Key facts
- JetBlue Airways expects to pay $3.96 per gallon for fuel in Q3, up from $3.49.
- The conflict involving Iran has pushed up global fuel prices.
- JetBlue flagged weather and air traffic control disruptions in July and August.
- The carrier expects revenue per available seat mile to increase 17%-20% in Q3, up from 12.5%-16.5%.
JetBlue Airways raised its third-quarter fuel price forecast to $3.96 per gallon, an increase from its previous estimate of $3.49, citing the conflict involving Iran as a driver of higher prices. Despite strong travel demand, the airline also revised its third-quarter capacity growth forecast downwards due to increased fuel costs and operational disruptions, including weather and air traffic control issues in July and August.
The carrier now expects its revenue per available seat mile (RASM) to increase between 17% and 20% in the third quarter, an upward revision from its prior forecast of 12.5% to 16.5%. This improved revenue outlook is supported by strong booking trends and higher ticket prices.