Just two months after JetBlue’s Vice President of Corporate Communications Todd Burke said the company could withstand the pressure of high fuel costs, the five-year-old low cost carrier reported that profits nose-dived more than 50 per cent. <\/p>\n
During the third quarter, quarterly income stood at $2.7 million, down from the $8.1 million earned for the same period the year before. <\/p>\n
This reflects a drop in share price of 2 per cent from the 7 cents it earned for the third quarter of 2004. According to an Associated Press (AP) report, analysts were expecting JetBlue to post a loss of around 1 cent per share. <\/p>\n
Despite the bleak profits, operating revenue skyrocketed 40 per cent over the previous year, and stood at $453 million for the current quarter. <\/p>\n
The AP report said this was better than analysts’ predictions of $451.6 million.<\/p>\n
In an earlier interview with the Nassau Guardian, Mr Burke said that the company’s business model was designed to thrash out tough times like this. <\/p>\n
But even the strongest of companies are now seeing that profits could have a hard climb over steep gas prices.<\/p>\n
The airline has hedged up to 20 per cent of its oil which analysts argue gets more expensive as the price of a barrel of oil creeps upwards. <\/p>\n
An active hurricane season has affected and could continue to have a negative effect on oil prices.<\/p>\n
By: BARRY WILLIAMS, The Nassau Guardian<\/small><\/p>\n","protected":false},"excerpt":{"rendered":"
JetBlue’s confidence could plummet with its drop in profits which it attributes to high fuel costs.<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"rop_custom_images_group":[],"rop_custom_messages_group":[],"rop_publish_now":"initial","rop_publish_now_accounts":{"facebook_10223285771444175_51037792744":""},"rop_publish_now_history":[],"rop_publish_now_status":"pending","footnotes":""},"categories":[12],"tags":[],"class_list":["post-248024","post","type-post","status-publish","format-standard","hentry","category-headlines"],"_links":{"self":[{"href":"https:\/\/www.bahamasb2b.com\/news\/wp-json\/wp\/v2\/posts\/248024","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.bahamasb2b.com\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.bahamasb2b.com\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.bahamasb2b.com\/news\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.bahamasb2b.com\/news\/wp-json\/wp\/v2\/comments?post=248024"}],"version-history":[{"count":0,"href":"https:\/\/www.bahamasb2b.com\/news\/wp-json\/wp\/v2\/posts\/248024\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.bahamasb2b.com\/news\/wp-json\/wp\/v2\/media?parent=248024"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.bahamasb2b.com\/news\/wp-json\/wp\/v2\/categories?post=248024"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.bahamasb2b.com\/news\/wp-json\/wp\/v2\/tags?post=248024"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}