EasyJet said today seasonal first half losses narrowed, helped by cost cutting initiatives and minimal weather-related disruption, and that it expected second half revenues to grow by up to 5 per cent.
Europe's second-largest low-cost carrier posted a pretax loss of £112 million in the six months to the end of March, 27 per cent lower than the loss it made in the same period a year earlier.
EasyJet said losses were reduced due to careful capacity allocation, revenue initiatives and tight cost controls, combined with low levels of disruption compared to previous years, and came despite an £87 million increase in fuel costs.
EasyJet typically makes a loss in the first half of the year, which does not include the key summer period.
Earlier this year easyJet predicted a first-half loss of £110 million to £120 million, down from previous estimates of £140 million to £160 million.
"Capacity, measured in seats flown, for the second half of the year, is planned to increase by 7 per cent assuming no significant disruption, giving an increase of around 5 per cent for the full year compared to 2011," the airline said.
"Second half total revenue per seat at constant currency is expected to be up in the low to mid single digit range."
The company said revenues increased 16 per cent to £1.46 billion, while passengers flown grew 5.4 per cent to 25.2 million, as it continued to grow its share of the short-haul business travel market.
EasyJet, the largest airline at London's Gatwick airport, said revenue per seat grew 12 per cent in the half and that it had already bought 77 per cent of its required fuel for the second half.
Reuters