Jetblue falls into 2025 cost OUTLOOK will disappoint investors

(Bloomberg) -After Jetblue Airways Corp., this airline’s cost is higher than Wall Street this year.

The airline said in a statement on Tuesday that the cost of unit costs in 2025 will rise up to 7 % of fuel, exceeding analysts’ estimates of higher salary and aircraft maintenance expenditures. Jetblue’s stock price fell 18 %, and the biggest sluggish market since August 12.

The prospect is the plan that CEO Joanna Geraghty plans to reverse the situation after two failed attempts to broaden their flight network. The company is trying to cut the cost of non -fuel units of each seat. This is one mile, important efficiency, and has eliminated a route that is inaccurate. Essence

Citi Analyst Stephen Trent said in a report: “On the one hand, this airline seems to be earning the income growth of the unit’s income, and the benefits of shortcut strategy are faster than expected.” ” On the other hand, the cost of the pre -fuel seats is growing faster than the unit’s income. ”

TD COWEN analyst Tom Fitzgerald (Tom Fitzgerald) said in a report that it is expected that the cost pressure of fuel is expected to increase in the first quarter and relax later this year.

When the federal court prevented its plans from acquiring Spirit Airlines Inc. and a joint venture with US Airlines, JetBlue chose to return to the core service field of northeast and southeast and Puerto Rico. Group company

The company’s losses in the fourth quarter were 21 cents per share, which was better than analysts expect. The income is 2.28 billion US dollars, just in the Wall Street’s prediction of winter holidays. The forecast is higher than the carrier’s expectations, especially on the international and off -road routes.

American Airlines Group Inc. warned last week that unexpected losses in this quarter were partial reason for higher operating costs. The guide is in sharp contrast to the strong prospects of the competitors joint airline Holdings Inc. and Delta Air Lines Inc..

(Update sharing, supplemented analyst comments in the fourth paragraph.)

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