Low cost airline easyJet reported £1bn in losses for two consecutive years during the pandemic but is now recovering strongly and this summer enjoyed its most profitable quarter ever. Tony McDonough reports
Full year losses at easyJet have come in at £178m – a considerable improvement on £2bn combined losses during the two years of the pandemic.
Publishing its full-year results for the 12 months to September 30, 2022, easyJet is reporting revenues of almost £5.8bn. This was a significant improvement on the £1.2bn for the previous year.
As the carrier, which operates around 25 routes out of Liverpool John Lennon Airport, emerged from the pandemic it saw passenger numbers soar from 20m last year to almost 70m.
Along with much of the aviation sector, easyJet endured a difficult spring as lower staffing levels at airlines and airports struggled to cope with the surge in post-pandemic demand.
However, the company came roaring back in the summer. The three months covering July to September was the most profitable quarter in its 27-year history with earnings of £674m.
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Bookings for peak holiday weeks this winter, such as October half term and Christmas week in the UK, are back to normal levels of volume, said easyJet. However, off-peak booking levels are still to return to pre-pandemic levels amid a cost-of-living crisis.
Johan Lundgren, easyJet chief executive said: “EasyJet has achieved a record bounce back this summer with a performance which underlines that our transformation is delivering.
“EasyJet does well in tough times. Legacy carriers will struggle in this high-cost environment. Consumers will protect their holidays but look for value and across its primary airport network. EasyJet will be the beneficiary as customers vote with their wallets.
“Over the next year, we are targeting customer growth and are well placed to drive returns and margins while maintaining a rigorous focus on cost. With one of the strongest balance sheets in European aviation, we are ready to take opportunities as they present themselves.”