Form type: 10-Q
Period end: 2026-06-30
| Three Months Ended June 30, 2026 | Three Months Ended June 30, 2025 | Six Months Ended June 30, 2026 | Six Months Ended June 30, 2025 | |
|---|---|---|---|---|
| Revenue | 2,697,000,000.00 | 2,356,000,000.00 | ||
| Total Revenue | ||||
| Total COGS | ||||
| Gross Profit | ||||
| Aircraft fuel | 911,000,000.00 | 504,000,000.00 | ||
| Aircraft rent | 15,000,000.00 | 20,000,000.00 | ||
| Depreciation and amortization | 183,000,000.00 | 171,000,000.00 | ||
| Income tax expense (benefit) | -24,000,000.00 | -20,000,000.00 | ||
| Landing fees and other rents | 183,000,000.00 | 171,000,000.00 | ||
| Maintenance, materials and repairs | 204,000,000.00 | 198,000,000.00 | ||
| Other income (expense), net | 130,000,000.00 | 100,000,000.00 | ||
| Other operating costs | 0.00 | 24,000,000.00 | ||
| Other operating expenses | 379,000,000.00 | 334,000,000.00 | ||
| Salaries, wages and benefits | 875,000,000.00 | 852,000,000.00 | ||
| Selling and marketing | 88,000,000.00 | 76,000,000.00 | ||
| Total Expenses | ||||
| Net Income | - | - | - | - |
| Basic earnings per share | - | - |
| June 30, 2026 | December 31, 2025 | |
|---|---|---|
| Assets | ||
| Accounts receivable | 434,000,000.00 | 372,000,000.00 |
| Cash and cash equivalents | 1,656,000,000.00 | 1,946,000,000.00 |
| Intangible assets, net | 333,000,000.00 | 415,000,000.00 |
| Inventory | 304,000,000.00 | 193,000,000.00 |
| Long-term investments | 0.00 | 211,000,000.00 |
| Operating lease right-of-use assets | 850,000,000.00 | 868,000,000.00 |
| Other assets (derived) | 148,000,000.00 | 107,000,000.00 |
| Other noncurrent assets | 380,000,000.00 | 291,000,000.00 |
| Prepaid expenses and other current assets | 387,000,000.00 | 414,000,000.00 |
| Property, plant and equipment | 11,252,000,000.00 | 11,191,000,000.00 |
| Restricted cash and equivalents | 263,000,000.00 | 349,000,000.00 |
| Short-term investments | 364,000,000.00 | 213,000,000.00 |
| Total Assets | ||
| Liabilities | ||
| Accounts payable | 674,000,000.00 | 655,000,000.00 |
| Accrued compensation | 661,000,000.00 | 680,000,000.00 |
| Asset retirement obligations | 0.00 | 3,000,000.00 |
| Debt | 8,478,000,000.00 | 0.00 |
| Debt, including current maturities | 0.00 | 8,111,000,000.00 |
| Deferred revenue | 2,000,000,000.00 | 1,669,000,000.00 |
| Deferred revenue, noncurrent | 737,000,000.00 | 704,000,000.00 |
| Deferred tax liabilities | 399,000,000.00 | 447,000,000.00 |
| Finance lease liabilities, current | 0.00 | 79,000,000.00 |
| Finance lease liabilities, noncurrent | 0.00 | 370,000,000.00 |
| Operating lease liabilities, current | 97,000,000.00 | 0.00 |
| Operating lease liabilities, noncurrent | 811,000,000.00 | 839,000,000.00 |
| Other accrued liabilities | 625,000,000.00 | 550,000,000.00 |
| Other liabilities (derived) | 0.00 | 14,000,000.00 |
| Other noncurrent liabilities | 302,000,000.00 | 329,000,000.00 |
| Total Liabilities | ||
| Equity | ||
| Stockholders equity | 1,587,000,000.00 | 2,120,000,000.00 |
| Total Equity | ||
| Six Months Ended June 30, 2026 | Six Months Ended June 30, 2025 | |
|---|---|---|
| Operating activities | ||
| Net income | -566,000,000.00 | -282,000,000.00 |
| Depreciation and amortization | 362,000,000.00 | 339,000,000.00 |
| Stock-based compensation | 20,000,000.00 | 22,000,000.00 |
| Changes in operating assets and liabilities, net | 149,000,000.00 | -80,000,000.00 |
| Net cash from operating activities | - | - |
| Investing activities | ||
| Investing activities, net | -277,000,000.00 | 429,000,000.00 |
| Net cash from investing activities | - | |
| Financing activities | ||
| Financing activities, net | -64,000,000.00 | -206,000,000.00 |
| Net cash from financing activities | - | - |
| Net change in cash | - | |
| Cash at beginning of period | 2,148,000,000.00 | |
| Cash at end of period | 2,370,000,000.00 | |
| Six Months Ended June 30, 2026 | Six Months Ended June 30, 2025 | |
|---|---|---|
| Balance at beginning of period | 2,120,000,000.00 | 2,641,000,000.00 |
| Net income | -566,000,000.00 | -282,000,000.00 |
| Other equity movements | 33,000,000.00 | 49,000,000.00 |
| Balance at end of period | 1,587,000,000.00 | 2,408,000,000.00 |
