Jetblue Airways Corporation · NASDAQ:JBLU
Jetblue Airways — Q3 2024 Earnings Presentation
24 slides from Jetblue Airways's earnings presentation, Oct 29, 2024
Slide 1: 3Q24 Earnings Presentation
3Q24 Earnings Presentation October 29, 2024 1
Slide 2: Safe Harbor
Safe Harbor This Presentation contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, as amended. We intend such forward-looking statements to be covered by the safe harbor provisions for forward-looking statements contained in Section 27A of t
Slide 3: 3Q24 Earnings: Joanna Geraghty, Chief Executive Officer
3Q24 Earnings Joanna Geraghty Chief Executive Officer 33 3
Slide 4: Strong 3Q24 Performance Led by Improved Operational Reliability
3Q24 Met or exceeded all 3Q guidance metrics Better operational reliability drove a 12 pt. improvement to on-time performance (1) Strong 3Q24 and double digit improvement in Net Promoter Score (NPS) year-over-year (YoY) Performance Led 3Q24 adjusted operating margin (2) of (0.4%), five points better
Slide 5: JetForward: Our Path to Sustained Profitability
JetForward: Our Path to Sustained Profitability Recent Highlights: Targeting $800-900M (1) in incremental EBIT (2) from 2025 – 2027 Announced Effective To Be Announced Even More Substantially Space (EMS) improved A14, Announced merchandising NPS, and ~$175M $800 - $900M & onboard completion ~$40
Slide 6: Commercial Update and Outlook
Commercial Update and Outlook Marty St. George President 66
Slide 7: On Track to Deliver Positive RASM Throughout 2H, Improved Full Year Revenue Guidance
On Track to Deliver Positive RASM (1) Throughout 2H, Improved Full Year Revenue Guidance Midpoint by a Half Point Implied 4Q RASM at Midpoint 3Q RASM of Revenue & Capacity Guidance (2) 4.3% ~(1%) ~3% ~1% ~3% ~1% ~0.5% 3Q24 Actual CrowdStrike 3Q24 YoY RASM 4Q24 Implied Milton Election 4Q24 YoY RASM Y
Slide 8: Financial Update and Outlook
Financial Update and Outlook Ursula Hurley Chief Financial Officer 88
Slide 9: On Track to Hit Full-Year CASM Ex-Fuel Commitments
On Track to Hit Full-Year CASM Ex-Fuel Commitments CASM ex-Fuel(1), (2) YoY Growth Strong 3Q Unit Costs Driven by Operational Execution and Timing 13.0% to • Operational reliability resulted in ~one point of cost efficiencies versus initial July guidance, while 15.0% timing shift represented an addi
Slide 10: Taking Steps Toward a Secure Financial Future and Restoring Balance Sheet Health
Number One Financial Priority is Achieving Operating Profitability Proactively Managing Our Balance Sheet With Strategic ~$3.2B Financing • 3Q ending liquidity of ~$4.1B, excluding undrawn $600M revolving credit facility • Executed ~$3.2B worth of financing transactions consisting of ~$2.8B of loyal
Slide 11: JetForward
JetForward simply stated is our strategy to: for crewmembers, customers, and owners Our priority moves help get us there a~ > (6 > So 4) 7) <2) ey, \ Reliable and Best East Coast Products and perks Asecure caring service leisure network customers value financial future
Slide 12: Outlook Summary
Outlook Summary Guidance Estimated 4Q 2024 Estimated FY 2024 Available Seat Miles ("ASMs") Year-over-Year (7.0%) – (4.0%) (4.5%) – (2.5%) Improved midpoint & narrowed range Revenue Year-over-Year (7.0%) – (3.0%) (5.0%) – (4.0%) Improved midpoint & narrowed range CASM ex-Fuel(1) Year-over-Year 13.0%
Slide 13: Appendix
Appendix jetBlue
Slide 14: Appendix A: Non-GAAP Financial Measures
