Tag: EZJ

easyJet Plc (LON:EZJ) has announced its trading update for the quarter ended 31 December 2024.

easyJet improves Q1 performance by 52% YoY

·    Q1 headline loss before tax £61 million, an improvement of £65 million YoY 

o  Passenger growth +7% YoY

o  ASK Capacity +11% YoY, with a sector length increase of 6% YoY

o  RASK flat YoY, in line with guidance

o  CASK ex fuel flat YoY, Fuel CASK reduced by 13% YoY driving total CASK down 4% YoY

o  easyJet holidays delivered £43 million profit, +£12 million YoY

·    H1 underlying winter losses expected to reduce when adjusted for the timing of Easter and a prior year release of aged balances   

o  H1 ASK Capacity +12% YoY (Q2 ASKs +14% YoY)

o  Headline result impacted by Easter timing and a one off prior year release of aged balances. Q2 underlying unit revenue trends are modestly lower than Q1 due to our capacity investment on longer leisure flows. These are driving productivity and utilisation benefits this winter with route maturity benefits expected next winter and beyond

o  Expect H1 headline CASK ex fuel to slightly reduce YoY

o  Expect H1’25 fuel CASK to reduce by c.8% YoY, when factoring in current fuel spot price

·    Positive outlook for FY25, consistent with consensus¹, and on track to achieve medium term target of >£1bn PBT

o  Expect FY25 ASK growth of c. 8% YoY

o  easyJet holidays expects c.25% customer growth YoY

o  Forward bookings; Q2 57% sold, +2ppts YoY; Q3 26% sold, +2ppts YoY; Q4 13% sold, +1ppt YoY

Overview

easyJet’s first quarter result significantly improved as demand for our primary airport network and package holidays continued, alongside cost control and favourable fuel prices. Six new A320neo family aircraft were delivered and taken into ownership in the quarter, a seventh aircraft was delivered in January and another two are expected to be operational by peak summer.

This winter’s underlying result will reflect Q1 improvements, partially offset by Q2 underlying unit revenue trends being modestly lower than Q1, as capacity investments (Q2 ASKs +14% YoY) are naturally requiring stimulation while driving productivity and utilisation benefits this winter with route maturity benefits expected next winter and beyond.

The traditionally busy Easter period is seeing strong demand and bookings continue to build for Summer 2025. At this early stage of the year, the current booking trends are supportive of FY25 consensus¹. We remain focused and confident in the progress towards our medium term target of sustainably generating over £1 billion of profit before tax.

Kenton Jarvis, CEO of easyJet, commenting on the results said:

“easyJet performed well in the quarter reducing Q1 losses by 52% year on year while flying 7% more customers to an even greater choice of destinations across the network. easyJet holidays continued its growth, achieving around a 40% increase in profits during the period.

“Looking to this summer, we have seen continuing demand for easyJet’s flights and holidays where we have one million more customers already booked, with firm favourites like Palma, Faro and Alicante as well as new destinations like Tunisia and Cairo proving popular. All of this demonstrates positive progress towards our medium term target to deliver more than one billion pounds of profit before tax.”

Sustainability

We are the best ESG rated European airline from Sustainalytics (score of 21.4). We hold a best in class rating from CDP (A-) and MSCI (AA rating), and we also retain our position in FTSE4Good for a second year running. The efficiencies which we have ahead of us will only strengthen our position.

In the first quarter of FY25 easyJet signed a Memorandum of Understanding (MOU) and a Letter of Intent with Enlive and Moeve for the supply of sustainable aviation fuel (SAF) covering material requirements in Italy and Spain over the next 5 years, as we continue to drive progress on our net zero roadmap. In addition, we have signed a tri-party MoU with Renavia and World Fuel Services giving easyJet access to material volumes of advanced Bio and eSAF from 2030.

Outlook

·    At this early stage of the year, current booking trends are supportive of FY25 consensus¹.

·    H1 underlying winter losses expected to reduce when adjusted for the timing of Easter and a prior year release of aged balances.

–      Easter moving into Q3’25 (c.£30m) and the prior year release of aged balances (c.£34m). These combined are worth c.4ppts of RASK reduction YoY in Q2.

·    Forward bookings; Q2 57% sold, +2ppts YoY; Q3 26% sold, +2ppts YoY; Q4 13% sold, +1ppt YoY

·    H1’25 total CASK to reduce YoY

·    easyJet holidays expects c.25% customer growth YoY

–      Bookings; H1’25 is 93% sold & H2’25 is 45% sold

·    Expect ASK capacity growth of c.8% in FY25

–      FY25 Seat capacity growth expected to be c.3% YoY to c.103 million seats (H1 c.45 million, H2 c.58 million)

YoY growth	ASK’s	Sector length	Seats
H1’25	+12%	+6%	+6%
H2’25	+5%	+5%	+1%
FY25	+8%	+5%	+3%

Fuel & FX Hedging

Jet Fuel	H1’25	H2’25	H1’26		USD	H1’25	H2’25	H1’26
Hedged position	82%	64%	32%		Hedged position	76%	61%	34%
Average hedged rate ($/MT)	807	770	755		Average hedged rate (USD/GBP)	1.26	1.27	1.28
Current spot ($/MT) at 20.01.25	c.795				Current spot (USD/GBP) at 20.01.25	c.1.22

Capacity

During Q1 easyJet flew 24.1 million seats. In the same period last year easyJet flew 23.0 million seats. Load factor was 88% (Q1 FY24: 86%).

