Despite soaring temperatures, easyJet reports record profits and predicts continued growth as travel rebounds.
EasyJet has reported a remarkable surge in demand for travel, despite the ongoing heatwave across Europe. The airline, known for its budget-friendly services, has achieved a record pre-tax profit of £203m for the quarter ending in June, far surpassing analyst expectations. This success comes amid widespread disruptions from strikes, including those affecting air traffic control in France.
The airline’s competitors across Europe are also expected to report strong earnings for the same period, with bookings predicted to remain strong through the winter season.
According to easyJet, demand for its holiday packages has soared, with winter bookings more than doubling compared to the previous year. CEO Johan Lundgren is optimistic, predicting another record-breaking quarter from July to September, with more than 160,000 flights scheduled. Despite the scorching heat in destinations like Italy and Greece, Lundgren noted that it hasn’t deterred travelers. “Many holidaymakers, especially Brits, have long vacationed in places like Egypt and Turkey, where temperatures regularly exceed those in Europe during summer,” he said.
He also acknowledged that extreme weather in popular destinations serves as a stark reminder of the climate crisis, although he emphasized that the airline has long been aware of this challenge. EasyJet is committed to reducing its environmental impact while continuing to expand.
The airline also reported that it is now earning 23% more per seat than the previous year, while operational costs, excluding fuel, have slightly decreased due to stabilized oil prices. A significant portion of the fare increase—around £11 per seat—has been driven by rising fuel costs. Profits have also been bolstered by ancillary services such as seat selection and in-flight purchases, as well as a 72% growth in easyJet’s package holiday division.
However, Lundgren cautioned that ongoing strikes, particularly in air traffic control across Europe, may cause further disruptions. Recently, easyJet was forced to cancel 1,700 flights due to severe air traffic control delays, mainly from Gatwick, affecting thousands of passengers.
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