JetBlue Airways Surpasses Q2 Earnings Estimates with Revenue of $2.4B

JetBlue Airways reported Q2 GAAP EPS of -$0.21, beating estimates by $0.11. Revenue was $2.4B, a 1.2% YoY decline, but still beating expectations by $110M. The operating margin was 0.3% for the quarter, while the adjusted operating margin was 1.3%.

JetBlue Airways (NASDAQ: JBLU) reported its second-quarter 2025 earnings, with GAAP EPS of -$0.21, which exceeded estimates by $0.11. Revenue of $2.4 billion, a 1.2% year-over-year (YoY) decline, also beat expectations by $110 million. The operating margin for the quarter was 0.3%, while the adjusted operating margin was 1.3% [1].

Despite facing an uncertain economic backdrop, JetBlue delivered a modest operating profit for the quarter. The company's multi-year transformation plan, JetForward, continues to drive operational improvements and cost savings. JetBlue reported a 7th consecutive quarter of cost out-performance, with $90 million in incremental EBIT during the first half of 2025 [2].

The company's collaboration with United Airlines, known as Blue Sky, is expected to enhance customer choice and accelerate JetForward. Blue Sky is anticipated to contribute $50 million more in incremental EBIT than initially planned, accelerating the program's total anticipated EBIT benefit to $850 to $950 million by the end of 2027 [2].

JetBlue's operating revenue for the second quarter of 2025 was $2.4 billion, with a 3.0% YoY decrease. Operating expenses for the quarter were $2.4 billion, a decrease of 0.9% YoY. The company's average fuel price for the second quarter of 2025 was $2.40 per gallon [1].

The company's third-quarter and full-year 2025 outlook estimates an increase in available seat miles (ASMs) by 1.0% for 3Q 2025, a decrease of 2.0% for FY 2025, and an increase of 2.5% for FY 2026. The company expects its RASM to increase by 6.0% for 3Q 2025, a decrease of 2.0% for FY 2025, and an increase of 5.0% for FY 2026. The company's CASM ex-Fuel is expected to increase by 4.0% for 3Q 2025, a decrease of 6.0% for FY 2025, and an increase of 7.0% for FY 2026 [1].

JetBlue's improving aircraft on the ground (AOG) forecast, due to better-than-expected engine durability performance and aggressive self-help initiatives, is expected to reduce the number of aircraft on the ground to fewer than 10 this year, down from mid-to-high teens [2].

JetBlue will hold a conference call to discuss its quarterly earnings on July 29, 2025, at 10:00 a.m. Eastern Time. A live broadcast of the conference call will be available via the internet at http://investor.jetblue.com [1].

References:
[1] https://seekingalpha.com/news/4473192-jetblue-airways-beats-q2-estimates
[2] https://www.stocktitan.net/news/JBLU/jet-blue-reports-second-quarter-operating-profit-driven-by-improving-7j5s3mjdeadd.html