Passenger numbers in the quarter increased to 21.2 million (Q1 FY24: 19.8 million).

	October 2024	November 2024	December 2024	Q1FY25	Q1FY24
Number of flights	54,024	35,723	43,349	133,096	128,272
Peak operating aircraft	324	322	293	324	317
Passengers  (thousand)	8,554	5,796	6,886	21,236	19,842
Seats flown (thousand)	9,704	6,491	7,877	24,072	22,994
Load factor	88.1%	89.3%	87.4%	88.2%	86.3%

Financial Summary

	Q1’25	Q1’24	Variance favourable/ (adverse)
Passenger revenue (£’m)	1,255	1,133	11%
Airline ancillary revenue (£’m)	535	486	10%
Holidays revenue2 (£’m)	247	181	36%
Group revenue (£’m)	2,037	1,800	13%
Fuel costs (£’m)	(500)	(516)	3%
Airline headline EBITDA costs ex fuel (£’m)	(1,182)	(1,057)	(12)%
Holidays EBITDA costs2 (£’m)	(207)	(153)	(35)%
Group headline EBITDA costs (£’m)	(1,889)	(1,726)	(9)%
Group headline EBITDA (£’m)	148	74	100%
Airline depreciation & amortisation (£’m)	(185)	(189)	2%
Holidays depreciation & amortisation2 (£’m)	(3)	(2)	(50)%
Group headline LBIT (£’m)	(40)	(117)	66%
Airline financing costs excluding balance sheet revaluations (£’m)	(19)	(10)	(90)%
Holidays financing costs (£’m)	6	5	20%
Balance sheet revaluations (£’m)	(8)	(4)	(100)%
Group headline LBT (£’m)	(61)	(126)	52%
Airline passenger RASK (p)	4.16	4.16	0%
Airline ancillary RASK (p)	1.77	1.79	(1)%
Total airline RASK (p)	5.93	5.95	0%
Total airline revenue per seat (£)	74.36	70.39	6%
Airline headline CASK ex fuel (p)	(4.61)	(4.63)	0%
Airline Fuel CASK (p)	(1.66)	(1.90)	13%
Airline total headline CASK (p)	(6.27)	(6.53)	4%
Airline total headline cost per seat (£)	(78.70)	(77.22)	(2)%
Sector length (km)	1,255	1,182	6%
Available seat kilometres (ASK) (millions)	30,213	27,190	11%
Cash and other cash investments (£’bn)	2.8	1.9	47%
Net cash/ (debt) (£’m) *	(484)	(485)	0%

* Net debt is flat year on year due to the final delivery payments for the 22 aircraft delivered in the last 12 months (six in the current quarter) and pre-delivery payments for the future ramp up in aircraft deliveries.

1) Internally compiled consensus for FY25 Headline PBT is £709 million as at 22 January 2025.

2) easyJet holidays numbers include elimination of intercompany airline transactions

easyJet plc (LON:EZJ) has announced that Moni Mannings OBE, Non-Executive Director and Chair of the Remuneration Committee, has informed the Board that she will not be seeking re-election at the Company’s next AGM, being held on 13 February 2025, to allow more time for her other commitments. Sue Clark, Senior Independent Director, will succeed Moni as Chair of the Remuneration Committee at the conclusion of the AGM.

The Board is also pleased to announce that Julie Chakraverty will join the Board as a Non-Executive Director and a member of the Finance and Safety & Operational Readiness Committees with effect from 27 January 2025.

Julie is currently Senior Independent Director at NCC Group plc and a Non-Executive Director of AJ Bell plc and Starling Bank Limited. She brings 30 years of financial services and technology leadership experience, having served on the boards of listed global banks, insurers, and investment companies, whilst successfully founding Rungway Limited, an employee engagement and mentoring platform. During her executive career, Julie worked at JP Morgan Chase and held several global leadership positions at UBS Investment Bank, where she created an award winning portfolio risk management platform. Julie previously served as Senior Independent Director and Risk Committee Chair at Aberdeen Asset Management plc (now abrdn plc) and as a Non-Executive Director of Santander UK plc, Amlin plc, and Spirit Pub Company plc (now Greene King). 

Sir Stephen Hester, Chair of easyJet, commented:

“I would like to thank Moni for her significant contribution to the Board during her tenure, and on behalf of the Board wish her well for the future.

I am also very pleased to welcome Julie to easyJet. Her strong financial services and technology leadership experience will be valuable as we continue to focus on driving long-term shareholder value. I look forward to her joining the Board.”

