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JETBLUE AIRWAYS CORPORATION

(JBLU)
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Delayed Nasdaq  -  03:47 2022-09-28 pm EDT
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JETBLUE AIRWAYS CORP MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS (form 10-Q)

08/05/2022 | 04:38pm EDT

OVERVIEW

Second Quarter 2022 Results

Our operating results in the second quarter of 2021 and 2020 were adversely impacted by the COVID-19 pandemic. As a result, comparisons of our year-over-year performance are inflated and would not necessarily be indicative of our future operating results. In certain cases, we have also provided comparisons of our second quarter 2022 results to our second quarter 2019 results (or year-over-three), which are better reflective of pre-pandemic operations, allowing for a better understanding of the full impact of the COVID-19 pandemic and the progress of our recovery.

•Second quarter system capacity increased by 20.2% year-over-year and increased by 2.3% versus the second quarter of 2019.


•Revenue for the second quarter of 2022 increased by 63.1%, or $946 million
year-over-year, to $2.4 billion. Compared to the second quarter of 2019, revenue
increased by 16.1%, or $340 million.

•Operating revenue per available seat mile ("RASM") for the second quarter of 2022 increased by 35.7% year-over-year to 14.90 cents. This compares to an increase of 13.5% year-over-three.


•Operating expense for the second quarter of 2022 increased by 89.2% to $2.6
billion. Compared to the second quarter of 2019, operating expense increased by
37.8%, or $702 million.

•Operating expense per available seat mile ("CASM") for the second quarter of
2022 increased by 57.4% to 15.59 cents. This compares to an increase of 34.7%
from the second quarter of 2019.

•Our operating expense for the second quarter of 2022, 2021, and 2019 included
the effects of special items. Excluding fuel and related taxes, special items,
as well as operating expenses related to our non-airline businesses, our
operating expense(1) increased by 16.0% to $1.6 billion year-over-year. This
compares to an increase of 17.1% compared to the second quarter of 2019. Refer
to our ''Regulation G Reconciliation of Non-GAAP Financial Measures" at the end
of this section for details of the special items.

•Excluding fuel and related taxes, special items, as well as operating expenses
related to our non-airline businesses, our cost per available seat mile ("CASM
ex-fuel")(1) decreased by (3.5)% to 9.69 cents in the second quarter of 2022
compared to the second quarter of 2021.

•Our reported (loss) diluted earnings per share for the second quarter of 2022,
2021, and 2019 were $(0.58), $0.20, and $0.59, respectively. Excluding special
items, mark-to-market and certain gains and losses on our investments, our
adjusted (loss) earnings per share(1) for the second quarter of 2022 was
$(0.47). Excluding special items, our adjusted (loss) diluted earnings per
share(1) for the second quarter of 2021 and 2019 were $(0.65) and $0.60,
respectively.

Network

We added two new destinations to our network in the second quarter of 2022:

Destination                       Service Commenced
Vancouver, Canada                    June 9, 2022
Asheville, North Carolina           June 16, 2022


Following the success of our inaugural transatlantic service between New York's
John F. Kennedy International Airport and London, which began in August 2021, we
began service to London from Boston Logan International Airport ("Boston") on
August 4, 2022.

In June 2022, we received permanent slots at London Heathrow Airport for flights
starting October 29, 2022, which will help secure our long-term future at the
iconic global hub. Permanent slots allow us to retain our presence and
visibility at the busiest airport in the United Kingdom as we continue to grow
our base of transatlantic travelers.

Customer Experience

In June 2022, we announced new enhancements and inventory to Paisly by JetBlue ("Paisly"), a travel website that leverages smart technology to provide individually tailored offers to our customers based on their itinerary. We believe that

(1) Refer to our ''Regulation G Reconciliation of Non-GAAP Financial Measures" at the end of this section for more information on this non-GAAP measure.

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PART I. FINANCIAL INFORMATION
ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS
OF OPERATIONS

through Paisley we will add breadth to our product offerings, learn more about
our customers' preferences, and contribute to future earnings growth. New and
improved features on Paisly include:

•24/7 Customer Support: Paisly has introduced around-the-clock support, which
will allow Paisly customers to experience even faster response times (less than
five minutes) and get answers to their travel questions.

•Proactive Support: Paisly's helpful humans will now call Paisly customers in
the event their flight changes or cancels to check in with them on how they
would like to modify their stay, car, or activity reservation to better match
their updated flights.