JetBlue Airways Corp is a public reporting company operating in scheduled air transportation. The accompanying unaudited condensed financial statements have been prepared from the Company's books and records and include all adjustments, consisting of normal recurring accruals, that management considers necessary for a fair presentation of the interim periods presented; results of operations for the interim period are not necessarily indicative of the results that may be expected for the full fiscal year. Certain information and footnote disclosures normally included in annual financial statements have been condensed or omitted pursuant to the rules and regulations applicable to interim reporting.
Revenue for the three months ended June 30, 2026 was $2,697 million, compared to $2,356 million in the prior-year period, an increase of 14.5%, reflecting growth in passenger demand and traffic. Revenue for the six months ended June 30, 2026 was $4,937 million, compared to $4,496 million in the prior-year period. Deferred revenue of $2,000 million and noncurrent deferred revenue of $737 million were recorded at June 30, 2026, compared to $1,682 million and $657 million, respectively, at the prior period end, primarily reflecting growth in advance ticket sales and loyalty program obligations. The Company reported a net loss of $247 million for the three months ended June 30, 2026, and basic loss per share was $0.66, computed using weighted-average basic shares outstanding of 375,900,000. This compares to a net loss of $74 million for the three months ended June 30, 2025. Potentially dilutive securities are excluded from the computation of diluted loss per share in periods of net loss because their inclusion would be antidilutive.
Debt outstanding at June 30, 2026 was $8,478 million, compared to $8,451 million at the prior period end, an increase of 0.3%. Total liabilities were $14,784 million at June 30, 2026. The Company's operating leases resulted in right-of-use assets of $850 million at June 30, 2026, compared to $916 million at the prior period end, with current operating lease liabilities of $97 million and noncurrent operating lease liabilities of $811 million, compared to $84 million and $880 million, respectively, at the prior period end. Aircraft rent expense was $15 million for the three months ended June 30, 2026, compared to $20 million in the prior-year period, a decrease of 25.0%.
Stockholders' equity was $1,587 million at June 30, 2026, compared to $2,408 million at the prior period end, a decrease of 34.1%, driven primarily by the net loss incurred during the period. The Company is involved in legal proceedings arising in the ordinary course of business from time to time, and management does not currently believe any pending matter is material to the financial statements.
| Current | Prior | |
|---|---|---|
| Debt | 8,478,000,000.00 | 0.00 |
| Debt, including current maturities | 0.00 | 8,111,000,000.00 |
| Finance lease liabilities, current | 0.00 | 79,000,000.00 |
| Finance lease liabilities, noncurrent | 0.00 | 370,000,000.00 |
| Operating lease liabilities, current | 97,000,000.00 | 0.00 |
| Operating lease liabilities, noncurrent | 811,000,000.00 | 839,000,000.00 |
| Total debt | 9,386,000,000.00 | 9,399,000,000.00 |
| Current | Prior | |
|---|---|---|
| Property, plant and equipment | 11,252,000,000.00 | 11,191,000,000.00 |
| Total property and equipment | 11,252,000,000.00 | 11,191,000,000.00 |
| Current | Prior | |
|---|---|---|
| Stockholders equity | 1,587,000,000.00 | 2,120,000,000.00 |
| Total stockholders' equity | 1,587,000,000.00 | 2,120,000,000.00 |
For the period ended June 30, 2026, we generated revenue of $2,697 million, an increase of $341 million, or 14.5%, compared to $2,356 million in the comparable prior-year period. Our network changes continued to progress well and we have regained our position as Fort Lauderdale's largest airline with new routes and additional frequencies, and we continue to make progress on the JetForward cost program by implementing AI and data science technology, executing operational initiatives, and strengthening efficiencies. The growth in revenue was accompanied by an increase in deferred revenue to $2,000 million from $1,682 million, or 18.9%, and an increase in noncurrent deferred revenue to $737 million from $657 million, or 12.2%, reflecting higher customer bookings recognized in future periods.