Notes:

• The Nominations Committee led the recruitment process for Julie Chakraverty on behalf of the Board. 
• For the purpose of UK Listing Rule 6.4.8, Julie Chakraverty serves as a director of NCC Group plc and AJ Bell plc. There is no further information to be disclosed pursuant to UK Listing Rule 6.4.8.

easyJet plc (LON:EZJ) has announced its results for the twelve months ending 30 September 2024.

easyJet improves annual profits by 34%, achieving £610 million PBT, following another record summer

·    Strong progress towards medium term targets

–      FY24 headline profit before tax of £610 million, +£155 million YoY (Reported PBT £602 million)

–      easyJet holidays recorded £190 million profit before tax, +56% YoY

–      ROCE of 16% in FY24, +3ppts YoY, strong progress towards target of high-teen ROCE

–      Group headline PBT per seat +24% YoY, achieving £6.08 per seat, a positive step towards our £7-10 target

·    Record H2 headline profit before tax of £960m, +£94m YoY

–      H2 Passenger growth +7% YoY

–      H2 RPS +1% YoY, (Q4 RPS +1% in line with guidance)

o  H2 RASK reduced 1% YoY

–      Headline H2 CPS ex fuel increased 2% (in line with guidance) & H2 fuel CPS reduced 2% YoY

o  H2 Headline CASK ex fuel increased 1% YoY, total CASK reduced 1% YoY

–      Holidays H2 profit increased +42% YoY

·    Positive outlook for FY25

–      Expect FY25 capacity of c.103m seats, an increase of 3%

o  ASK capacity growth of c.8% driven by average sector length increase of c.5%

–      Expect to reduce winter losses with a significant improvement in Q1, with Q2 impacted by the timing of Easter.

o  H1’25 ASK capacity +12% driven by average sector length growth of c.6%

o  Q1’25 RASK expected to be broadly flat

o  H1’25 headline CASK ex fuel expected to slightly reduce YoY

o  H1’25 fuel CASK is expected to reduce by c.10%

–      easyJet holidays customers planned to grow by c.25% in FY25, from a base of 2.6m customers

·    Proposed dividend: 20% of FY24 headline PAT payable in early 2025

·    Continued confidence in execution of >£1bn PBT in medium-term

Johan Lundgren, easyJet’s CEO, said:

“This strong performance – resulting in a 34% increase in our annual profits – reflects the effectiveness and execution of our strategy as well as continued popularity of our flights and holidays. It also represents a significant step towards our goal of sustainably generating over £1 billion annual profit before tax.

“It has been a privilege to lead easyJet for the past seven years. I am extremely proud of all that has been achieved, which is a result of the hard work of the entire team. I am pleased to be leaving a strong easyJet, the future for the company is bright and I look forward to seeing Kenton delivering his ambitious plans, generating positive shareholder returns while making low-cost travel easy for millions of customers.”

Kenton Jarvis, easyJet’s CFO and CEO designate, said:

“The outlook for easyJet is positive and travel remains a firm priority with consumers who value our low fares, unrivalled network and friendly service. The airline will continue to grow, particularly on popular longer leisure routes like North Africa and the Canaries and we plan to take 25% more customers away on package holidays, as easyJet holidays continues to thrive. I am looking forward to taking over the controls of this fantastic business in the new year and we still have a lot to go for as we progress towards our ambitious targets.”  

Overview

The execution of our strategic initiatives has seen easyJet deliver strong earnings growth with headline profit before tax of £610 million, a 34% increase year-on-year. The airline reduced winter losses by £40 million through a combination of productivity and utilisation benefits. 16 new A320neo family aircraft were delivered in the year moving the average gauge from 179 to 181, driving cost efficiencies of c.£25 million. easyJet holidays achieved a PBT of £190 million driven by a growth in customer numbers of 36%. Overall this has resulted in achieving a ROCE of 16% in FY24, a strong improvement from the 13% in FY23. These results represent a positive momentum towards our target to sustainably generate over £1 billion profit before tax.

Shareholder returns

The Board is recommending an ordinary dividend of 12.1 pence per share (2023: 4.5 pence), amounting to £92 million (2023: £34 million) subject to shareholder approval at the upcoming Annual General Meeting. This will be paid on 21 March 2025 to those shareholders on the register at the close of business on 21 February 2025. This represents 20% of the headline profit after tax.

The Board is committed to maintaining regular returns to shareholders through this ordinary dividend. Future returns of excess capital will continue to be assessed, taking into account market conditions, capex requirements and progress towards the Group’s medium-term targets. The Board remains focussed on delivering attractive returns on capital employed for shareholders.

ESG

We are the best ESG rated European airline from Sustainalytics (score of 21.4) and MSCI (AA rating). We hold a best in class rating from CDP (A-) and we also retained our position in FTSE4Good for a second year running. The efficiencies which we have ahead of us will only strengthen this position.

Capacity

During Q4 easyJet flew 30.0 million seats, a 5% increase on the same period last year when easyJet flew 28.6 million seats. Load factor was 92% (Q4 FY23: 92%). Passenger numbers in the quarter increased to 27.7 million (Q4 FY23: 26.2 million).

Capacity for the full year increased by 8% to 100.4 million seats. In the year easyJet has flown 6.9 million more passengers than in FY23.

