.0% – 5.0% |
| Fuel Price per Gallon(5) | $4.13 – $4.28 |
| Capital Expenditures | ~$275 million |
| Full Year 2026 Outlook | Estimated FY 2026 |
| Capital Expenditures(6) | ~$800 million |
“The operating environment remains volatile, particularly with fuel prices expected to remain elevated in the near term, and we are taking meaningful action to mitigate the impact,” said Ursula Hurley, JetBlue’s chief financial officer. “In addition to our revenue efforts, we are reducing capacity during off-peak periods and driving additional cost savings throughout the business.”
About JetBlue
JetBlue is New York’s Hometown Airline®, and a leading carrier in Boston, Fort Lauderdale-Hollywood, Los Angeles, Orlando and San Juan. JetBlue, known for its low fares and great service, carries customers to 110 destinations throughout the United States, Latin America, the Caribbean, Canada and Europe. For more information and the best fares, visit jetblue.com.
Notes
| (1) | Revised guidance as of March 17, 2026. |
| (2) | Management reviews the estimated amount of earnings before interest and taxes attributable to JetForward initiatives within a given period to evaluate progress against our financial and operational targets. Incremental EBIT reflects the estimated impact of strategic initiatives on profitability, such as partnerships, fleet optimization, network changes, and cost reduction programs. |
| (3) | RASM outlook implies 30 to 40% fuel recapture. |
| (4) | Non-GAAP financial measure; Note A provides a reconciliation of each non-GAAP financial measure used in this release to the most directly comparable GAAP financial measure and explains the reasons management believes that presentation of these non-GAAP financial measures provides useful information to investors regarding JetBlue’s financial condition and results of operations. In addition, refer to Note A for further details on non-GAAP forward-looking information. |
| (5) | JetBlue utilizes the forward Brent crude curve and the forward Brent crude to jet crack spread to calculate fuel price for the current quarter. Fuel price is based on the forward curve as of April 10, 2026. Includes fuel taxes and other fuel fees. |
| (6) | Capital expenditures exclude one Airbus A321neo XLR, which JetBlue expects to sell following delivery of the aircraft. |
Forward-Looking Information
This Earnings Release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, as amended. We intend such forward-looking statements to be covered by the safe harbor provisions for forward-looking statements contained in Section 27A of the Securities Act of 1933, as amended (the “Securities Act”), and Section 21E of the Securities Exchange Act of 1934, as amended (the “Exchange Act”). All statements other than statements of historical facts contained in this Earnings Release are forward-looking statements. In some cases, you can identify forward-looking statements by terms such as “expects,” “plans,” “intends,” “anticipates,” “indicates,” “remains,” “believes,” “estimates,” “forecast,” “guidance,” “outlook,” “may,” “will,” “should,” “seeks,” “goals,” “targets” or the negative of these terms or other similar expressions. Additionally, forward-looking statements include statements that do not relate solely to historical facts, such as statements which identify uncertainties or trends, discuss the possible future effects of current known trends or uncertainties, or which indicate that the future effects of known trends or uncertainties cannot be predicted, guaranteed, or assured. Forward-looking statements contained in this Earnings Release include, without limitation, statements regarding our outlook, goals, and future results of operations and financial position, including our expected return to profitability, any expected headwinds or tailwinds, fuel prices and volatility, demand, our aircraft fleet, our product offerings and loyalty initiatives, and our business strategy and plans and objectives for future operations, such as our JetForward initiatives, including our Blue Sky collaboration. Forward-looking statements involve risks, uncertainties and assumptions, and are based on information currently available to us. Actual results may differ materially from those expressed in the forward-looking statements due to many important factors, including, without limitation, our extremely competitive industry; the risk associated with the execution of our strategic operating plans in the near-term and long-term; risks related to the long-term nature of our fleet order book; volatility in fuel prices and availability of fuel; increased maintenance costs associated with fleet age; costs associated with salaries, wages and benefits; risks associated with a potential material reduction in the rate of interchange reimbursement fees; risks associated with doing business internationally; our reliance on high daily aircraft utilization; our dependence on the New York metropolitan market; risks associated with extended interruptions or disruptions in service at our focus cities; risks associated with airport expenses; risks associated with seasonality and weather; our reliance on a limited number of suppliers for our aircraft, engines, and our Fly-Fi® product; risks related to new or increased tariffs, including those that impact commercial aircraft and related parts imported from outside the United States; the outcome of current or future legal proceedings or regulatory actions; risks associated with stockholder activism; risks associated with cybersecurity and privacy, including potential disruptions to our information technology systems or information security breaches; heightened regulatory requirements concerning data security compliance; risks associated with reliance on, and potential failure of, automated systems to operate our business; our inability to attract and retain qualified crewmembers; our being subject to potential unionization, work stoppages, slowdowns or increased labor costs; reputational and business risk from an accident or incident involving our aircraft; risks associated with damage to our reputation and the JetBlue brand name; our significant amount of fixed obligations and the ability to service such obligations; possible failure to comply with financial and other debt covenants included in the agreements governing our debt; financial risks associated with credit card processors; risks associated with seeking short-term additional financing liquidity; failure to realize the full value of intangible or long-lived assets, causing us to record impairments; limits on our ability to use certain tax attributes; risks associated with our development and use of AI-powered solutions; risks associated with disease outbreaks or environmental disasters affecting travel behavior; compliance with environmental laws and regulations, which may cause us to incur substantial costs; the impacts of federal government shutdowns, federal budget constraints or federally imposed furloughs; increasing scrutiny of, and evolving expectations regarding, environmental matters; changes in government regulations in our industry; acts of war or terrorism; and changes in global economic or geopolitical conditions or an economic downturn leading to a continuing or accelerated decrease in demand for air travel. It is routine for our internal projections and expectations to change as the year or each quarter in the year progresses, and therefore it should be clearly understood that the internal projections, beliefs, and assumptions upon which we base our expectations may change prior to the end of each quarter or year.
Given the risks and uncertainties surrounding forward-looking statements, you should not place undue reliance on these statements. You should understand that many important factors, in addition to those discussed or incorporated by reference in this Earnings Release, could cause our results to differ materially from those expressed in the forward- looking statements. Further information concerning these and other factors is contained in JetBlue’s filings with the U.S. Securities and Exchange Commission (the “SEC”), including but not limited to in our Annual Report on Form 10-K for the year ended December 31, 2025, as may be updated by our other SEC filings. In light of these risks and uncertainties, the forward-looking events discussed in this Earnings Release might not occur. Our forward-looking statements speak only as of the date of this Earnings Release. Other than as required by law, we undertake no obligation to update or revise forward-looking statements, whether as a result of new information, future events, or otherwise.
