Nice numbers, indeed. They spent $148MM less on fuel in this quarter than the year prior. That's pretty huge. PRASM and yields were down about 8% so the lower costs were pretty much critical to realizing a profit. CASM excluding fuel was up 8.5% which is also a tough place to be in.
Their fuel hedges for Q3 cost them $23MM on paper (no cash losses). But that hasn't stopped them from growing their hedging positions:
JetBlue continued to build its 2009 and 2010 fuel hedge portfolio during the third quarter with the addition of crude oil call options, jet fuel swaps and heating oil collar contracts. JetBlue has hedged approximately 61% of its fourth quarter estimated fuel consumption and 30% of its 2010 estimated fuel consumption with a combination of crude call options, jet fuel swaps and heating oil collars.
JetBlue expects an average price per gallon of fuel, including the impact of hedges, of $2.04 in the fourth quarter and $2.01 for the full year 2009.
Being hedged now for such a large amount of fuel at least lets them know pretty well what the actual costs are going to be and that's always nice.
I'm looking forward to the Conf Call at 9am EDT to see what other bits they have to share.