JetBlue Airways (NASDAQ:JBLU) shares dropped more than 6% intraday today following the company’s disappointing full-year profit forecast. In the second quarter, the carrier reported a profit per share of $0.45, slightly surpassing the Street estimate of $0.44. However, its revenue came in at $2.6 billion, just shy of the $2.61 billion target expected by analysts.
JetBlue’s CEO Robin Hayes attributed this success to record quarterly revenues and strong operational performance, which were the results of significant investments and thorough preparations for the peak summer travel period.
Despite the positive performance in the second quarter, the company’s full-year earnings per share guidance fell considerably short of expectations, ranging from $0.05 to $0.40. This stands in stark contrast to the consensus estimate of $0.78. This soft guidance was attributed to “near-term headwinds,” indicating challenges and uncertainties the company is currently facing.