EasyJet raises profits guidance
British budget airline easyJet today said its profits were set to beat expectations after its new strategy, which includes appealing to more business passengers, started to bear fruit.
The airline said it has now sold 75% of its seats for the key summer season and expects full-year pre-tax profits of between £200 million and £230 million. Analysts had been expecting an average of £179 million.
Revenues in the three months to the end of June increased 23% to £935 million after it increased its number of flights and ancillary revenues, which include charges to check-in bags, rose 17% per seat to £11.65.
The airline said the number of passengers flying on business increased 20% in the quarter.
It follows the launch of its new flexible fare targeted at business travellers that gives passengers the option of changing their flight up to two hours before the scheduled departure time as it looks to diversify its offer away from the budget end of the tourist market.
