JetBlue Airways Q3 revenue rises on strong yields

Overview

• US airline's Q3 operating revenue rose 21% yr/yr, driven by strong demand and yields

• Adjusted loss per share for Q3 comes in bigger than analyst expectations

• Company reported improved RASM and margin expansion despite higher fuel costs

Outlook

• JetBlue expects 4Q26 RASM growth of 18%-22% year-over-year

• Company forecasts 4Q26 adjusted operating margin of (4.5%) to (6.5%)

• JetBlue maintains target of at least $1 EPS and positive free cash flow in 2028

Result Drivers

• HIGHER YIELDS - Co said improved revenue management technology and strong yyiields drove majority of Q3 revenue outperformance

• FORT LAUDERDALE GROWTH - Capacity expansion and new destinations in Fort Lauderdale contributed to nearly 15% RASM increase in the region

• LOYALTY AND CREDIT CARD ENGAGEMENT - Loyalty revenue rose 20% and co-brand credit card acquisitions in Broward County increased 55% yr/yr

Company press release:

Key Details

Analyst Coverage

• The current average analyst rating on the shares is "hold" and the breakdown of recommendations is no "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 Corporation is $4.00, about 52.4% above its October 23 closing price of $2.63

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(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.)