easyJet braced for more intense competition driving down fares amid low fuel costs
EASYJET hit turbulence yesterday as it braced itself for more intense competition driving down fares.
easyJet braced itself for more intense competition driving down fares
The budget airline raised its profit forecasts for this year from £375 million to between £380 million and £420 million after strong Easter trading fuelled a 16 per cent rise in third-quarter revenue to nearly £1.4billion.
EasyJet carried 22.3 million passengers, up 10.8 per cent on the previous year, while its aircraft flew with 93.1 per cent capacity.
easyJet chief executive, Dame Carolyn McCall
Storm clouds are gathering as low fuel costs encourage rivals to offer more seats to the Mediterranean and across Europe.
Our progress this year has enabled us to upgrade this year's [pre-tax profit] forecast
Outgoing easyJet chief executive, Dame Carolyn McCall, who takes charge of ITV in January, said: "Our purposeful and disciplined growth continues to strengthen our market positions and we are seeing an underlying improving revenue trend.
"Our continuing product and digital innovation is generating revenue growth.
"Our underlying cost control is strong, while our investment in resilience is delivering results in our operational performance.
easyJet raised its profit forecasts for this year from £375m to between £380m and £420m
easyJet release guide to HILARIOUS hand signals
"Although we expect capacity to continue to put pressure on yields, our progress this year has enabled us to upgrade this year's [pre-tax profit] forecast and demonstrates that after a difficult 18 months of external challenges EasyJet once again has positive momentum."
Shares fell 84p to 1334p.