17th Jul 2025 08:43
(Alliance News) - easyJet PLC on Thursday said third-quarter profit was in line with expectations, benefitting from the timing of Easter, but it warned of the costs of the air traffic controller strike in France.
easyJet shares were down 8.0% to 483.88 pence in London early Thursday.
Headline pretax profit advanced 21% to GBP286 million in the three months that ended June 30 from GBP236 million a year before, as revenue rose 11% to GBP2.92 billion from GBP2.63 billion.
The improvement was "driven by strong demand for easyJet's primary airport network and benefits from the timing of Easter", which fell in April this year versus March last year.
The revenue rise was led by the Holidays segment, where it was up 27% to GBP428 million in the recent quarter from GBP336 million a year before. Pretax profit from Holidays was GBP86 million, up by GBP13 million from a year before, and easyJet said it expects the division to contribute more than GBP235 million in pretax profit for the full financial year, which ends on September 30. It said 85% of the Holidays capacity for the fourth quarter has been sold.
The company said it will set a new medium-term target for Holidays towards the end of the year, as a result of its business success.
Passenger revenue was GBP1.76 billion in the third quarter, up 9.7% from GBP1.60 billion a year before, while ancillary revenue was up 5.6% to GBP732 million from GBP693 million.
"The outlook for FY25 remains positive, with good profit growth expected year on year, albeit impacted by recent higher fuel costs and the scale of industrial action by French air traffic control. With 67% of our airline's fourth-quarter capacity sold, the final outcome for FY25 will, as always, depend on late summer bookings and the associated yields," easyJet said.
Chief Executive Officer Kenton Jarvis added: "We are extremely unhappy with the strike action by the French ATC in early July, which as well as presenting unacceptable challenges for customers and crew also created unexpected and significant costs for all airlines."
easyJet said the air traffic control strike has caused GBP15 million in disruption costs, while higher fuel prices have added GBP10 million to costs.
easyJet said it had GBP803 million in cash as of June 30, up 76% from GBP456 million a year before.
By Tom Waite, Alliance News editor
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