	July2024	Aug 2024	Sept2024	Q4FY24	Q4FY23	FY24	FY23
Number of flights	55,915	56,265	54,807	166,987	160,445	558,960	519,426
Peak operating aircraft	333	333	333	333	319	333	319
Passengers (thousand)	9,380	9,457	8,842	27,679	26,188	89,684	82,754
Seats flown (thousand)	10,048	10,117	9,842	30,007	28,591	100,448	92,619
Load factor	93.4%	93.5%	89.8%	92.2%	91.6%	89.3%	89.3%

	Q4’24	Q4’23		FY24	FY23	Changefavourable/(adverse)
Passenger revenue (£’m)	2,068	1,970		5,715	5,221	9%
Airline ancillary revenue (£’m)	851	786		2,457	2,174	13%
Holidays revenue1 (£’m)	490	366		1,137	776	47%
Group revenue (£’m)	3,409	3,122		9,309	8,171	14%
Fuel costs (£’m)	(684)	(675)		(2,223)	(2,033)	(9)%
Airline headline EBITDA costs ex fuel (£’m)	(1,385)	(1,314)		(4,754)	(4,347)	(9)%
Holidays EBITDA costs1 (£’m)	(411)	(306)		(965)	(661)	(46)%
Group headline EBITDA costs (£’m)	(2,480)	(2,295)		(7,942)	(7,041)	(13)%
Group headline EBITDA (£’m)	929	827		1,367	1,130	21%
Airline depreciation & amortisation (£’m)	(225)	(159)		(762)	(649)	(17)%
Holidays depreciation & amortisation (£’m)	(2)	(2)		(8)	(5)	(60)%
Group headline EBIT (£’m)	702	666		597	476	25%
Airline financing costs excluding balance sheet revaluations (£’m)	8	2		(15)	(59)	75%
Holidays financing costs (£’m)	9	5		26	12	117%
Airline balance sheet revaluations (£’m)	5	(10)		2	26	(92)%
Group headline PBT (£’m)	724	663		610	455	34%
Airline passenger revenue per seat (£)	68.91	68.90		56.90	56.37	1%
Airline ancillary revenue per seat (£)	28.38	27.51		24.45	23.47	4%
Total airline revenue per seat (£)	97.29	96.41		81.35	79.84	2%
Total airline RASK (p)	7.61	7.67		6.65	6.52	2%
Airline headline cost per seat ex fuel (£)	(53.23)	(51.84)		(55.03)	(54.30)	(1)%
Airline headline CASK ex fuel (p)	(4.16)	(4.12)		(4.50)	(4.44)	(1)%
Airline fuel cost per seat (£)	(22.79)	(23.60)		(22.14)	(21.95)	(1)%
Fuel CASK (p)	(1.78)	(1.88)		(1.81)	(1.79)	(1)%
Airline headline total cost per seat (£)	(76.02)	(75.44)		(77.17)	(76.25)	(1)%
Airline headline total CASK (p)	(5.95)	(6.00)		(6.31)	(6.23)	(1)%
Available seat kilometres (ASK) (millions)	38,355	35,960		122,885	113,334	8%
Average sector length (km)	1,278	1,258		1,223	1,224	0%
Cash and money market deposits (£’bn)				3.5	2.9	21%
Net cash (£’m)				181	41	341%
ROCE				16%	13%	3ppt
Headline earnings per share (p)				61.3	45.4	35%

Outlook

·    Expect to reduce winter losses with a significant improvement in Q1, with Q2 impacted by the timing of Easter and a prior year release of aged balances.

·    Bookings and RASK

–      Q1’25 is 80% sold, +2ppts year on year and we expect RASK to be broadly flat year-on-year.

–      Q2’25 is 26% sold, +2ppts year on year against headwinds from the timing of Easter (moving into Q3’25) and the prior year release of c.£34m aged balances (these two combined are worth c. 4ppts of RASK reduction YoY)

·    H1’25 CASK

–      Headline CASK ex fuel is expected to slightly reduce, due to productivity and utilisation benefits.

–      Fuel CASK is expected to reduce by c. 10% in H1’25

·    Capacity growth expected to be c.3% in FY25.

–      FY25 ASK capacity growth expected to be c.8%

o  Average sector length expected to increase by c.5%

–      H1’25 is expected to have c.45 million seats, +6% year on year

o  ASK capacity growth expected to be c.12%

o  Average sector length will increase by c.6% as we continue to increase capacity into winter sun destinations such as North Africa and the Canary Islands

–      H2’25 is expected to have c.58 million seats, +1% year-on-year

o  ASK capacity growth expected to be c.5%

o  An increase in average sector length of c. 5% is expected

·    easyJet holidays customers planned to grow by c.25% in FY25, from a base of 2.6m customers

–      H1’25 is 82% sold

Fuel & FX Hedging

Jet Fuel	H1’25	H2’25	H1’26		USD	H1’25	H2’25	H1’26
Hedged position	80%	59%	24%		Hedged position	75%	53%	26%
Average hedged rate ($/MT)	808	771	761		Average hedged rate (USD/GBP)	1.26	1.28	1.29
Current spot ($/MT) at 25.11.24	c.740				Current spot (USD/GBP) at 25.11.24	1.26

–      Carbon obligation including free allowances 

o  100% covered for CY24 at €48/MT

o  96% covered for CY25 at €43/MT 

–      USD Lease payments hedged for the next three years at 1.26

–      Capex hedged for the next 12 months in EUR & USD

easyJet plc (LON:EZJ) has announced that Jan De Raeymaeker will be joining the Board as Chief Financial Officer with effect from 20 January 2025, replacing Kenton Jarvis who as previously announced will succeed Johan Lundgren as Chief Executive on 1 January 2025.

Jan De Raeymaeker is currently Chief Financial Officer of Lineas, the largest private rail freight operator in Europe, where he oversees the Finance, Legal and Purchasing teams. Prior to Lineas he was CFO of Brussels Airlines where he played an instrumental role in transforming the company’s finance function whilst achieving a significant growth in passenger numbers as part of the airline’s commercial repositioning. Earlier in his career, Jan held management roles at Arthur D. Little and De Valck Consultants, focusing on business strategy and technology.

