FMP

FMP

Enter

JetBlue Airways Shares Plummet 15% on Q1 Revenue Decline

-

twitterlinkedinfacebook
blog post cover photo

Image credit: FMP

JetBlue Airways (NASDAQ:JBLU) shares plunged more than 15% intra-day today after the company reported its first-quarter results for 2024, which showed a narrower-than-expected loss but a decline in revenue. The airline announced an adjusted net loss of $145 million, or ($0.43) per share, beating analyst expectations by $0.09. However, its operating revenue fell 5.1% year-over-year to $2.2 billion.

The revenue decline and a 2.7% decrease in capacity YoY contributed to the stock's downturn, compounded by a cautious revenue forecast for the second quarter and the entire year. JetBlue's CEO, Joanna Geraghty, cited ongoing challenges from excessive capacity in the Latin region, which she anticipates will continue to pressure revenues and dampen the outlook for the year. Despite these challenges, she remains optimistic about the airline's ability to achieve profitability through its focused standalone strategy.

Operating expenses for the quarter rose 14.0% YoY to $2.9 billion, with cost per available seat mile increasing by 17.1%. Excluding special items, operating expenses saw a decrease of 3.7% YoY to $2.4 billion. The average fuel price per gallon for the quarter was $2.97.

For the upcoming second quarter, JetBlue expects revenues to decline between 10.5% and 6.5%, and forecasts a similar downward trend in full-year revenue by low single digits. The airline also projects a decrease in Available Seat Miles (ASMs) between 5.0% and 2.0% for the second quarter, with a comparable decline expected for the full year.

Other Blogs

May 27, 2024 3:30 PM - Rajnish Katharotiya

The best 5 GPU stocks other than NVDA

In the ever-evolving world of technology, certain sectors have consistently demonstrated exceptional growth and innovation. The graphics processing units (GPUs) industry is one such sector, offering investors a golden opportunity for potentially high returns. In this blog, we'll delve into why inves...

blog post title

Jun 6, 2024 2:47 AM - Parth Sanghvi

ROE vs ROA: Which Metric is More Important for Investors?

ROE vs. ROA: Which Metric is More Important for Investors? When evaluating a company's financial performance, investors often rely on various metrics to gauge profitability and efficiency. Two commonly discussed metrics are Return on Equity (ROE) and Return on Assets (ROA). Understanding the diff...

blog post title

Jun 6, 2024 2:57 AM - Parth Sanghvi

DCF vs NPV: Which Valuation Method Should You Use?

When it comes to valuing an investment or a business, two of the most commonly used methods are Discounted Cash Flow (DCF) and Net Present Value (NPV). Both methods are essential tools in finance, but they serve slightly different purposes and are used in different contexts. This guide will explore ...

blog post title
FMP

FMP

Financial Modeling Prep API provides real time stock price, company financial statements, major index prices, stock historical data, forex real time rate and cryptocurrencies. Financial Modeling Prep stock price API is in real time, the company reports can be found in quarter or annual format, and goes back 30 years in history.
twitterlinkedinfacebookinstagram
2017-2024 © Financial Modeling Prep