Jetblue Airways (JBLU) Q3 2026 earnings summary

Executive summary

• Q3 revenue rose 21.1% YoY to $2.812B as resilient demand and higher yields lifted RASM 18.4%; adjusted operating margin improved to -3.9% from -4.1%.

• GAAP net loss widened to $257M from $143M amid sharply higher fuel costs and operational disruptions.

• Operating profitability is targeted for 2027; 2028 goals include positive free cash flow and at least $1.00 EPS, with JetForward targeting ~$1.2B incremental EBIT.

Financial highlights

• Q3 operating revenue was $2.812B, up 21.1% YoY; passenger revenue rose 21.8% to $2.600B and other revenue increased 13.4% to $212M.

• GAAP operating loss was $144M versus $100M, and net loss was $257M versus $143M; diluted loss per share was $0.68 versus $0.39.

• Excluding special items and investment gains, Q3 net loss was $226M and diluted loss per share was $0.60; adjusted operating margin was -3.9% versus -4.1%.

• Operating expenses rose 22.1% to $2.956B; fuel expense increased 61.0% to $868M and salaries, wages and benefits grew 9.4% to $946M.

• 9M revenue rose 13.7% to $7.749B; net loss widened to $823M from $425M and adjusted net loss was $795M versus $412M.

Outlook and guidance

• 4Q26 guidance: ASMs +3.0%–4.0% YoY, RASM +18.0%–22.0%, CASM ex-fuel -1.0% to +1.0%, and fuel at $4.64 per gallon; FY26 guidance: ASMs +1.5%–2.5%, RASM +13.5%–14.5%, CASM ex-fuel +3.5%–4.5%.

• Adjusted operating margin is expected to expand 1–2 points YoY in 4Q despite fuel prices up 85%; FY26 adjusted operating margin outlook is -4.5% to -6.5%.

• Management targets operating profitability in 2027 and positive free cash flow plus at least $1.00 EPS in 2028; 2028 EPS target assumes $3.00/gal average jet fuel.

• JetForward targets $850M–$950M annual incremental EBIT in 2027 and ~$1.2B in 2028; 2026 incremental EBIT target is at least $310M.

• 2027–28 targets include low-to-mid-single-digit annual ASM growth, mid-single-digit RASM growth and low-single-digit CASM ex-fuel growth; annual capital spending is expected below $1B through decade-end.