JetBlue Airways (NASDAQ:JBLU) Corporation announced on Thursday that it expects third-quarter revenue to be at the low end of its previous forecast, citing a bigger-than-expected impact from weather-related disruptions and shortage of air traffic controllers.
It was the US air carrier’s second warning in as many months as higher-than-expected fuel costs are also expected to weigh on its results, with the company raising its 3Q fuel cost forecast to about $2.95 per gallon, up from of $2.75 to $2.90 previously, due to a significant rise in crude oil prices.
JetBlue added that close-in leisure bookings during September were also lower than expected.
In an interview with Reuters earlier this month, JetBlue's CEO said the airline had to cut flights "because the system can't cope with the number of flights."
In August, the company had forecast that third-quarter revenue was likely to decline by 4% to 8% compared to a year ago and that non-fuel costs to fly each seat a mile were on track to rise 2.5% to 5.5%.
Shares of JetBlue eased 1% to $4.40 in early trading on Thursday and have fallen 32% year to date.
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