•New Activities: Paisly has added new inventory and is offering thousands of
activities to add to customers' trips (including wine tours, watersports,
skydiving, and art classes). In addition, customers can earn TrueBlue® points on
purchases of activities.

•Increased Inventory of Stays: Paisly now offers exclusive deals on over 4,000
hotel properties and vacation rentals, giving customers more options to choose
from when booking their next stay, and even more opportunities to earn Mosaic
qualifying points on hotels and activities.

•Refreshed Look and Feel: Paisly's new website has a brand-new look and feel to make it even easier for customers to browse and book exclusive trip deals.

Environmental, Social, and Governance ("ESG")

We remain focused on continuing to lead in ESG initiatives. Our efforts include:

•We announced our commitment to work with the Science Based Targets initiative to set an interim emissions intensity target for our airline operations, in support of our broader commitment to net zero by 2040.


•In April 2022, we announced the execution of an offtake agreement with Aemetis
for 125 million gallons of blended sustainable aviation fuel ("SAF") expected to
be delivered to JetBlue over 10 years beginning in 2025.

•In April 2022, JetBlue Technology Ventures ("JTV"), our wholly owned
subsidiary, announced its investment as a limited partner in TPG Rise Climate,
the climate investing strategy of TPG's global impact investing platform TPG
Rise, further continuing its commitment to creating a more sustainable travel
industry.

•In June 2022, JetBlue began the office "Safe Spaces" certification process with
The Stonewall Inn Gives Back Initiative ("SIGBI"). SIGBI leverages the historic
significance of the New York City LGBTQ+ landmark to help other communities that
don't have the same LGBTQ+ resources or support. As an original SIGBI donor, we
are proud to be named the launch airline partner for the organization's Safe
Spaces certification program, which identifies travel companies, entertainment
venues, food and beverage locations, stores, businesses and other public venues
to serve as a Safe Space for members of the LGBTQ+ community.

Outlook for 2022


We are pleased with the momentum we have seen in demand and revenue trends which
accelerated throughout the second quarter. We expect unit revenue for the third
quarter of 2022 to increase between 19% to 23% compared to the same period in
2019. For the third quarter of 2022, we expect capacity to decrease in a range
between 0% to 3% compared to the same period in 2019. We believe the sequential
step-down in capacity in the third quarter is consistent with the revised
capacity plan we announced in April and will set us up for success in the third
quarter. Full year 2022 capacity is expected to increase between 0% to 3%
compared to 2019. Our original expectation for full year 2022 capacity was an
increase of between 11% to 15% versus 2019.

Operating expenses per available seat mile, excluding fuel and related taxes,
other non-airline operating expenses, and special items ("CASM Ex-Fuel")(1) for
the third quarter of 2022 is expected to increase between 15% to 17%. This
increase is primarily attributed to the following factors: sequential step-down
in capacity, timing of maintenance events, and continued operational
investments. We expect full year 2022 CASM Ex-Fuel to increase between 11% to
14% compared to 2019 and to return to profitability in the second half of 2022.
(1) Refer to our ''Regulation G Reconciliation of Non-GAAP Financial Measures"
at the end of this section for more information on this non-GAAP measure.
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  Table of Contents
PART I. FINANCIAL INFORMATION
ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS
OF OPERATIONS

RESULTS OF OPERATIONS

Three Months Ended June 30, 2022 vs. 2021

Overview


We reported a net loss of $(188) million, operating loss of $(113) million and
an operating margin of (4.6)% for the three months ended June 30, 2022. This
compares to a net income of $64 million, an operating income of $147 million and
an operating margin of 9.8% for the three months ended June 30, 2021. Loss per
share was $(0.58) for the second quarter of 2022 compared to $0.20 of earnings
per diluted share for the same period in 2021.

Our reported results for the three months ended June 30, 2022 included the
effects of special items and certain gains and losses on our investments.
Adjusting for these items(1), our adjusted net loss(1) was $(153) million,
adjusted operating loss(1) was $(69) million, adjusted operating margin(1) was
(2.8)%, and adjusted loss per share(1) was $(0.47) million for the three months
ended June 30, 2022.

Our reported results for the three months ended June 30, 2021 included the
effects of special items. Adjusting for these special items(1), our adjusted net
loss(1) was $206 million, adjusted operating loss(1) was $219 million, adjusted
operating margin(1) was (14.6)%, and adjusted loss per share was $(0.65) million
for the three months ended June 30, 2021.

