easyJet’s first-half revenue rose 12% to £4.0bn. All business areas saw double-digit growth, with the Holidays segment rising at the fastest pace, up 30%. Increased airline revenue was helped by capacity growth and fuller planes.
Underlying pre-tax losses widened by 40% to £552mn, in line with recently lowered guidance. The decline was driven by higher operating costs and ongoing strategic investments.
Free cash flow fell from a £306mn inflow to a £74mn outflow. The net cash position improved by 33% to £434mn.
Second-half bookings are tracking two percentage points below the prior year.
No full-year profit guidance was given due to the uncertainty over fuel prices and demand. Markets are expecting full-year underlying pre-tax profits to decline by around 78% to £145mn.
The shares were broadly flat in early trading.
Our view
HL view to follow.
easyJet key facts
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