Delivered 10.9% RASM growth, driven by continued demand strength and commercial actions

Re-established full-year 2026 outlook, supported by improved visibility into the second half

Introduced a 2028 EPS target of at least $1.00 per share

NEW YORK--(BUSINESS WIRE)--JetBlue Airways Corporation (NASDAQ: JBLU) today reported its financial results for the second quarter of 2026.

“Two years into JetForward, we’re encouraged by the progress we’re making and the results we’re driving across the business,” said Joanna Geraghty, JetBlue’s chief executive officer. “Our second quarter performance reflects the strength of our JetForward strategy and the focused execution of our crewmembers, as strong customer demand and our decisive actions enabled us to recover fuel costs more quickly than we anticipated.”

“This momentum reinforces our confidence that we're strengthening the foundation for a more profitable JetBlue. Reflecting the progress we're making and the earnings trajectory we see ahead, today we're introducing a long-term financial target of at least $1.00 in earnings per share for 2028 as we continue on the path toward restoring sustained profitability.”

JetForward Continues to Deliver Measurable Results

JetForward continues to deliver meaningful value across the business. Through June 2026, the airline's transformation strategy has generated $470 million of cumulative incremental EBIT ⁽¹⁾ and remains on track to deliver its previously announced $850 - $950 million annual incremental EBIT benefit by year-end 2027.

• Reliable & Caring Service
  • Continued to improve operational performance and the customer experience in Q2 via reliability initiatives, with A14 increasing ~1 point and Net Promoter Score improving 5 points year-over-year during the quarter.
• Best East Coast Leisure Network
  • Accelerated long-term growth in Fort Lauderdale, delivering 11% YoY RASM growth in the second quarter despite nearly 40% capacity growth. Updated flight schedules to enhance connectivity through a more structured bank schedule and deliver more than 150 daily departures this winter.
  • Advanced Blue Sky, introducing reciprocal loyalty benefits to further improve customers' expanded ability to earn and redeem TrueBlue^® points across a broader network.
• Products & Perks Customers Value
  • Expanded JetBlue's merchandising capabilities, with EvenMore^® point redemptions, Preferred Seating and the refreshed premium co-branded credit card continuing to outperform expectations.
  • JetBlue's premium experiences continued to earn awards, including BlueHouse^TM recognition, and its Mint® experience earning the highest-ranking in customer satisfaction among first/business passengers for a second consecutive year in the JD Power 2026 North America Airline Satisfaction Study.
• A Secure Financial Future
  • Improved crewmember productivity through enhanced digital tools, and modernized technology infrastructure to drive better scalability and reliability at a lower cost.
  • Improved fuel efficiency through advanced flight planning and routing, real-time data, predictive analytics, and operational decision support.
  • Expanded AI and data science-enabled capabilities to improve planning, automate decision-making, and better manage disruptions.

JetForward's initiatives continue to progress, led by BlueFirst^TM, our new domestic first class product, which is expected to begin sales this fall. As these initiatives mature, JetBlue expects JetForward benefits to continue building beyond 2027, reaching approximately $1.2 billion of annual incremental EBIT in 2028. Based on this planned trajectory, the airline introduced a long-term financial target for 2028 EPS of at least $1.00 per share assuming continued demand strength and an average $3.00 per gallon jet fuel price in 2028.

Second Quarter 2026 Financial Results

• Recaptured nearly 50% of higher fuel costs during the second quarter, exceeding expectations.
• Second quarter 2026 system capacity increased by 3.2% year-over-year, within our revised guidance ⁽²⁾ range of 2.0% to 4.0%.
• Operating revenue of $2.7 billion for the second quarter of 2026, an increase of 14.5% year-over-year.
• Operating revenue per available seat mile (“RASM”) increased 10.9% year-over-year, near the better end of our revised guidance range, supported by strong demand across nearly all products and geographies.
• Operating expense per available seat mile (“CASM”) for the second quarter of 2026 increased 17.0% year-over-year.
• Operating expense per available seat mile, excluding fuel, other non-airline operating expenses, and special items (“CASM ex-Fuel”) ⁽³⁾ for the second quarter of 2026 increased 2.4% year-over-year, 1.6 points better than the mid-point of revised guidance.
• Average fuel price in the second quarter of 2026 of $4.23 per gallon, $1.83 higher year-over-year, or approximately 76%.
• Capital expenditures, including predelivery deposits, in the second quarter totaled $234 million.

Second Quarter 2026 Commercial and Financial Highlights

• Premium RASM increased approximately 13%, complemented by 11% Main Cabin RASM growth, reflecting broad-based demand strength across the product portfolio.
• Loyalty revenue increased 13% year over year, supported by record co-brand account engagement, a nearly 40% increase in new premium card acquisitions and a 21% increase in loyalty cash remuneration.
• Introduced ClarityPay, expanding flexible payment options that provide more customers the opportunity to experience JetBlue's award-winning product.
• Building on the success of JetBlue's inaugural BlueHouse^TM at JFK, recently awarded #1 ‘Best Airport Lounge of 2026’ by Newsweek Readers' Choice^TM Awards. Boston BlueHouse^TM remains on track to open this summer.

Pratt & Whitney Agreement

• Secured Pratt & Whitney credits toward future goods and services related to GTF settlements through calendar year 2025.

Outlook

“Our commercial initiatives continued to gain traction in the second quarter, strengthening our visibility into the back half of the year,” said Marty St. George, JetBlue’s president. “Strong demand across our product portfolio, combined with continued JetForward execution and the ongoing progress of Blue Sky and BlueFirst^TM, reinforces our confidence in the outlook and the momentum building across the business.”

