Jetblue Airways Corp: Form 10-Q for the period ended Sep 30, 2025
Filed with the SEC on Oct 28, 2025 and accepted by EDGAR at Oct 28, 2025, 07:13 ET.
Management's discussion and analysis
As filed, 2,472 characters, with its headings, lists and tables. Extracted from the main document; charts and exhibits are in the original on sec.gov.
NON-GAAP FINANCIAL MEASURE
RECONCILIATION OF OPERATING EXPENSE, OPERATING LOSS, OPERATING MARGIN, PRE-TAX LOSS, PRE-TAX MARGIN, NET LOSS, LOSS PER SHARE, EXCLUDING SPECIAL ITEMS, GAIN (LOSS) ON INVESTMENTS AND GAIN ON DEBT EXTINGUISHMENTS
(in millions except percentages)
| RECONCILIATION OF NET LOSS | Three Months Ended September 30, 2025 | 2024 | Nine Months Ended September 30, 2025 | 2024 |
|---|---|---|---|---|
| Net loss | $(143) | $(60) | $(425) | $(751) |
| Add back: Special items | 5 | 27 | 29 | 590 |
| Less: Income tax benefit related to special items | — | 6 | 7 | 14 |
| Less: Gain (loss) on investments, net | 8 | (2) | 12 | (25) |
| Less: Income tax benefit (expense) related to gain (loss) on investments, net | (2) | — | (3) | 6 |
| Less: Gain on debt extinguishments | — | 22 | — | 22 |
| Less: Income tax expense related to gain on debt extinguishments | — | (5) | — | (5) |
| Net loss excluding special items, gain (loss) on investments and gain on debt extinguishments | $(144) | $(54) | $(412) | $(173) |
| CALCULATION OF LOSS PER SHARE | ||||
| Loss per common share | ||||
| Basic | $(0.39) | $(0.17) | $(1.18) | $(2.18) |
| Add back: Special items | 0.01 | 0.07 | 0.08 | 1.72 |
| Less: Income tax benefit related to special items | — | 0.02 | 0.02 | 0.04 |
| Less: Gain (loss) on investments, net | 0.02 | (0.01) | 0.04 | (0.07) |
| Less: Income tax benefit (expense) related to gain (loss) on investments, net | — | — | (0.01) | 0.02 |
| Less: Gain on debt extinguishments | — | 0.06 | — | 0.06 |
| Less: Income tax expense related to gain on debt extinguishments | — | (0.01) | — | (0.01) |
| Basic excluding special items, gain (loss) on investments and gain on debt extinguishments | $(0.40) | $(0.16) | $(1.15) | $(0.50) |
| Diluted | $(0.39) | $(0.17) | $(1.18) | $(2.18) |
| Add back: Special items | 0.01 | 0.07 | 0.08 | 1.72 |
| Less: Income tax benefit related to special items | — | 0.02 | 0.02 | 0.04 |
| Less: Gain (loss) on investments, net | 0.02 | (0.01) | 0.04 | (0.07) |
| Less: Income tax benefit (expense) related to gain (loss) on investments, net | — | — | (0.01) | 0.02 |
| Less: Gain on debt extinguishments | — | 0.06 | — | 0.06 |
| Less: Income tax expense related to gain on debt extinguishments | — | (0.01) | — | (0.01) |
| Diluted excluding special items, gain (loss) on investments and gain on debt extinguishments | $(0.40) | $(0.16) | $(1.15) | $(0.50) |
43
Market risk
As filed, 1,774 characters, with its headings, lists and tables. Extracted from the main document; charts and exhibits are in the original on sec.gov.
Except as described below, there have been no material changes in market risks from the information provided in Item 7A. Quantitative and Qualitative Disclosures About Market Risk included in our 2024 Form 10-K.
Aircraft Fuel
Our results of operations are affected by changes in the price and availability of aircraft fuel. Market risk is estimated as a hypothetical 10% increase in the cost per gallon of fuel as of September 30, 2025. Based on projected fuel consumption for the next 12 months, an increase would result in an increase to aircraft fuel expense of approximately $206 million. As of September 30, 2025, we did not have any outstanding fuel hedging contracts.
Interest
Our earnings are affected by changes in interest rates due to the impact those changes have on interest expense from variable-rate debt instruments and on interest income generated from our cash and investment balances. The interest rate is fixed for $6.6 billion of our debt and finance lease obligations, with the remaining $1.9 billion having floating interest rates. As of September 30, 2025, if interest rates were on average 100 basis points higher year-over-year, our annual interest expense would increase by approximately $17 million. This amount is determined by considering the impact of the hypothetical change in interest rates on our variable rate debt.
If interest rates were to average 100 basis points lower in 2025 than they were during 2024, our interest income from cash and investment balances would decrease by approximately $16 million. This amount is determined by considering the impact of the hypothetical change in interest rates on the balances of our money market funds and short-term, interest-bearing investments for the trailing twelve-month period.
Controls and procedures
As filed, 1,401 characters, with its headings, lists and tables. Extracted from the main document; charts and exhibits are in the original on sec.gov.