Stephen Hester, Chair of easyJet, commented:

“We are delighted to appoint Jan De Raeymaeker as our Chief Financial Officer. Jan has good experience in the airline and transport sectors as well as strong continental European reference points. I look forward to working with Jan and Kenton on the delivery of our ambition to be Europe’s most loved airline, winning for customers, shareholders and our people.”

Kenton Jarvis, Chief Executive Designate, commented:

“I am delighted that Jan will be joining easyJet in January 2025. Jan brings with him a deep knowledge of the transport and airline sector, which we believe will be of significant benefit to easyJet going forward, and his financial and commercial acumen will be critical as we continue to build towards the delivery of our medium term targets and our purpose of making low cost travel easy. I look forward to working closely with him.”

Jan De Raeymaeker commented:

“I am excited to be joining easyJet at this important stage in its growth journey and look forward to working with Stephen, Kenton and the management team.”

easyJet Plc (LON:EZJ) has announced its trading update for the quarter ended 30 June 2024.

·    Q3 headline profit before tax £236 million, +£33 million YoY

o  Passenger growth +8% YoY

o  RPS +1% YoY, in line with guidance

o  easyJet holidays delivers £73 million PBT (Q3’23 £49 million)

o  Headline CPS ex fuel increased 1% YoY, Fuel CPS reduced 1% YoY

§ Headline CASK ex fuel flat YoY, total CASK reduced 1% YoY

·    Positive outlook for FY24

o  Expect FY24 capacity of c.100m seats

o  Q4’24 RPS is expected to continue the trend of Q3’24

o  easyJet holidays is now expected to deliver >£180m PBT (>48% profit growth YoY)

o  Continue to expect H2 headline CPS ex fuel up low single digits YoY

o  H2 fuel CPS expected to be flat YoY

Summary

easyJet’s third quarter profit improved by £33 million year-on-year as demand for easyJet’s primary airport network continues to grow. Airline passenger numbers increased by 8% and RPS increased by 1% year-on-year, with headline CPS ex fuel increasing by 1%. However the 1% increase in average sector length meant that headline CASK ex fuel was flat year-on-year. easyJet holidays continues to perform strongly, growing PBT by 49% to £73 million with passenger growth of 33%.

As at 30 June 2024, our net cash position was £456 million (£146 million as at 31 March 2024). All 16 aircraft, as expected, have been taken into ownership and delivered with the final one received in July.

Bookings for Q4 continue to build, with 69% now sold, +1 ppt year-on-year with 7% more capacity on sale. This means easyJet has currently sold 1.5 million more seats for peak summer compared to the same point in time last year with total yield broadly flat year on year.

Looking to Q1’25, on sale capacity is up c.5% with 20% of the program currently sold, +2 ppts year-on-year.

Johan Lundgren, CEO of easyJet, said:

“Our strong performance in the quarter has been driven by more customers choosing easyJet for our unrivalled network of destinations and value for money. This result was achieved despite Easter falling into March this year, demonstrating the continued importance of travel and this means we remain on track to deliver another record-breaking summer, taking us a step closer to our medium term targets.” 

 Revenue, Cost and Liquidity

Revenue increased by 11% to £2,631 million predominantly due to an increase in passengers of 8%, growth in ancillary revenue per seat and the continued growth of easyJet holidays.

Airline headline cost per seat ex fuel in the quarter increased 1% as disruption costs were much improved year-on-year (a 33% reduction in events) offset by the 1% increase in average sector length as we increased our proportion of longer leisure routes. easyJet continues to expect its H2’24 CPS ex fuel to increase by low single digits although Q4 is expected to increase slightly more than Q3. This is due to the challenging European ATC environment and a one off benefit following the successful completion of airport negotiations in the prior year.

Financing costs benefitted from a decrease in gross debt and a higher interest rate on floating-rate cash deposits. Foreign exchange movements over the period resulted in a non-operational, non-cash FX gain of £2 million from balance sheet revaluations.

	Q3’24	Q3’23	VarianceFavourable / (Adverse)
Passenger revenue (£’m)	1,602	1,501	7%
Airline ancillary revenue (£’m)	693	622	11%
Holidays revenue3 (£’m)	336	237	42%
Group revenue (£’m)	2,631	2,360	11%
Fuel costs (£’m)	(625)	(585)	(7)%
Airline headline EBITDAR costs ex fuel (£’m)	(1,315)	(1,210)	(9)%
Holidays EBITDAR costs3 (£’m)	(268)	(193)	(39)%
Group headline EBITDAR costs (£’m)	(2,208)	(1,988)	(11)%
Group headline EBITDAR (£’m)	423	372	14%
Airline depreciation & amortisation (£’m)	(187)	(170)	(10)%
Holidays depreciation & amortisation (£’m)	(2)	(1)	(100)%
Group headline EBIT (£’m)	234	201	16%
Airline financing costs excluding balance sheet revaluations (£’m)	(7)	(14)	50%
Holidays financing income excluding balance sheet revaluations (£’m)	7	6	17%
Balance sheet revaluations (£’m)	2	10	(80)%
Group headline PBT (£’m)	236	203	16%
Airline passenger revenue per seat (£)	56.95	57.33	(1%)
Airline ancillary revenue per seat (£)	24.66	23.75	4%
Total airline revenue per seat (£)	81.61	81.08	1%
Total airline RASK (p)	6.54	6.58	(1%)
Airline headline cost per seat ex fuel (£)	(53.59)	(52.86)	(1)%
Airline headline CASK ex fuel (p)	(4.29)	(4.29)	0%
Airline fuel cost per seat (£)	(22.23)	(22.35)	1%
Airline headline total cost per seat (£)	(75.82)	(75.21)	(1)%
Sector length (km)	1,248	1,233	1%
Cash and money market deposits (£’bn)	3.7	3.1	19%
Net cash/(debt) (£’m)	456	304	50%