On-time performance, as defined by the Department of Transportation, or DOT, is
arrival within 14 minutes of scheduled arrival time. In the second quarter of
2022, our systemwide on-time performance was 63.2% compared to 73.8% for the
same
period in 2021. Our completion factor decreased by (3.6)% points to 95.6% in the
second quarter of 2022 from 99.2% in the same period in 2021.

Operating Revenues
(Revenues in millions; percent           Three Months Ended June 30,                           Year-over-Year Change
changes based on unrounded numbers)        2022                  2021                     $                            %
Passenger revenue                    $       2,302           $   1,388          $               914                 65.8  %
Other revenue                                  143                 111                           32                 29.6
Total operating revenues             $       2,445           $   1,499          $               946                 63.1  %

Average Fare                         $      221.38           $  174.90          $             46.48                 26.6  %
Yield per passenger mile (cents)             16.48               12.82                         3.66                 28.5
Passenger revenue per ASM (cents)            14.03               10.18                         3.85                 37.9
Operating revenue per ASM (cents)            14.90               10.99                         3.91                 35.7
Average stage length (miles)                 1,233               1,279                          (46)                (3.6)
Revenue passengers (thousands)              10,396               7,938                        2,458                 31.0
Revenue passenger miles (millions)          13,967              10,804                        3,163                 29.3
Available Seat Miles (ASMs)
(millions)                                  16,405              13,645                        2,760                 20.2
Load Factor                                   85.1   %            79.2  %                                            5.9    pts.


Passenger revenue is our primary source of revenue, which includes seat revenue
and baggage fees, as well as revenue from our ancillary product offerings such
as Even More® Space. The increase in passenger revenue of $914 million, or
65.8%, for the three months ended June 30, 2022 compared to the same period in
2021, was primarily driven by the return in demand for travel as we continue to
recover from the COVID-19 pandemic. Revenue passengers increased to 10.4 million
for the three months ended June 30, 2022 from 7.9 million for the same period in
2021.

(1) Refer to our ''Regulation G Reconciliation of Non-GAAP Financial Measures" at the end of this section for more information on this non-GAAP measure.

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PART I. FINANCIAL INFORMATION
ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS
OF OPERATIONS

Operating Expenses

In detail, our operating costs per available seat mile, or ASM, were as follows:


(in millions; per ASM data   Three Months Ended June 30,                  Year-over-Year Change                                    Cents per ASM
in cents; percent changes
based on unrounded numbers)     2022              2021                    $                       %                 2022               2021              % Change
Aircraft fuel and related
taxes                        $    910          $   336          $               574              170.7  %             5.55              2.46                125.2  %
Salaries, wages and benefits      695              577                          118               20.4                4.23              4.23           

0.2

Landing fees and other rents      149              174                          (25)             (14.4)               0.91              1.27                (28.8)
Depreciation and
amortization                      145              133                           12                8.4                0.88              0.98                 (9.8)
Aircraft rent                      27               26                            1                5.0                0.17              0.19                (12.7)
Sales and marketing                78               47                           31               65.1                0.48              0.35                 37.4
Maintenance, materials and        162              164                           (2)              (1.3)               0.98              1.20           

(17.9)

repairs

Other operating expenses          348              261                           87               33.6                2.12              1.91                 11.1
Special items                      44             (366)                         410             (112.1)               0.27             (2.68)              (110.0)

Total operating expenses $ 2,558 $ 1,352 $

   1,206               89.2  %            15.59              9.91            

57.4 %

Total operating expenses $ 2,514 $ 1,718 $

    796               46.3  %            15.32             12.59                 21.7  %
excluding special items(1)


Aircraft Fuel and Related Taxes


Aircraft fuel and related taxes increased by $574 million, for the three months
ended June 30, 2022 compared to the same period in 2021. The average fuel price
for the three months ended June 30, 2022 increased by 121.6% to $4.24 per
gallon. Our fuel consumption for this period increased by 22.2%, or 39 million
gallons, due to the increase in capacity as demand for travel returned.

Salaries, Wages and Benefits


Salaries, wages and benefits increased $118 million, or 20.4%, for the three
months ended June 30, 2022 compared to the same period in 2021. The increase was
driven primarily by higher total hours worked by our crewmembers as we align our
workforce with the increased demand for travel and the need for premium and
incentive pay to support our operation. As of June 30, 2022, we have
approximately 24,000 crewmembers compared to approximately 20,000 crewmembers at
June 30, 2021. The average number of full-time equivalent crewmembers increased
by 28.9% compared to the same period in 2021.

