In This Article:
JetBlue is on a strict road to recovery after facing several unprofitable financial quarters. The airline has recently struggled with increased competition within the airline industry and has been hit with heavy legal fees.
Last month, the U.S. Department of Transportation fined JetBlue $2 million for “operating multiple chronically delayed flights.” The airline also recently settled an antitrust lawsuit, agreeing to pay $2 million to several U.S. states (splitting the tab with American Airlines).
💰💸 Don't miss the move: Subscribe to TheStreet's free daily newsletter💰💸
JetBlue’s fourth-quarter earnings report for 2024, released on Jan. 28, revealed that its total operating revenues decreased by about 2% year over year. The revenue it accumulated from passengers also shrunk by roughly 3% compared to the same period in 2023.
Related: Major discount airlines pay workers to ‘catch’ cheating customers
Overall, JetBlue faced a net loss of $44 million, or $0.13 per share during the quarter.
In December, JetBlue launched its JetForward strategy, which involves cutting unprofitable flight routes and restructuring its overall route network to shrink costs. The airline stated in the earnings report that it will double down on this strategy to boost profits.
"Looking ahead to 2025, we are laser-focused on executing JetForward and building on the momentum from 2024,” said JetBlue CEO Joanna Geraghty in the earnings report. “While this year will not come without its challenges, our strategy is in place to tackle those obstacles head-on. With a healthy revenue backdrop, continued cost control and incremental earnings from JetForward, we believe we are well-positioned to deliver on our goal of achieving a positive operating margin for the full year."
JetBlue officially launches new offer that may delight travelers
As JetBlue sets its eyes on increasing revenue amid recent struggles, it has opted to offer a new premium experience for travelers.
The airline has just officially launched its new “EvenMore” bundle which offers travelers perks such as “early boarding, extra legroom, a prime seat toward the front, dedicated bin space, free alcoholic drinks and a premium snack offering,” according to a new press release.
The bundle also offers priority security at over 30 airports and free headphones upon request.
Related: Southwest Airlines makes a harsh cost-cutting move
The new bundle competes with Spirit and Frontier, which launched premium ticket bundles in 2024. Delta is also reportedly planning on testing its Comfort Plus fare bundles this year, which is expected to include extra-legroom seats.