easyJet Profits On Course To Reach New Heights
Published by Simon Gwynn on Thu 11 Oct 12 @ 11:51
Chamber Partner for Glasgow easyJet is on course to report its highest-ever full-year profits following a surge in the number of Britons looking to get away in the latter part of the summer.
easyJet provide important links to the city, connecting Glasgow with 15 other airports, 3 of which are London airports.
The company expects to report a pre-tax profit of £310-£320 million for the year following strong demand for flights out of London after the Olympics. Chief executive Carolyn McCall said bookings to Portugal and Spain were particularly popular, suggesting that many were keen to escape the summer's record-breaking wet weather.
The airline, which made £248million last year, upgraded its forecast for the year to September 30 after staying cautious amid concern about Olympics disruption, which it said failed to materialise.
Passenger numbers in September rose 5.2 per cent to 5.4 million against the same month a year ago.
Boss Carolyn McCall said this had put easyJet (up 21p to 615p) on track to 'deliver higher returns and its highest ever pre-tax profit', despite an extra £230m in fuel costs.
The rising oil price has put pressure on fuel-thirsty airlines and easyJet said it expects an extra cost of up to £40m in 2013, as well as a dent of £40m-£60m from exchange rate movements.
EasyJet has also benefited from unusually low levels of strike action across Europe's airports. However, the company cautioned that challenges remain, including higher fuel costs, increasing airport charges and continuing economic uncertainty, particularly in Europe.
The airline said a third of seats in the first quarter of the year ending September 30, 2013 have now been sold, in line with this year.