Budget airline easyJet says losses will be better than expected after seeing a big increase in bookings.
The Luton-based operator – which flies out of UK airports such as Birmingham, Stansted, Manchester and Newcastle – said it had seen a record surge in bookings since the start of the year.
Headline pre-tax losses, it said, narrowed to £133 million in the last three months of 2022, compared to £213 million a year earlier.
It also carried almost 50 per cent more passengers in the same period – at 17.5 million – compared to the end of 2021 when the country was still dealing with Covid-19. UK coronavirus travel restrictions were finally dropped last March.
To cap that off it has had a good bounce-back in traditional New Year holiday bookings, with three weekends of record-breaking sales so far in January.
The group said it now expects its seasonal first-half loss to be “significantly” better year on year.
Chief executive Johan Lundgren said: “We have seen strong and sustained demand for travel over the first quarter, carrying almost 50 per cent more customers compared with last year.
“Many returned to make bookings during the traditional turn-of-year sale where we filled five aircraft every minute in the peak hours, which culminated in three record‐breaking weekends for sales revenue this month.
“This strong booking performance, aided by the airline’s step-changed revenue capability, has driven an £80 million year-on-year boost in the first quarter with continued momentum as customers prioritise spending on holidays for the year ahead.
“This will set us firmly on the path to delivering a full-year profit, where we anticipate beating the current market expectation, enabling us to create value for customers, investors and the economies we serve.”
EasyJet said the most popular destinations for UK travellers this year were Amsterdam, Geneva, Paris, Tenerife and Alicante.
Mr Lundgren said: “Coming into the summer, the early indication is it’s really down to the places that offer great value for money (such as) Turkey and Egypt. But also Spain is popular.
“It’s very clear that people are really prioritising taking a beach holiday for this summer.”
EasyJet was one of the airlines worst affected by staffing shortages which hit the aviation industry last year, though the CEO said staffing numbers were now “well ahead” of pre-coronavirus levels.
The airline now intends to raise its capacity to 2019 levels between July and September. Its holidays business, easyJet Holidays, has upgraded its plan for full-year growth in customers from 30 per cent to 50 per cent.