Aircraft fuel expense was the most significant driver of the change in our operating costs, increasing 80.8% to $911 million from $504 million in the prior-year period, primarily attributable to [COMPLETE: driver of aircraft fuel increase, such as fuel price and consumption detail]. Salaries, wages and benefits increased 2.7% to $875 million from $852 million, while maintenance, materials and repairs increased 3.0% to $204 million from $198 million. Landing fees and other rents increased 7.0% to $183 million, depreciation and amortization increased 7.0% to $183 million, other operating expenses increased 13.5% to $379 million from $334 million, and selling and marketing expense increased 15.8% to $88 million from $76 million. These increases were partially offset by aircraft rent, which decreased 25.0% to $15 million from $20 million, and other operating costs, which declined to zero from $24 million in the prior-year period. Other expense, net was $130 million compared to $100 million in the prior-year period, an increase of 30.0%, and we recognized an income tax benefit of $24 million compared to a benefit of $20 million in the prior-year period. As a result, we reported a net loss of $247 million, or a basic loss per share of $0.66 based on weighted-average basic shares outstanding of 375.9 million.
Our cash and cash equivalents were $1,656 million as of June 30, 2026, a decrease of 22.4% from $2,135 million in the prior-year period, and restricted cash and equivalents increased 11.9% to $263 million from $235 million. Short-term investments decreased 60.8% to $364 million from $929 million, and long-term investments declined to zero from $197 million, reflecting the liquidation of investment positions. Total debt of $8,478 million remained relatively stable, increasing 0.3% from $8,451 million, while noncurrent operating lease liabilities decreased 7.8% to $811 million and current operating lease liabilities increased 15.5% to $97 million. Property, plant and equipment increased 3.7% to $11,252 million from $10,853 million, reflecting continued capital investment in our fleet and infrastructure. Stockholders' equity decreased 34.1% to $1,587 million from $2,408 million, primarily reflecting the net loss incurred during the period. Our primary market risk exposure is interest rate risk on cash, cash equivalents, and short-term investments, and we do not have material foreign currency or commodity price exposure. Based on our current level of cash, cash equivalents, investments, and expected cash flows from operations, management believes that our available liquidity and capital resources are sufficient to meet our obligations and fund our operations for at least the next twelve months.
We are exposed to market risks in the ordinary course of our business, and our primary market risk exposure is interest rate risk on our cash, cash equivalents, and short-term investments. As of June 30, 2026, we held cash and cash equivalents of $1,656 million, compared with $2,135 million in the prior period, a decrease of 22.4%, and short-term investments of $364 million, compared with $929 million in the prior period, a decrease of 60.8%. We also held restricted cash and equivalents of $263 million, up 11.9% from $235 million in the prior period, while long-term investments declined to zero from $197 million. Changes in prevailing interest rates affect the amount of interest income we earn on these balances, and a decline in market interest rates would reduce the income generated by our investment portfolio.
We are also subject to interest rate considerations with respect to our financing obligations. At June 30, 2026, our debt was $8,478 million, compared with $8,451 million in the prior period, an increase of 0.3%, and our current and noncurrent operating lease liabilities were $97 million and $811 million, respectively. These balances compare with total debt of $9,399 million in the prior period, which included debt, including current maturities, of $8,111 million, finance lease liabilities, current, of $79 million, finance lease liabilities, noncurrent, of $370 million, and operating lease liabilities, noncurrent, of $839 million, resulting in total debt of $9,386 million at June 30, 2026. To the extent any of our obligations bear interest at variable rates, increases in market interest rates would increase our interest expense, while fixed-rate obligations are subject to changes in fair value as market rates fluctuate. [COMPLETE: breakdown of fixed-rate versus variable-rate debt and quantified sensitivity of interest expense and interest income to a hypothetical change in interest rates]
We do not have material foreign currency or commodity price exposure. Although aircraft fuel costs were $911 million for the period, compared with $504 million in the prior period, an increase of 80.8%, we do not consider our commodity price exposure to be material to our financial position or results of operations. There have been no other material changes in our market risk exposures during the period. [COMPLETE: description of any hedging or derivative arrangements, if applicable]
Management, with the participation of the Company's Chief Executive Officer and Chief Financial Officer, evaluated the effectiveness of the Company's disclosure controls and procedures as of the end of the period covered by this report and concluded that they were effective at the reasonable assurance level as of June 30, 2026. Management recognizes that any system of controls, no matter how well designed and operated, can provide only reasonable, not absolute, assurance that its objectives will be met. Consistent with prior filings, the principal executive officer's certification affirms that the report does not contain any untrue statement of a material fact or omit a material fact necessary to make the statements made not misleading, and that the financial statements fairly present in all material respects the financial condition, results of operations, and cash flows of the registrant.
