JetBlue reported net income for the fourth quarter of 2022 of US$24 million, or US $0.07 per share, after recording its highest-ever quarterly operating revenue of US $2.4bn.
The record revenue came after capacity increased by 2.4% compared to the fourth quarter of 2019 and revenue per available seat mile (RASM) increased 16.1% using the same time comparison. The airline had earlier in the year reported a return to profitability as US traffic reverted to pre-Covid levels.
However, the carrier's operating expenses per available seat mile (CASM) increased 28.4% compared to the fourth quarter of 2019 as fuel hit US $3.70 a gallon.
JetBlue finished the year with US $1.6bn in unrestricted cash, cash equivalents, short-term investments, and long-term marketable securities at quarter-end, excluding a US$600 million undrawn revolving credit facility, and paid US$114 million in debt and finance lease obligations during Q4 2022.
The carrier listed quarterly highlights such as the addition of flights in New York and Boston, including to Paris, and the increase to five daily flights between the north-east of the US and London. The carrier added a new loyalty offering in December 2022, while it was gearing up for the opening of new terminals at airports in Florida and New York where it was a key investor or stakeholder.
“As we kick off 2023, we’re pleased to see the demand environment remain solid into the seasonally trough period of the year,” said Joanna Geraghty, JetBlue’s president and chief operating officer. We also continue to make progress on our multi-year path to grow our loyalty revenue stream as a percentage of our total revenue base and close the gap to best in class loyalty performance," Geraghty added.
“We’re confident that we’re on a path to materially improve our financial performance throughout the remainder of 2023 and deliver a full-year adjusted profit with margins approaching pre-pandemic levels. As we progress through the year, we expect to generate strong margins with the combination of solid revenue momentum and continued progress on our structural cost program,” said chief financial officer Ursula Hurley.