JetBlue Airways Corporation recently released its 10-K report, providing a detailed look into its financial and operational performance for the year 2024. The company, founded in 1998 and based in Long Island City, New York, operates a fleet of Airbus and Embraer aircraft, serving 100 destinations across the United States, the Caribbean and Latin America, Canada, and Europe. In addition to air transportation services, JetBlue also operates airport lounges.
In 2024, JetBlue reported a net loss of $795 million, compared to a net loss of $310 million in 2023. This increase in loss was primarily due to the write-off of Spirit-related costs for $532 million as a result of the termination of the Merger Agreement in March 2024. Despite a reduction in capacity, the company made progress on its revenue initiatives, with revenue strength in its premium product offerings, such as Even More® Space, preferred seating, and Mint®. JetBlue also saw improvements in operational metrics, resulting in greater cost efficiencies. However, operating revenue decreased by 3.5% to $9.3 billion, primarily due to lower capacity. Operating expenses increased by 1.2% year-over-year to $10.0 billion, with operating expense per available seat mile ("CASM") increasing by 4.9% to 15.08 cents year-over-year.
JetBlue announced a strategic framework called JetForward in July 2024, focusing on delivering reliable and caring service, building the best east coast leisure network, offering products and perks customers value, and providing a secure financial future. The company also made enhancements to its customer experience, including introducing preferred seating, adding new loyalty partners, and implementing a baggage policy update to the Blue Basic fare. Additionally, JetBlue announced plans for the opening of airport lounges at JFK Terminal 5 and BOS Terminal C, as well as plans to introduce a new domestic first-class cabin on all non-Mint® aircraft beginning in 2026.
To secure its financial future, JetBlue deferred approximately $3.0 billion of capital expenditures related to Airbus aircraft deliveries and raised significant financing. The company had $3.9 billion in liquidity at the end of 2024, which included unrestricted cash, cash equivalents, short-term investments, and long-term marketable securities. JetBlue also signed a new commercial agreement to purchase sustainable aviation fuel (SAF) and was included in the purchase of SAF certificates through the Sustainable Aviation Buyers Alliance.
In terms of operational challenges, JetBlue faced issues with certain engines that power its Airbus A220 and Airbus A321neo fleets. As of December 31, 2024, the company had 11 aircraft grounded due to lack of engine availability, and it expects each removed engine to take approximately 360 days to complete a shop visit and return to a serviceable condition. JetBlue plans to continue to assess the resulting impact on its future capacity plans and is working with Pratt & Whitney on a resolution.
JetBlue reported a net loss of $795 million, an operating loss of $684 million, and an operating margin of (7.4)% for the year ended December 31, 2024, compared to a net loss of $310 million, operating loss of $230 million, and operating margin of (2.4)% for the year ended December 31, 2023. The company's loss per share was $2.30 for 2024 compared to a loss per share of $0.93 for 2023. Operating revenues decreased by 3.5% to $9.3 billion, primarily due to lower capacity, while operating expenses increased by 1.2% year-over-year to $10.0 billion.
JetBlue's 10-K report provides a comprehensive overview of its financial and operational performance, outlining both its achievements and challenges in the past year. Today the company's shares have moved 1.5% to a price of $6.78. For the full picture, make sure to review JetBlue Airways's 10-K report.
