JetBlue Third, Fourth Quarters Affected By Hurricanes

October 11, 2017

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JetBlue Airways flew 4.9 percent fewer passengers in September than last year as two hurricanes, Irma and Maria, affected its network performance.

Passenger traffic (in revenue passenger miles - RPM) was down 4.4 percent compared with the same month last year. The hurricanes caused an ASM capacity decrease of 0.9 percent and a reduced load factor of 80.2 percent, down 3 percentage points from 2016.

“The third quarter presented unprecedented weather challenges for JetBlue, with two of the largest hurricanes in our history impacting our network,” JetBlue’s chief executive Robin Hayes said.

The New York-based airline is expecting a USD$44 million hit to revenue in the third quarter and a $30 million-$35 million drop in operating income. Q3 results will be announced on October 24.

The impact of the storms will continue into the fourth quarter, JetBlue said, with revenue expected to be down by between $70 million and $90 million.

“We remain committed to the rebuilding efforts, particularly in Puerto Rico. We are confident that the adjustments we are making to our network will minimise any ongoing financial impact in 2018,” Hayes said.

(Airwise)