Disclosure Controls and Procedures
We maintain disclosure controls and procedures (as defined in Rule 13a-15(e) or Rule 15d-15(e) under the Exchange Act) that are designed to ensure that information required to be disclosed by us in reports that we file or submit under the Exchange Act is recorded, processed, summarized and reported within the time periods specified in the SEC's rules and forms and that such information required to be disclosed by us in reports that we file or submit under the Exchange Act is accumulated and communicated to our management, including our Chief Executive Officer ("CEO"), and our Chief Financial Officer ("CFO"), as appropriate, to allow timely decisions regarding required disclosure. Management, with the participation of our CEO and CFO, performed an evaluation of the effectiveness of our disclosure controls and procedures as of September 30, 2025. Based on that evaluation, our CEO and CFO concluded that our disclosure controls and procedures were effective as of September 30, 2025.
Changes in Internal Control Over Financial Reporting
There were no changes in our internal control over financial reporting (as defined in Rule 13a-15(f) and Rule 15d-15(f) under the Exchange Act) during the quarter ended September 30, 2025 that have materially affected, or are reasonably likely to materially affect, our internal control over financial reporting.
Risk factors
As filed, 262 characters, with its headings, lists and tables. Extracted from the main document; charts and exhibits are in the original on sec.gov.
Part I, Item 1A "Risk Factors" of our 2024 Form 10-K includes a discussion of our risk factors which are incorporated herein. There have been no other material changes from the risk factors associated with our business previously disclosed in our 2024 Form 10-K.
Figures reported in this filing
Standardized line items from the XBRL in this filing, for the period ended 2025-09-30. Comparative periods it repeats are left out.
| Line item | Period | Value | XBRL concept |
|---|---|---|---|
| Revenue | 3 months2025-07-01 to 2025-09-30 | $2.32bn | us-gaap:RevenueFromContractWithCustomerExcludingAssessedTax |
| Revenue | 9 months2025-01-01 to 2025-09-30 | $6.82bn | us-gaap:RevenueFromContractWithCustomerExcludingAssessedTax |
| Operating income | 3 months2025-07-01 to 2025-09-30 | −$100.0m | us-gaap:OperatingIncomeLoss |
| Operating income | 9 months2025-01-01 to 2025-09-30 | −$268.0m | us-gaap:OperatingIncomeLoss |
| Interest expense | 3 months2025-07-01 to 2025-09-30 | $146.0m | us-gaap:InterestExpenseNonoperating |
| Interest expense | 9 months2025-01-01 to 2025-09-30 | $441.0m | us-gaap:InterestExpenseNonoperating |
| Income tax | 3 months2025-07-01 to 2025-09-30 | −$53.0m | us-gaap:IncomeTaxExpenseBenefit |
| Income tax | 9 months2025-01-01 to 2025-09-30 | −$136.0m | us-gaap:IncomeTaxExpenseBenefit |
| Net income | 3 months2025-07-01 to 2025-09-30 | −$143.0m | us-gaap:NetIncomeLoss |
| Net income | 9 months2025-01-01 to 2025-09-30 | −$425.0m | us-gaap:NetIncomeLoss |
| Diluted EPS | 3 months2025-07-01 to 2025-09-30 | −$0.39 | us-gaap:EarningsPerShareDiluted |
| Diluted EPS | 9 months2025-01-01 to 2025-09-30 | −$1.18 | us-gaap:EarningsPerShareDiluted |
| Basic EPS | 3 months2025-07-01 to 2025-09-30 | −$0.39 | us-gaap:EarningsPerShareBasic |
| Basic EPS | 9 months2025-01-01 to 2025-09-30 | −$1.18 | us-gaap:EarningsPerShareBasic |
| Diluted shares (weighted) | 3 months2025-07-01 to 2025-09-30 | 363,700,000 shares | us-gaap:WeightedAverageNumberOfDilutedSharesOutstanding |
| Diluted shares (weighted) | 9 months2025-01-01 to 2025-09-30 | 359,700,000 shares | us-gaap:WeightedAverageNumberOfDilutedSharesOutstanding |
| Operating cash flow | 9 months2025-01-01 to 2025-09-30 | −$143.0m | us-gaap:NetCashProvidedByUsedInOperatingActivities |
| Capital expenditure | 9 months2025-01-01 to 2025-09-30 | $742.0m | us-gaap:PaymentsToAcquireProductiveAssets |
| Cash and equivalents | At period end2025-09-30 | $2.41bn | us-gaap:CashAndCashEquivalentsAtCarryingValue |
| Current assets | At period end2025-09-30 | $3.42bn | us-gaap:AssetsCurrent |
| Total assets | At period end2025-09-30 | $16.60bn | us-gaap:Assets |
| Current liabilities | At period end2025-09-30 | $4.19bn | us-gaap:LiabilitiesCurrent |
| Long-term debt | At period end2025-09-30 | $8.47bn | us-gaap:LongTermDebt |
| Shareholders' equity | At period end2025-09-30 | $2.27bn | us-gaap:StockholdersEquity |
| Shares outstanding | At period end2025-09-30 | 363,710,720 shares | dei:EntityCommonStockSharesOutstanding |
Source: SEC EDGAR, the filing index for accession 0001158463-25-000109. Last ingested by Listed: Nov 4, 2026, 18:39 ET. Listed shows no prices and gives no investment advice.