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JetBlue identifies increased fuel costs and benefits from Spirit's shutdown

U.S. airline?JetBlue increased its fuel cost?forecast for the second quarter on Monday as?the global aviation industry struggles with increasing jet fuel prices in the wake of disruptions caused by the closure of Strait of Hormuz.

Fuel costs are expected to be between $4.26 and $4.36 per gallon in the second quarter. This is a significant increase from an earlier estimate of $4.13 to $4.28.

JetBlue, however, said that it expected to "recover?40% of the increased fuel costs in the?quarter," thanks to its consistent operational performance.

The airline has raised its revenue growth forecast per available seat-mile to between 9% to?12% compared to the earlier range of 7% to 11%.

The airline has also reported "outperformances" on routes that were previously operated by Spirit Airlines, which shut down last month.

JetBlue said in a filing that, "although?it is still early in the third quarter booking curve," we are encouraged by current trends. (Reporting by Aishwarya Jain in Bengaluru; Editing by Sriraj Kalluvila and Pooja Desai)

(source: Reuters)