Will easyJet report higher profits this year?

Yes, easyJet is expected to report higher annual profits for the year ending September, with analysts projecting profits of £650m.

What caused unexpected costs for easyJet?

French air traffic control strikes in July caused significant unexpected costs for easyJet, leading to flight cancellations.

How have easyJet's shares performed recently?

EasyJet's shares have tumbled 17 per cent this year, and there are concerns about its potential demotion from the FTSE 100.

Home / Business and Economy / EasyJet Soars Despite Strikes: Profits Set to Rise

EasyJet Soars Despite Strikes: Profits Set to Rise

24 Nov

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Summary

EasyJet anticipates increased annual profits despite summer travel disruptions.
Analysts project profits to reach £650m, up from £610m the prior year.
French air traffic control strikes caused significant unexpected costs for the airline.

EasyJet Soars Despite Strikes: Profits Set to Rise

This week, easyJet is expected to report a significant increase in its annual profits, driven by strong demand during the summer travel season. Analysts forecast profits to reach £650 million for the year ending September, a notable rise from the £610 million reported in the prior year. The company's package holiday division has also demonstrated robust performance.

Despite the positive financial results, easyJet faced considerable challenges, particularly from French air traffic control strikes. These walkouts led to substantial and unexpected costs, forcing the cancellation of 660 flights and impacting finances by £15 million. Further threatened industrial action was averted last month.

While the airline anticipates higher profits, its stock performance has been less encouraging, with shares declining 17 per cent this year. There are also market concerns regarding its potential demotion from the FTSE 100 index in the upcoming December reshuffle, reflecting investor sentiment amidst operational hurdles.