Capacity

During Q3 easyJet flew 28.1 million seats, a 7% increase on the same period last year when easyJet flew 26.2 million seats. Load factor was 90% (Q3 FY23: 90%) with load factor increasing to 92% in June.

Passenger¹ numbers in the quarter increased to 25.3 million (Q3 FY23: 23.5 million).

	April2024	May2024	June2024	Q3FY24	Q3FY23
Number of flights	49,232	54,071	53,184	156,487	146,816
Peak operating aircraft	297	318	330	330	310
Passengers 1 (thousand)	7,849	8,717	8,752	25,318	23,454
Seats flown (thousand)	8,843	9,724	9,555	28,122	26,177
Load factor 2	88.8%	89.7%	91.6%	90.0%	89.6%

Fuel & FX Hedging

Jet Fuel	H1’25	H2’25		USD	H1’25	H2’25
Hedged position	65%	31%		Hedged position	65%	34%
Average hedged rate ($/MT)	830	813		Average hedged rate (USD/GBP)	1.26	1.27
Current spot ($/MT) at 23.07.24	c. 810			Current spot (USD/GBP) at 23.07.24	c.1.29

easyJet fuel hedging is via a mix of swaps and options

External Audit Tender Process

The Audit Committee has recently undertaken a competitive audit tender, with PricewaterhouseCoopers LLP (PwC) unable to continue beyond 2025 for reasons of tenure. The Board have selected Deloitte LLP to succeed PwC as auditor. PwC are expected to complete the audit for the year ending 30 September 2025 before Deloitte LLP’s appointment is put to the 2026 AGM. Further details will be set out in the 2024 Annual Report.

easyJet plc (LON:EZJ) has announced an orderly succession plan for its Chief Executive, Johan Lundgren.

Johan Lundgren will step down as Chief Executive and leave easyJet early in 2025 having then served seven years as CEO. At that time Kenton Jarvis will succeed Johan and become the easyJet CEO. Kenton joined easyJet in February 2021, serving as a Board member and Chief Financial Officer since then. He will continue in the role of CFO during the transition period and a search for his successor will commence shortly.

Sir Stephen Hester, Chair of easyJet, comments:

“We are sad that Johan will retire from easyJet. He has done an excellent job as our CEO since December 2017; steering the company through the immense challenges of the COVID period, and setting up a clear strategy and strong execution plan towards its ambition of “being Europe’s most loved airline, winning for customers, shareholders and our people”. There is good positive momentum and Johan will be with us to close out the current year which we hope will be another one of strong progress. 

“We are also delighted to be able to announce Kenton as our next CEO, allowing an orderly and seamless transition. The appointment was made after a thorough process with a strong internal and external field of candidates. We are focused on executing the medium term plan and related financial targets set out earlier this year and see Kenton as the ideal person to lead our executive team to that end. He has impressed since joining easyJet in 2021, is fully bought in to the plan and will hit the ground running.” 

Johan Lundgren, easyJet CEO, comments:

“I congratulate Kenton on being nominated my successor, it is fully deserved, and I will work closely with him and the whole executive team to achieve this year’s goals and hand over responsibilities smoothly at the end of the year.  There are important things still to accomplish over the balance of the year, but when the time comes I will leave easyJet with a great sense of loyalty and of pride at the progress made and the potential the Company has for the future.”

Kenton Jarvis, CFO, comments:

“I am delighted to have been appointed the next CEO of easyJet and thank the Board and my colleagues for their trust and confidence. I am a huge believer in the future for our airline, which is powered by the talents and enthusiasm of our front line staff. I will be immensely proud to lead our teams to fulfil easyJet’s bright potential.”

easyJet plc (LON:EZJ) has announced its trading update for the six months ended 31 March 2024.

easyJet reduces winter losses by >£50 million year-on-year as demand for our flights and holidays continues to build well for summer

• Strong revenue performance in Q2
  • Passengers¹ +8% YoY
  • RPS +8% YoY- ahead of mid-single digit guidance
    • Load factor -1ppt YoY
    • Ticket yield +9% YoY
    • Ancillary yield +10% YoY
• Winter FY24 loss reduced by >£50 million YoY
  • H1 RPS +5% YoY
  • H1 CPS ex fuel flat YoY – in line with guidance
  • easyJet holidays c. £31 million PBT, +206% YoY
  • Headline loss before tax expected to be £340 – £360 million
• Capacity growth on track
  • H2’24 c.59m seats on sale, c.8% increase YoY
    • Q3 Capacity on sale c.28m, c.8% increase YoY
    • Q4 Capacity on sale c.31m, c.7% increase YoY
• Positive outlook for FY24
  • Q3 Airline RPS expected to be slightly up YoY, with the Easter peak falling into March
  • Q4 Airline RPS remains well ahead YoY with c. 30% of the program sold
  • Continue to expect H2 CPS ex fuel to be up low single digits YoY
  • easyJet holidays continues to expect >35% customer growth YoY in FY24

