JetBlue Airways (JBLU - Free Report) posted high single-digit traffic growth for Mar 2013 on the back of efficient operations and various strategic steps that are bringing in more passengers.
The company’s airline traffic – measured in revenue passenger miles or RPMs, which implies revenue generated per mile per passenger – increased 8.6% year over year to 3.20 billion for the month. Consolidated capacity (or available seat miles/ASMs) was 3.68 billion, up 7.5% from Mar 2012.
The load factor or percentage of seats filled by passengers was 87.1%, up 80 basis points. Passenger revenue per available seat mile (PRASM) also improved 7.0% year over year. The company registered a completion factor of 99.4%, with on-time performance of 72.3%.
For the first three months of 2013, on a consolidated basis, JetBlue Airways generated RPMs of 8.50 billion (up 7.6% year over year) and ASMs of 10.14 billion (up 6.3% year over year). Load factor was 83.9%, reflecting an improvement of 100 basis points from the corresponding year prior year.
JetBlue Airways is in constant endeavor to expand and broaden its operating base. Last week, the company added a new city – Worcester, Massachusetts – to its growing perimeter. Starting Nov 7, the company will fly daily jets from Worcester to Fort Lauderdale and Orlando.
The company also announced plans to reach its 49th destination from the Logan International Airport at Boston. The airline will bring its plan into effect by operating two daily flights from Logan Airport to Houston's William P. Hobby Airport, starting Jul 25.
Currently, JetBlue Airways operates over 100 daily flights from Logan to destinations spanning across the U.S., Caribbean and Latin America. Management targets to increase the number of flights to 150 in the coming two years.
JetBlue Airways will also be the recipient of the first ever US-assembled jets from Airbus. The low cost airline will receive the deliveries of the aircraft from the new assembling facility, which is expected to roll out its first fleet of the US-assembled jets by 2016.
Supported by well-designed interiors, high-value services and superior on-board entertainment options, JetBlue Airways aims to holds a strong position within the industry amid big players such as Delta Air Lines Inc. (DAL - Free Report) and United Continental Holdings Inc. (UAL) and the popular low fare airline Southwest Airlines Co. (LUV - Free Report) .
JetBlue Airways currently carries a Zacks Rank #4 (Sell).