Landing Fees and Other Rents
Landing fees and other rents decreased $25 million, or (14.4)%, for the three
months ended June 30, 2022 compared to the same period in 2021 primarily due to
a decrease in rates offset by an increase in departures.

Depreciation and Amortization


Depreciation and amortization increased $12 million, or 8.4%, for the three
months ended June 30, 2022 compared to the same period in 2021 primarily driven
by the addition of 12 new aircraft that were placed into service since June 30,
2021. The average number of our operating aircraft increased by 5.3% during the
three months ended June 30, 2022 as compared to the same period in 2021.

Sales and Marketing


Sales and marketing increased $31 million, or 65.1%, for the three months ended
June 30, 2022 compared to the same period in 2021 principally driven by higher
credit card fees and computer reservation system charges, which are directly
related to the return in demand as we continue to recover from the COVID-19
pandemic. Revenue passengers increased by 2.5 million, or 31.0%, during the
three months ended June 30, 2022 as compared to the same period in 2021.

Maintenance Materials and Repairs
(1) Refer to our ''Regulation G Reconciliation of Non-GAAP Financial Measures"
at the end of this section for more information on this non-GAAP measure.
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PART I. FINANCIAL INFORMATION
ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS
OF OPERATIONS

Maintenance materials and repairs decreased $2 million, or (1.3)%, for the three
months ended June 30, 2022 compared to the same period in 2021, primarily driven
by the timing of engine maintenance, offset by an increase in heavy maintenance
and power by the hour based maintenance driven by the increase in aircraft
utilization.

Other Operating Expenses


Other operating expenses consist of the following categories: outside services
(including expenses related to fueling, ground handling, skycap, security, and
janitorial services), insurance, personnel expenses, professional fees, onboard
supplies, shop and office supplies, bad debts, communication costs, and taxes
other than payroll and fuel taxes.

Other operating expenses increased $87 million, or 33.6%, for the three months ended June 30, 2022 compared to the same period in 2021 as we ramped up the level of our operations in response to the return in demand for air travel.

Special Items

For the three months ended June 30, 2022, special items included:

•$32 million relating to an ALPA ratification bonus and associated payroll taxes;

•$7 million relating to our takeover bid for Spirit; and

•$5 million relating to an impairment on our E190 fleet;

Special items for the three months ended June 30, 2021 included the following:

•Contra-expense of $357 million which represents the amount of federal payroll support grants utilized during the period; and

•Contra-expense of $9 million related to the recognition of Employee Retention Credits provided by the CARES Act.

Six Months Ended June 30, 2022 vs. 2021

Overview


We reported a net loss of $443 million, an operating loss of $480 million and an
operating margin of (11.5)% for the six months ended June 30, 2022. This
compares to a net loss of $183 million, an operating loss of $147 million and an
operating margin of (6.6)% for the six months ended June 30, 2021. Loss per
share was $(1.38) for the six months ended June 30, 2022 compared to $(0.58) for
the same period in 2021.

Our reported results for the six months ended June 30, 2022 included the effects
of special items and certain gains and losses on investments. Adjusted for these
items, our adjusted net loss(1) was $408 million, adjusted operating loss(1) was
$436 million, adjusted operating margin(1) was (10.4)%, and adjusted loss per
share(1) was $(1.27) for the six months ended June 30, 2022.

Our reported results for the six months ended June 30, 2021 included the effects
of special items. Adjusting for these special items, our adjusted net loss(1)
was $665 million, adjusted operating loss(1) was $802 million, adjusted
operating margin(1) was (35.9)%, and adjusted loss per share(1) was $(2.10) for
the six months ended June 30, 2021.

(1) Refer to our ''Regulation G Reconciliation of Non-GAAP Financial Measures" at the end of this section for more information on this non-GAAP measure.

