JetBlue Q2 adjusted loss per share beats estimates

Overview

• US airline's Q2 operating revenue rose 14.5% yr/yr to $2.7 bln, driven by demand strength

• Adjusted loss per share for Q2 was $0.66, beating analyst expectations

• Operating expenses rose 20.8% yr/yr, mainly due to higher fuel costs

Outlook

• JetBlue sees 3Q 2026 RASM growth of 12.5% to 16.5% year-over-year

• Company expects FY 2026 RASM growth of 10.0% to 12.5% year-over-year

• JetBlue targets 2028 EPS of at least $1.00 per share, assuming demand strength and $3 jet fuel

Result Drivers

• DEMAND STRENGTH - Co said strong customer demand and commercial actions drove 10.9% RASM growth in Q2

• PREMIUM AND LOYALTY GAINS - Premium RASM rose 13% and loyalty revenue increased 13% yr/yr, aided by new credit card acquisitions and expanded customer benefits

• FUEL COST RECOVERY - Co recaptured nearly 50% of higher fuel costs in Q2, exceeding expectations

Company press release: ID:nBw7qyHjda

Key Details

Analyst Coverage

• The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 1 "strong buy" or "buy", 13 "hold" and 5 "sell" or "strong sell"

• The average consensus recommendation for the airlines peer group is "buy."

• Wall Street's median 12-month price target for JetBlue Airways Corp is $5.03, about 7.4% below its July 27 closing price of $5.43

Reuters Recommended Reads

• July 28 - Singapore Airlines posts first quarterly loss since 2022 as Air India losses, fuel costs weigh

• July 28 - Jet engine maker Safran raises targets after record first-half margin

• July 27 - FAA delaying flights at New York, Philadelphia airports

For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)