JetBlue Airways sought to reassure investors on Monday by highlighting progress in its turnaround strategy amid ongoing challenges from elevated fuel costs. The airline reported third-quarter results ahead of schedule, showing revenue growth and reaffirming its commitment to achieving an operating profit in 2027.

Prior to the earnings release, JetBlue’s stock had experienced significant downward pressure, falling nearly 10% during regular trading and closing at a record low for the third consecutive day at $2.37 per share. However, in after-hours trading, shares rose by 9.7%, following the release of the quarterly financial report.

The company reported a third-quarter net loss of $257 million, or 68 cents per share, a steeper loss compared to the same period last year. Despite the broader loss, JetBlue pointed to improved operating margins and noted it was able to offset a larger portion of its fuel expenses through increased airfare prices than initially anticipated.

Chief Executive Officer Joanna Geraghty expressed cautious optimism regarding the quarter’s performance. “I’m very encouraged by the progress we made in the third quarter,” she said, emphasizing that the airline remains on track to return to profitability next year.

Nevertheless, concerns about JetBlue’s financial stability have persisted among investors. Recent reports indicated that a group of the airline’s senior creditors had engaged a financial advisory firm and law counsel—actions that typically signal heightened concerns about a borrower’s ability to meet debt obligations. Additionally, JetBlue’s bonds saw sharp declines last week.

The airline sector as a whole continues to grapple with rising fuel prices, which have put pressure on profit margins despite carriers’ success in raising fares without significantly reducing demand for air travel. Industry investors remain cautious about whether JetBlue’s recovery plan will be sufficient and timely enough to secure the company’s long-term financial health.