Summary

easyJet has reduced its first half “seasonal” losses, with headline loss before tax expected to be between £340 and £360 million. This improvement was driven by targeted capacity growth where demand was strongest, alongside productivity and utilisation benefits which enabled ex-fuel unit costs to remain flat year-on-year. The result was achieved despite headwinds from fuel cost (per seat inflation of +6%) and the conflict in the Middle East which resulted in a direct impact² of c. £40 million in H1’24. Flying into Israel has now been suspended for the summer with this limited capacity (c.0.3% of planned summer flying) being redeployed across the network. We continue to drive growth at easyJet holidays, with £31 million of profit before tax (+206% compared to H1’23) and 42% customer growth year-on-year.

Easter demand was particularly strong, benefitting March due to its early timing. Operational performance was good with peak daily flights broadly in line with summer levels. On-Time Performance (OTP) over Easter improved year-on-year as a result of easyJet’s targeted resilience actions.

Bookings for summer 2024 continue to build well, with an increase in volume and pricing compared to the same period last year, underpinned by strong demand for easyJet’s primary airport network. Q3’24 currently has c. 60% of the program sold, +1ppt and Q4’24 is c. 30% sold, +2 ppts year-on-year. easyJet holidays has currently sold 70% of the plan for this summer.

Johan Lundgren, CEO of easyJet, said:

“The importance that consumers place on travel coupled with easyJet’s trusted brand has driven good demand for our flights and holidays. Our growth and focus on productivity have reduced winter losses by more than £50 million. 

“We have further enhanced our network with the launch of new bases in Alicante and Birmingham providing greater choice for consumers across Europe.

“We are well set up operationally for this summer season where we expect easyJet to be one of the fastest growing major airlines in Europe and take more customers on easyJet holidays than ever before.”

Fuel & FX Hedging

Jet Fuel	H2’24	H1’25		USD	H2’24	H1’25
Hedged position	69%	43%		Hedged position	70%	46%
Average hedged rate ($/MT)	$822	$825		Average hedged rate (USD/GBP)	1.25	1.25
Current spot ($/MT) at 17.04.23	c. $865			Current spot (USD/GBP) at 17.04.23	c. 1.25

Capacity

During Q2 easyJet flew 19.3 million seats, in line with guidance, a 9% increase on the same period last year when easyJet flew 17.7 million seats. Load factor was 87% (Q2 FY23: 88%).

Passenger¹ numbers in the quarter increased to 16.8 million (Q2 FY23: 15.6 million).

	January 2024	February 2024	March2024	Q2FY24	Q2FY23
Number of flights	27,756	36,630	42,828	107,214	99,273
Peak operating aircraft	275	278	297	297	267
Passengers1 (thousand)	4,216	5,767	6,861	16,844	15,631
Seats flown (thousand)	5,008	6,596	7,720	19,324	17,692
Load factor 3	84%	87%	89%	87%	88%

Revenue, Cost and Liquidity

Total group revenue and headline costs for the first half are expected to be around £3,270 million and around £3,620 million respectively. Pricing was very strong at the start of the period, with October seeing RPS of +12% year-on-year. However, the onset of the conflict in the Middle East on 7 October resulted in a pause in flights to Israel and Jordan and a temporary slowdown in flight bookings for the wider industry. Demand and bookings recovered strongly from late November with the second quarter seeing RPS of +8% year-on-year, supported in part due to the start of Easter holidays falling into March.

Our focus on increased productivity and utilisation offset inflationary cost pressure, which all airlines and the wider supply chain continue to see. This resulted in non-fuel unit costs being flat year-on-year, as previously guided.

easyJet continues to have one of the strongest investment grade balance sheets in European Aviation (Baa2, stable, by Moody’s and BBB, positive, by Standard & Poor’s). As at 31 March 2024 our net cash position was c.£146 million (31 December 2023 net debt: £485 million). easyJet repaid a €500 million Eurobond which matured in October 2023 and then on 20 March 2024 easyJet issued an €850 million bond with a coupon of 3.750%, maturing in 2031.

Financing costs benefitted from a decrease in gross debt and a rise in the interest rate on floating-rate cash deposits. However, foreign exchange movements over the period resulted in a non-operational, non-cash FX loss of £6 million from balance sheet revaluations.

