Tag Archives: Blueprint

JetBlue announces fourth quarter 2017 financial results

JetBlue's first Embraer 190 logo jet - "Blueprint"

JetBlue Airways Corporation on January 25, 2018 reported its results for the fourth quarter 2017:

  • Operating income of $189 million, a decrease of 36.0% from the fourth quarter of 2016, principally due to higher fuel prices.
  • Pre-tax income of $170 million, a decrease of 38.0% from the fourth quarter of 2016.
  • Fourth quarter net income of $672 million, or $2.08 per diluted share. Adjusted earnings per share of $0.32, which excludes a benefit of $1.76 associated with the revaluation of our deferred tax liabilities to reflect the impact of the enactment of the Tax Cuts and Jobs Act of 2017. This compares to JetBlue’s fourth quarter 2016 net income of$172 million, or $0.50 per diluted share.

Financial Performance

JetBlue reported fourth quarter operating revenues of $1.8 billion. Revenue passenger miles for the fourth quarter increased 3.1% to 11.5 billion on a capacity increase of 5.1%, resulting in a fourth quarter load factor of 83.1%, a 1.6 point decrease year over year.

Yield per passenger mile in the fourth quarter was 13.57 cents, up 2.8% compared to the fourth quarter of 2016. Passenger revenue per available seat mile (PRASM) for the fourth quarter of 2017 increased 0.8% year over year to 11.28 cents and operating revenue per available seat mile (RASM) increased 1.8% year over year to 12.66 cents.

Compared with last year, operating expenses for the quarter increased 16.5%, or $222 million. Interest expense for the quarter declined 12.4%, or $4 million, as JetBlue continued to reduce its debt. JetBlue’s operating expense per available seat mile (CASM) for the fourth quarter increased 10.8% year over year to 11.29 cents. CASM Ex-Fuel1 for the fourth quarter increased 8.1% to 8.63 cents.

“I’d like to thank our 21,000 Crewmembers, who rose to each and every challenge during 2017. Our fourth quarter results were driven by solid demand across our network, our successful ancillary platform and recovery in the Caribbean that exceeded our expectations, following a historic hurricane season. We continue to make progress to achieve our margin commitments and to compete successfully as a low-cost carrier,” said Robin Hayes, JetBlue’s President and CEO.

Fuel Expense and Hedging

In the fourth quarter of 2017 JetBlue had hedges in place for approximately 10% of its fuel consumption. The realized fuel price in the quarter was $1.89 per gallon, a 21.6% increase versus fourth quarter 2016 realized fuel price of $1.56.

JetBlue does not presently have any forward fuel derivative contracts to hedge its fuel consumption. Based on the fuel curve as of January 12th, JetBlue expects an average price per gallon of fuel of $2.16 in the first quarter of 2018, an increase of approximately 28% over the realized fuel price in the first quarter of 2017.

Liquidity and Cash Flow

JetBlue ended the quarter with approximately $693 million in unrestricted cash and short term investments, or about 10% of trailing twelve month revenue. In addition, JetBlue maintains approximately $625 million in undrawn lines of credit.

During the fourth quarter, JetBlue repaid $57 million in regularly scheduled debt and capital lease obligations. JetBlue anticipates paying approximately $59 million in regularly scheduled debt and capital lease obligations in the first quarter and approximately $202 million for the full year 2018.

“In the fourth quarter and 2017 we took actions to navigate a complex external environment, while striving to protect and enhance our margins. These actions included capacity adjustments and redeployments following a challenging summer and to mitigate the impact of hurricanes. We continue to demonstrate our ability to make progress in our commitments to all our stakeholders and to lay the foundation that will ultimately achieve superior margins,” said Steve Priest, JetBlue’s EVP Chief Financial Officer.

First Quarter and Full Year 2018 Outlook

Capacity is expected to increase between 3.5% and 5.5% year over year in the first quarter 2018. For the full year 2018, JetBlue expects capacity to increase between 6.5% and 8.5%.

RASM growth is expected to range between 2.5% and 5.5% for the first quarter 2018 compared to the same period in 2017.

CASM Ex-Fuel is expected to grow between 2.0% and 4.0% for the first quarter of 2018. For the full year 2018, JetBlue expects year over year CASM Ex-Fuel to be between (1.0)% and 1.0%.

Copyright Photo: JetBlue Airways Embraer ERJ 190-100 IGW N304JB (msn 19000257) (Blueprint) FLL (Tony Storck). Image: 940756.

JetBlue Airways aircraft slide show:

 

JetBlue introduces its first Embraer 190 special livery – “Blueprint”

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JetBlue Airways (New York) on February 20, 2017 announced two eye-catching additions to the airline’s fleet with the very first special livery for an Embraer 190 (above) and a new tailfin design that will appear on multiple aircraft this year (below). The airline is introducing the new paint schemes as it celebrates its 17th anniversary this month.

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‘Blueprint’ Is Born

JetBlue has a long tradition of adding unique, special liveries to its Airbus A320 fleet and that tradition is expanding to the airline’s Embraer 190 fleet.

Often referred to as the backbone of the operation in cities like Boston; Washington, D.C.; and San Juan, Puerto Rico, JetBlue’s design team created a paint scheme that showcased the so-called “bones” of the 100-seat aircraft. Drawing upon the styles of various aviation, nautical and space exploration vehicle cut-away diagrams, the JetBlue design team created a mechanical x-ray of sorts infused with some JetBlue fun.

The see-through paint job draws on both the technical and fanciful aspects of air travel. Mechanical features like the nose gear, jet engine and yoke were among the more obvious design elements to include. But for the onboard features, JetBlue designers drew upon their own travel experiences, crewmember tales, and the airline’s loyal customers for inspiration, even creating fictional characters to compile a list of the items they might be traveling with. Plane spotters are encouraged to give the overhead bins, under-seat storage areas, and the luggage holds a closer look to see if they can spot the nearly 50 items these “Blueprint” customers are traveling with.

Although “Blueprint” features just three signature JetBlue colors, it is one of the airline’s most intricate special livery designs and took nearly two weeks to paint at a facility in Quebec. The first-ever JetBlue E190 special livery debuted at Boston’s Logan International Airport and will operate on routes served by the E190 throughout the JetBlue network.

JetBlue Airways introduces a new tail design (Highrise)

Copyright Photo: JetBlue Airways Airbus A320-232 N537JT (msn 1785) (Highrise) SJU (Raul Sepulveda). Image: 936971.

‘Highrise’ Reaches for the Skies

JetBlue has come a long way since launching its first two routes, now flying to 100 destinations across the U.S., Caribbean and Latin America. And even as the airline looks toward more growth in the years ahead there’s still no place like home. That’s why New York’s Hometown Airline® is honoring the city that never sleeps with a tailfin take on the buildings that form the iconic skyline.

The design, which depicts the image of bright lights through window panes of city high-rises (above), is meant to reflect JetBlue’s growth and New York’s perpetual desire to reach for the sky. Four of JetBlue’s signature colors are reflected in “Highrise” and the illuminated windows can be rearranged creating a slightly different pattern on different aircraft tailfins.

The “Highrise” pattern debuted at New York’s John F. Kennedy International Airport (JFK) and will be added to additional aircraft this year across the JetBlue network, so customers can be on the lookout for the newest tailfin design in a city near them.

Top Photo: JetBlue Airways. Embraer ERJ 190-100 IGW N304JB (msn 19000257) pushes back from the gate.

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