Summary
- EasyJet reports record profits and revenue growth through the busy summer travel season, with higher fares and increased ancillary revenue driving the rise.
- Passenger numbers have risen by 8% in comparison with last yr, with 92% seat occupancy rate, indicating strong demand for EasyJet’s flights and holidays.
- EasyJet plans to proceed expanding its winter capability and route network by adding latest routes to Finland, Egypt, Iceland, and Switzerland.
British low-cost carrier easyJet has made waves this week by announcing a 15% capability growth for Q1. Moving into the 2024 financial yr, easyJet has stated that bookings have continued upward. That is coupled with the London Luton-based carrier placing orders for as many as 257 brand-new Airbus A320nei family jets.
Revenues soar
Britain’s biggest budget airline reported record profits through the busy summer travel season resulting from higher fares and more ancillary revenue, in accordance with data published by easyJet. Based on the info, the common basic one-way fare in July, August, and September rose 9% from summer 2022 levels from £64 to £69, which is a £5 increase. Ancillary revenue, extra charges passengers pays comparable to baggage, assigned seats, and priority boarding, rose £3 from last yr to £27.
Photo: Markus Mainka | Shutterstock
Moreover, passenger numbers rose 8% in comparison with summer 2022 levels, with 92% of seats being filled. EasyJet recorded a profit of £450 million through the 2022 financial yr, which ended on September 30, 2023. Going into the winter season, easyJet has stated that capability and fares are higher in comparison with 2022 levels. easyJet CEO Johan Lundgren stated:
“We’ve delivered a record summer with strong demand for easyJet’s flights and holidays, with customers selecting us for our network, value, and repair. This performance has demonstrated that our strategy is achieving results, and so today, we’ve set out an ambitious roadmap to serve more customers and deliver attractive shareholder returns, underpinned by a continued deal with costs and operational excellence.”
He added:
“Our latest medium-term targets provide the constructing blocks to deliver a PBT greater than £1 billion. This will likely be driven by reducing winter losses, up-gauging our fleet, and growing easyJet holidays. As a part of our commitment to shareholder returns, the Board intends to reinstate dividends commencing with the FY23 results.”
Increased winter capability
The increased winter capability is coupled with easyJet winter route network expansion. During this winter season, easyJet will serve 12 latest routes to Finland, Egypt, Iceland, and Switzerland.
In Finland, easyJet will launch flights from Edinburgh and London Luton to Rovaniemi, the gateway to Finnish Lapland, on December 3 and 9, respectively. easyJet already operates flights to Rovaniemi from London Gatwick, Manchester, and Bristol.
Photo: Markus Mainka | Shutterstock
From Egypt, easyJet will start 4 latest routes within the winter season to Hurghada. easyJet will fly from Liverpool (starting October 29), Belfast (starting November 8), Glasgow (starting October 31), and Edinburgh (starting November 6). The airline may also launch flights from London
Gatwick to Akuyeri, Iceland, starting on October 31. This will likely be the one route from the UK to Akuyeri.
Lastly, easyJet will start 4 latest routes within the winter season to cities in Switzerland. The airline will launch flights from London Stansted to Grenoble (starting January 14), Zurich (starting December 16), and Geneva (starting December 16). easyJet may also launch flights from Birmingham to Salzburg on January 13.
Will you be flying with easyJet this yr? What destinations would you wish to see the carrier add? Tell us within the comments.