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PART I. FINANCIAL INFORMATION
ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS
OF OPERATIONS

Operating Revenues

(Revenues in millions; percent            Six Months Ended June 30,                           Year-over-Year Change
changes based on unrounded numbers)        2022                 2021                     $                            %
Passenger revenue                    $      3,904           $   2,058          $             1,846                 89.7  %
Other revenue                                 277                 174                          103                 59.2
Total operating revenues             $      4,181           $   2,232          $             1,949                 87.4  %

Average Fare                         $     210.20           $  165.93          $             44.27                 26.7  %
Yield per passenger mile (cents)            15.68               12.39                         3.29                 26.6
Passenger revenue per ASM (cents)           12.28                9.05                         3.23                 35.7
Operating revenue per ASM (cents)           13.15                9.82                         3.33                 34.0
Average stage length (miles)                1,232               1,278                          (46)                (3.6)
Revenue passengers (thousands)             18,573              12,401                        6,172                 49.8
Revenue passenger miles (millions)         24,893              16,611                        8,282                 49.9
Available Seat Miles (ASMs)
(millions)                                 31,788              22,734                        9,054                 39.8
Load Factor                                  78.3   %            73.1  %                                            5.2    pts.


Passenger revenue is our primary source of revenue, which includes seat revenue
and baggage fees, as well as revenue from our ancillary product offerings such
as Even More® Space. The increase in passenger revenue of $1.8 billion, or
89.7%, for the six months ended June 30, 2022 compared to the same period in
2021, was primarily driven by the return in demand for travel and a 26.7%
increase in fare, as we continue to recover from the COVID-19 pandemic. Revenue
passengers increased by 49.8% to 18.6 million for the six months ended June 30,
2022 from 12.4 million for the same period in 2021.

Operating Expenses

In detail, our operating costs per available seat mile, or ASM, were as follows:



(in millions; per ASM data       Six Months Ended June 30,                    Year-over-Year Change                                    Cents per ASM
in cents; percent changes
based on unrounded numbers)        2022                2021                    $                       %                2022               2021              % Change
Aircraft fuel and related
taxes                        $       1,481          $   530          $               951             179.6  %             4.66              2.33                100.0  %
Salaries, wages and benefits         1,383            1,098                          285              25.9                4.34              4.83        

(10.0)

Landing fees and other rents           281              289                           (8)             (2.8)               0.88              1.27                (30.5)
Depreciation and
amortization                           288              258                           30              11.6                0.91              1.13                (20.2)
Aircraft rent                           53               50                            3               4.6                0.17              0.22                (25.2)
Sales and marketing                    135               70                           65              93.4                0.42              0.31                 38.3
Maintenance, materials and             313              268                           45              17.0                0.99              1.18        

(16.3)

repairs

Other operating expenses               683              471                          212              45.0                2.15              2.07                  3.7
Special items                           44             (655)                         699             106.8                0.14             (2.88)               104.8

Total operating expenses $ 4,661 $ 2,379 $

        2,282              95.9  %            14.66             10.46        

40.1 %

Total operating expenses $ 4,617 $ 3,034 $

        1,583              52.2  %            14.52             13.34                  8.8  %
excluding special items(1)


Aircraft Fuel and Related Taxes


Aircraft fuel and related taxes increased by $951 million, or 179.6%, for the
six months ended June 30, 2022 compared to the same period in 2021. The average
fuel price for the six months ended June 30, 2022 increased by 95.7% to $3.60
per gallon. Our fuel consumption increased by 42.8%, or 123 million gallons, due
to the increase in capacity as demand for travel returned. Scheduled departures
increased to 161,848 flights, or 45.4%, for the six months ended June 30, 2022.

(1) Refer to our ''Regulation G Reconciliation of Non-GAAP Financial Measures" at the end of this section for more information on this non-GAAP measure.

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PART I. FINANCIAL INFORMATION
ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS
OF OPERATIONS

Salaries, Wages and Benefits

Salaries, wages and benefits increased by $285 million, or 25.9%, for the six
months ended June 30, 2022 compared to the same period in 2021. The increase was
driven primarily by higher total hours worked by our crewmembers as we align our
workforce with the increased demand for travel and the need for premium and
incentive pay to support our operation. As of June 30, 2022, we have
approximately 24,000 crewmembers compared to approximately 20,000 crewmembers at
June 30, 2021.

Landing Fees and Other Rents

Landing fees and other rents decreased by $8 million, or 2.8%, for the six months ended June 30, 2022 compared to the same period in 2021 primarily due to a decrease in rates offset by an increase in departures.

Depreciation and Amortization


Depreciation and amortization increased by $30 million, or 11.6%, for the six
months ended June 30, 2022 compared to the same period in 2021. This increase
was primarily attributed to the addition of 12 new aircraft that were placed
into service since June 30, 2021. The average number of aircraft increased by
5.4% during the six months ended June 30, 2022 as compared to the same period in
2021.

Aircraft Rent

Aircraft rent increased $3 million, or 4.6%, for the six months ended June 30, 2022 compared to the same period in 2021.

