JetBlue Airways became the latest airline to beat Wall Street estimates when it announced its third-quarter earnings this morning.
The New York-based airline reported a net income of $130 million in Q3 on 40 cents a share, up dramatically from a loss of $393 million and a loss of $1.44 a share in the third quarter of 2020 following industry-wide plummet because of the pandemic.
"I am very pleased with our exceptionally strong revenue performance in the third quarter. September took the brunt of the bookings softness associated with rising case counts tied to the Delta variant. That said, trends have stabilized and are improving. We expect robust revenue acceleration throughout the quarter as the holidays approach and demand continues to meaningfully improve," Joanna Geraghty, JetBlue's President and Chief Operating Officer, said in a statement.
Third quarter revenue of $1.97 billion beat analysts estimates of $1.93 billion.
JetBlue's stock, which started 2020 with a price of over $23 a share, dropped to $7.15 at one point last year. This morning, it jumped another percent and was trading at $15.02 on the third-quarter news as well as its optimism going forward.
"As we work through our annual planning process, our teams are setting solid goals for our network, commercial and cost initiatives, and capital allocation priorities. I could not be more proud of our team's efforts, and I'm confident that we are setting JetBlue on a trajectory to restore our earnings power to beyond 2019 levels over the coming years, generating long-term value for all of our stakeholders," said Robin Hayes, JetBlue's Chief Executive Officer. "We believe that demand is once again poised to re-accelerate into the peak holiday periods and beyond as people continue to adjust to a new normal. We are marching towards a full recovery and a return to sustained profitability, with margin as our 'north star'. I am a firm believer that our unique business model - low costs, low fares, and a superior product - positions JetBlue to thrive in the years ahead."
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