EasyJet halves first half year on year losses

(Source: Reuters)

EasyJet has released a trading update for the six months to 31 March (release). The airline has indicated that it considers itself on track to deliver a first half performance in line with what was set out in January's interim management statement.

Bad weather resulted in a higher than anticipated level of cancellations. As a result capacity growth was marginally lower than guidance at 3.3 per cent. EasyJet's chief executive did note that these adverse conditions has boosted bookings in the final weeks of the six month period. The firm also noted that changes in currency values will likely result in a hit of £30m to £35m.

Carolyn McCall, easyJet's chief executive said:

First half losses have been halved year on year through our disciplined approach to capacity deployment and a focus on cost management over winter. We have also benefited from rival airlines taking winter capacity out of the market, the earlier timing of Easter compared to last year and the poor weather across the UK and northern Europe which stimulated strong bookings in the last few weeks of the first half of the financial year.