“Our second quarter results demonstrate the progress we're making on the levers within our control,” said Ursula Hurley, JetBlue’s chief financial officer. “Supported by strong revenue performance, disciplined capacity and continued cost execution, we expect second-half operating margin to improve by approximately 3.5 points year-over-year. The progress we are building supports JetBlue’s path to sustained profitability, meaningful earnings growth and long-term value creation for our shareholders.”

Earnings Call Details

JetBlue will hold a conference call to discuss its quarterly earnings today, July 28, 2026 at 10:00 a.m. Eastern Time. A live broadcast of the conference call will also be available via the internet at http://investor.jetblue.com. The webcast replay and presentation materials will be archived on the airline's website for at least 30 days.

For further details, see the second quarter 2026 Earnings Presentation available via the internet at http://investor.jetblue.com.

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 more than 100 destinations throughout the United States, Latin America, the Caribbean, Canada and Europe. For more information and the best fares, visit jetblue.com.

Notes

Our estimated effective tax rate is ~6% for the third quarter and full year 2026, primarily reflecting a non-cash impact from a valuation allowance included in our forecasted annual effective tax rate.

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 intended path to profitability, positive free cash flow, earnings targets and related assumptions, any expected headwinds or tailwinds, fuel prices and volatility, demand, our use of artificial intelligence, 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, our Blue Sky collaboration, BlueFirst^TM product launch, expected growth opportunities at select airports, our financing arrangements and potential implications thereof on our business, our sustainability initiatives, the impact of industry conditions, our ability to adjust pricing in response to changes in fuel costs or demand, and the related impacts on our business. 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.

Note A - Non-GAAP Financial Measures

We report our financial results in accordance with GAAP; however, we present certain non-GAAP financial measures in this Earnings Release. Non-GAAP financial measures are financial measures that are derived from the condensed consolidated financial statements, but that are not presented in accordance with GAAP. We present these non-GAAP financial measures because we believe they provide useful supplemental information that enables a meaningful comparison of our results to others in the airline industry and our prior results. Investors should consider these non-GAAP financial measures in addition to, and not as a substitute for, our financial performance measures prepared in accordance with GAAP. Further, our non-GAAP information may be different from the non-GAAP information provided by other companies. The information below provides an explanation of each non-GAAP financial measure used in this Earnings Release and shows a reconciliation of certain non-GAAP financial measures used in this Earnings Release to the most directly comparable GAAP financial measures.

With respect to JetBlue's CASM Ex-Fuel ⁽¹⁾ and Adjusted Operating Margin ⁽²⁾ guidance, JetBlue is not able to provide a reconciliation of forward-looking measures where the quantification of certain excluded items reflected in the measure cannot be calculated or predicted at this time without unreasonable efforts. In these cases, the reconciling information that is unavailable includes a forward-looking range of financial performance measures beyond our control, such as interest rates and fuel costs, which are subject to many economic and political factors beyond our control. For the same reasons, we are unable to address the probable significance of the unavailable information, which could have a potentially unpredictable and potentially significant impact on our future GAAP financial results.

Operating expense per available seat mile, excluding fuel, other non-airline operating expenses, and special items (“CASM ex-fuel”)

CASM is a common metric used in the airline industry. Our CASM for the relevant periods are summarized in the table below. We exclude aircraft fuel, operating expenses related to other non-airline businesses, such as Paisly and JetBlue Technology Ventures (JBV), and special items from total operating expenses to determine Operating Expenses ex-fuel, which is a non-GAAP financial measure, and we exclude the same items from CASM to determine CASM ex-fuel, which is also a non-GAAP financial measure. We believe the impact of these special items distorts our overall trends and that our metrics are more comparable with the presentation of our results excluding such impact.

For the three and six months ended June 30, 2026, there were no special items.

For each of the three and six months ended June 30, 2025, special items included voluntary opt-out costs.

We believe Operating Expenses ex-fuel and CASM ex-fuel are useful for investors because they provide investors the ability to measure our financial performance excluding items that are beyond our control, such as fuel costs, which are subject to many economic and political factors, as well as items that are not related to the generation of an available seat mile, such as operating expense related to certain non-airline businesses and special items. We believe these non-GAAP measures are more indicative of our ability to manage airline costs and are more comparable to measures reported by other major airlines.

The table below provides a reconciliation of our total operating expenses (GAAP measure) to Operating Expenses ex-fuel, and our CASM to CASM ex-fuel for the periods presented.

Operating Expense, Operating Income (Loss), Operating Margin, Pre-tax Loss, Pre-tax Margin, Net Loss and Loss per Share, excluding Special Items and Gain on Investments

For the three and six months ended June 30, 2026, there were no special items.

For each of the three and six months ended June 30, 2025, special items included voluntary opt-out costs.

Certain gains on our investments, net were also excluded from our June 30, 2026 and 2025 non-GAAP results.

We believe the impact of these items distort our overall trends and that our metrics are more comparable with the presentation of our results excluding the impact of these items. The table below provides a reconciliation of our GAAP reported amounts to the non-GAAP amounts excluding the impact of these items for the periods presented.

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JetBlue Investor Relations
Tel: +1 718 709 2202
ir@jetblue.com

JetBlue Corporate Communications
Tel: +1 718 709 3089
corpcomm@jetblue.com

Source: JetBlue