Sales and Marketing


Sales and marketing increased $65 million, or 93.4%, for the six months ended
June 30, 2022 compared to the same period in 2021 driven by higher credit card
fees and computer reservation system charges, which are directly related to
demand increases as we continue to recover from the COVID-19 pandemic. Revenue
passengers for the six months ended June 30, 2022 increased by 6.2 million, or
49.8%, year-over-year.

Maintenance Materials and Repairs


Maintenance materials and repairs increased $45 million, or 17.0%, for the six
months ended June 30, 2022 compared to the same period in 2021, primarily driven
by a large increase in power by the hour based maintenance associated with an
increase in aircraft utilization.

Other Operating Expenses


Other operating expenses consist of the following categories: outside services
(including expenses related to fueling, ground handling, skycap, security, and
janitorial services), insurance, personnel expenses, professional fees, onboard
supplies, shop and office supplies, bad debts, communication costs, and taxes
other than payroll and fuel taxes.

Other operating expenses increased $212 million, or 45.0%, for the six months ended June 30, 2022 compared to the same period in 2021 as we ramped up the level of our operations in response to the return in demand for air travel.

Special Items

Special items for the six months ended June 30, 2022 included the following:

•$32 million relating to an ALPA ratification bonus and associated payroll taxes;

•$7 million relating to our takeover bid for Spirit; and

•$5 million relating to an impairment on our E190 fleet;

For the six months ended June 30, 2021, special items included:

•Contra-expense of $644 million, which represents the amount of federal payroll support grants utilized during the period; and

•Contra-expense of $11 million related to the recognition of Employee Retention Credits provided by the CARES Act.

Operational Statistics

(1) Refer to our ''Regulation G Reconciliation of Non-GAAP Financial Measures" at the end of this section for more information on this non-GAAP measure.

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PART I. FINANCIAL INFORMATION
ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS
OF OPERATIONS

The following table sets forth our operating statistics for the three and six months ended June 30, 2022 and 2021:

                                   Three Months Ended June 30,               Year-over-Year Change         Six Months Ended June 30,                Year-over-Year Change
(percent changes based on
unrounded numbers)                   2022                 2021                         %                     2022                2021                         %
Operational Statistics
Revenue passengers (thousands)        10,396              7,938              31.0                            18,573             12,401              

49.8

Revenue passenger miles (RPMs)
(millions)                            13,967             10,804              29.3                            24,893             16,611              

49.9

Available seat miles (ASMs)
(millions)                            16,405             13,645              20.2                            31,788             22,734              39.8
Load factor                             85.1   %           79.2  %            5.9       pts                    78.3   %           73.1  %            5.2       pts
Aircraft utilization (hours
per day)                                10.4                8.8              18.2                              10.2                7.4              37.8

Average fare                   $      221.38           $ 174.90              26.6                      $     210.20           $ 165.93              26.7
Yield per passenger mile
(cents)                                16.48              12.82              28.5                             15.68              12.39              

26.6

Passenger revenue per ASM
(cents)                                14.03              10.18              37.9                             12.28               9.05              

35.7

Operating revenue per ASM
(cents)                                14.90              10.99              35.7                             13.15               9.82              

34.0

Operating expense per ASM
(cents)                                15.59               9.91              57.4                             14.66              10.46              

40.1

Operating expense per ASM,              9.69              10.05                                                9.77              10.92             (10.5)
excluding fuel(1)                                                            (3.5)

Departures                            83,455             67,253              24.1                           161,848            111,302              45.4
Average stage length (miles)           1,233              1,279              (3.6)                            1,232              1,278              

(3.6)

Average number of operating            283.2              269.0               5.3                             282.6              268.0               

5.4

aircraft during period
Average fuel cost per gallon,  $        4.24           $   1.91             121.6                      $       3.60           $   1.84              95.7
including fuel taxes
Fuel gallons consumed
(millions)                               215                176              22.2                               411                288              42.8
Average number of full-time                                                                                  19,868             15,416

equivalent crewmembers



We expect our operating results to significantly fluctuate from
quarter-to-quarter in the future due to the uncertainties related to economic
conditions, cost of aircraft fuel, recovery from the COVID-19 pandemic, and
various other factors which are outside of our control. Consequently, we believe
quarter-to-quarter comparisons of our operating results may not necessarily be
meaningful; you should not rely on our results for any one quarter as an
indication of our future performance.

© Edgar Online, source Glimpses

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