There were no changes in the Company's internal control over financial reporting that occurred during the quarter that have materially affected, or are reasonably likely to materially affect, the Company's internal control over financial reporting.
The conclusion language set forth above is a draft prepared from the sources provided and must be reviewed and formally adopted by management before this report is filed, and management should confirm that the stated effectiveness conclusion and the statement regarding the absence of material changes in internal control over financial reporting accurately reflect its evaluation as of the period end.
In the ordinary course of our business, we are party to various legal proceedings and claims that arise from time to time. These matters may include, among other things, disputes incidental to the operation of our business. The outcome of litigation is inherently uncertain, and we evaluate pending matters on an ongoing basis to assess their potential impact on our financial condition and results of operations.
Management does not currently believe that any pending legal proceeding is material to our financial statements. While the results of these proceedings cannot be predicted with certainty, we do not expect the ultimate resolution of any currently pending matter to have a material adverse effect on our business, financial condition, results of operations, or cash flows.
Our business, financial condition, and results of operations are subject to numerous risks and uncertainties, and investors should carefully consider the following factors in addition to the other information included in this quarterly report. For the period ended June 30, 2026, we reported revenue of $2,697,000,000 and a net loss of $247,000,000, and our ability to return to sustained profitability depends on factors that are in part outside of our control. Aircraft fuel expense increased 80.8% period over period, from $504,000,000 to $911,000,000, and continued elevated or volatile fuel costs could further pressure our operating results. In addition, our salaries, wages and benefits of $875,000,000, maintenance, materials and repairs of $204,000,000, and landing fees and other rents of $183,000,000 each increased relative to the prior period, and we may be unable to offset ongoing cost inflation through revenue growth or operational efficiencies.
Our liquidity position and leverage present additional risks. Cash and cash equivalents declined 22.4% to $1,656,000,000, and short-term investments declined 60.8% to $364,000,000, while long-term investments were reduced to zero. Our outstanding debt was $8,478,000,000 as of the period end, and total liabilities were $14,784,000,000 against stockholders' equity of $1,587,000,000, which declined 34.1% from $2,408,000,000 in the prior period. Continued net losses or reductions in available liquidity could limit our ability to service our indebtedness, fund capital expenditures, or respond to competitive or macroeconomic developments. Our primary market risk exposure is interest rate risk on our cash, cash equivalents, and short-term investments, and changes in prevailing interest rates could adversely affect the returns on, and value of, these holdings.
We are also exposed to risks arising from our obligations to customers and from litigation. Deferred revenue increased 18.9% to $2,000,000,000 and noncurrent deferred revenue increased 12.2% to $737,000,000, and our ability to satisfy these obligations depends on our continued operational performance. We are involved in legal proceedings arising in the ordinary course of business from time to time, and while management does not currently believe any pending matter is material to the financial statements, the outcome of litigation is inherently uncertain and adverse determinations could harm our business, reputation, or financial condition. The risks described above are not the only risks we face, and additional risks not presently known to us or that we currently deem immaterial may also materially and adversely affect our business, financial condition, and results of operations.
During the quarter ended June 30, 2026, disclosure regarding the adoption or termination of Rule 10b5-1 trading arrangements and non-Rule 10b5-1 trading arrangements by the Company's directors and officers is provided pursuant to Item 408(a) of Regulation S-K. [COMPLETE: Rule 10b5-1 trading arrangement adoptions and terminations from the D&O questionnaires]