Appendix A Non-GAAP Financial Measures We report our financial results in accordance with GAAP; however, we present certain non-GAAP financial measures in this Presentation. Non-GAAP financial measures are financial measures that are derived from the condensed consolidated financial statements, but
Slide 15: CASM Ex-Fuel definition and reconciliation
Operating expense per available seat mile, excluding fuel, other non-airline operating expenses, and special items (“CASM Ex- Fuel”) Operating Expense per Available Seat Mile (“CASM”) is a common metric used in the airline industry. Our CASM for the relevant periods are summarized in the table below
Slide 16: Reconciliation of operating expense, operating loss, and adjusted margins
Non-GAAP Financial Measure RECONCILIATION OF OPERATING EXPENSE, OPERATING LOSS, ADJUSTED OPERATING MARGIN, PRE-TAX LOSS, ADJUSTED PRE- Operating expense, operating loss, TAX MARGIN, NET LOSS, LOSS PER SHARE, EXCLUDING SPECIAL ITEMS, GAIN (LOSS) ON INVESTMENTS AND GAIN ON DEBT EXTINGUISHMENTS adjuste
Slide 17: Reconciliation continued: loss per share calculation
Operating expense, operating loss, Non-GAAP Financial Measure adjusted operating margin, pre-tax RECONCILIATION OF OPERATING EXPENSE, OPERATING LOSS, ADJUSTED OPERATING MARGIN, PRE-TAX LOSS, ADJUSTED PRE-TAX loss, adjusted pre-tax margin, net loss MARGIN, NET LOSS, LOSS PER SHARE, EXCLUDING SPECIAL
Slide 18: Appendix B: Order Book
Appendix B: Order Book JetBlue’s contractual aircraft deliveries for full year as of September 30, 2024: Contractual Deliveries A220 A321neo Total (1) 2024 (2) 20 7 27 2025 20 4 24 2026 20 - 20 2027 5 - 5 2028 7 - 7 JetBlue’s contractual aircraft return schedule as of September 30, 2024: Contractual
Slide 19: Network Detail – Focused on Optimizing Network for Profitability
Network Detail – Focused on Optimizing Network for Profitability 2024 Route Exits Los Angeles & Northeast to LGA & EWR Fort Lauderdale Intra-California Midcontinent Optimization Note: Illustrative. 19
Slide 20: Network Detail – Building the Best East Coast Leisure Network
Network Detail – Building the Best East Coast Leisure Network 2024 Route Entries and Additional Frequencies New Route Entrances Additional Frequencies Seasonalizing Mint Fleet EDI DUB LGW AMS CDG Redeploying TATL aircraft in Winter (1) (1) Seasonal transatlantic routes and frequency reductions inclu
Slide 21: Network Detail – Executed BlueCity Closures
Network Detail – Executed BlueCity Closures BlueCity Closures BlueCity Exit Date (1) Burlington (BTV) January 4, 2024 Baltimore-Washington (BWI) April 30, 2024 Kansas City (MCI) June 12, 2024 Bogota (BOG) June 12, 2024 Lima (LIM) June 12, 2024 Quito (UIO) June 12, 2024 Puerto Vallarta (PVR) June 12,
Slide 22: Network Detail – Planned Route Exits
Network Detail – Planned Route Exits Route Exits Route Exits Cont. Route Exit Date (1) Route Exit Date (1) Los Angeles / Cancun – (LAX / CUN) 3-Jan-24 Los Angeles / Puerto Vallarta – (LAX / PVR) 12-Jun-24 Newark / Miami – (EWR / MIA) 3-Jan-24 New York JFK / Detroit – (JFK / DTW) 12-Jun-24 New York L
Slide 23: Priority Moves Anchor Our Path to Sustained Profitability
Priority Moves Anchor Our Path to Sustained Profitability Four Announced Implemented Illustrative upcoming announcements 2027 Priority Targets Moves Multi-year investment in improving on- time performance ~$100M Reliability Rightsized LGA & redeployed to Refocused LAX footprint & Puerto Rico growth
Slide 24: jetBlue
jetBlue