JetBlue Airways’ capacity growth
JetBlue Airways’ (JBLU) capacity rose 5.2% YoY (year-over-year) in November 2016, but that was significantly less than 13.0% in the first six months of 2016. It was also less than 6.3% YoY growth in the third quarter of 2016.
YTD (year-to-date) through November 2016, JBLU’s capacity has increased 10.4% YoY. Average growth in the first half of 2016 was ~12.7%. For 2015, capacity rose 9.5%.
Airline capacity is measured by available seat miles (or ASM). ASM is the number of seats available multiplied by the number of miles.
What to expect
Slow growth could continue in December 2016. For 4Q16, JBLU is expecting a 3.0%–5.0% YoY increase in capacity. That will include the 0.50 percentage point negative impact from Hurricane Matthew. For the first two months, the average is already at 5.4% YoY.
For 2016, capacity growth for JetBlue Airways is expected to be 8.5%–9.0% YoY compared to the earlier expected growth of 8.5%–10.5%.
For information on the November 2016 performances of Alaska Air Group (ALK), American Airlines (AAL), United Continental Holdings (UAL), and Southwest Airlines (LUV), please read Flying High: Analyzing Alaska Air Group’s Key Operating Metrics, How Did American Airlines Perform in November 2016? Analyzing Southwest Airlines’ Key Metrics for November 2016, and United Continental’s November Traffic Data: What You Should Know.
JBLU forms ~0.40% of the iShares Core S&P Mid-Cap (IJH).