(£’m)	Low	High
H1 24 Group headline EBITDAR range	5	25
H1 24 Group headline EBIT range	(350)	(330)
H1 24 Group headline loss before tax range	(360)	(340)

H1 24 numbers are circa and rounded to the middle of the range provided above	H1’24	H1’23	VarianceFavourable / (Adverse)
Passenger revenue (£’m)	2,050	1,749	17%
Airline ancillary revenue (£’m)	910	767	19%
Holidays revenue4 (£’m)	310	173	79%
Group revenue (£’m)	3,270	2,689	22%
Fuel costs (£’m)	(915)	(773)	(18%)
Airline headline EBITDAR costs ex fuel (£’m)	(2,055)	(1,824)	(13%)
Holidays EBITDAR costs4 (£’m)	(285)	(161)	(77%)
Group headline EBITDAR costs (£’m)	(3,255)	(2,758)	(18%)
Group headline EBITDAR (£’m)	15	(69)	122%
Airline depreciation & amortisation (£’m)	(352)	(321)	(10%)
Holidays depreciation & amortisation (£’m)	(3)	(2)	(50%)
Group headline EBIT (£’m)	(340)	(392)	13%
Airline financing costs excluding balance sheet revaluations (£’m)	(13)	(46)	72%
Holidays financing costs excluding balance sheet revaluations (£’m)	9	0	n/a
Balance sheet revaluations (£’m)	(6)	27	(122%)
Group headline LBT (£’m)	(350)	(411)	15%
Airline passenger revenue per seat (£)	48.34	46.24	5%
Airline ancillary revenue per seat (£)	21.53	20.22	6%
Total airline revenue per seat (£)	69.87	66.46	5%
Total airline RASK (p)	5.98	5.58	7%
Airline headline cost per seat ex fuel (£)	57.28	57.15	(0%)
Airline headline CASK ex fuel (p)	4.90	4.80	(2)%
Airline fuel cost per seat (£)	21.60	20.43	(6%)
Airline headline total cost per seat (£)	78.88	77.58	(2%)
Sector length (km)	1,168	1,192	(2%)
Cash and money market deposits (£’bn)	3.3	3.5	(6%)
Net cash/(debt) (£’m)	146	(156)	194%

1) Represents the number of earned seats flown. Earned seats include seats which are flown whether or not the passenger turns up, as easyJet is a no refund airline and once a flight has departed, a no-show customer is generally not entitled to change flights or seek a refund. Earned seats also include seats provided for promotional purposes and to staff for business travel.

2) Direct impact of £40 million relates to the lost contribution in H1’24 from pausing flying to Israel and Jordan alongside the demand softness seen in Egypt following the onset of the conflict in the Middle East on 7 October 2023.

3) Represents the number of passengers as a proportion of the number of seats available for passengers. No weighting of the load factor is carried out to recognise the effect of varying flight (or “sector”) lengths.

4) easyJet holidays numbers include elimination of intercompany airline transactions.

easyJet plc (LON:EZJ) has announced its trading update for the quarter ended 31 December 2023.

·    Q1 headline loss before tax £126 million (Q1’23 £133 million loss)

o  Passenger growth +14% YoY

o  RPS +3% YoY

§ Load factor -1ppt YoY

§ Ticket yield +2% YoY

§ Ancillary yield +6% YoY

o  CPS ex fuel reduced 3% YoY

o  easyJet holidays delivered £30 million profit (Q1’23 £13 million profit)

§ Customer growth +48%

·    Winter FY24 improvement:

o  Expect H1 loss to reduce YoY, despite a c.£40 million direct impact¹ from the Middle East conflict

§ Expect Q2 RPS to be up by mid-single digits

§ H1 CPS ex fuel to be broadly flat YoY

·    Remain on track to deliver disciplined capacity growth of c.9% in FY24

o  H1’24 c. 42m seats, +11% YoY

o  H2’24 c. 59m seats², +8% YoY

·    Positive outlook for summer:

o  Strong turn of year bookings with seats sold and yield ahead YoY  

o  H2 RPS remain well ahead YoY

§ Yields and loads both ahead in Q3 & Q4

o  Expect H2 CPS ex fuel to be up low single digits YoY  

o  easyJet holidays continues to expect >35% customer growth YoY in FY24

Summary

easyJet’s financial performance in the first quarter showed year-on-year improvement at a headline level, with underlying progress stronger still. The onset of conflict in the Middle East on 7 October had short term impacts from a pause in flights to Israel and Jordan (which currently remains in place) and a temporary slowdown in flight bookings for the wider industry. Demand and bookings have recovered strongly from late November. easyJet holidays had another strong quarter, with customer numbers increasing by 48% compared to the same period last year, and a profit of £30 million, a 131% increase year-on-year.

easyJet’s seasonal winter loss for the first half of FY24 is also expected to improve year-on-year despite a direct impact¹ of c.£40 million (and further indirect impacts) from the conflict in the Middle East. This improvement comes as a result of disciplined capacity growth where demand is strongest, alongside productivity benefits. easyJet expects cost per seat excluding fuel to remain broadly flat in the first half of 2024, with fuel costs c.7% higher.

Although still early, bookings for summer 2024 are building well, with the turn of the year bookings period showing an increase in both volume and pricing compared to the same period last year. Demand for easyJet’s primary airport network remains strong, with RPS for the second half of FY24 currently well ahead year-on-year. This positive momentum is also evident in the holidays business, where we continue to expect customer growth to exceed 35% year-on-year.  

Johan Lundgren, CEO of easyJet, commenting on the results said:

“We delivered an improved performance in the quarter which is testament to the strength of demand for our brand and network. The popularity of easyJet holidays also continues to grow, with 48% more customers in the period. 

“We see positive booking momentum for summer 2024 with travel remaining a priority for consumers. Flight and holidays bookings took off strongly during the traditional busy turn of year sales period, as customers opted to secure their summer holidays to firm favourites like Spain and Portugal alongside destinations further afield like Greece and Turkey.  

“easyJet remains focused on delivering for our customers in the coming months, while also expecting to deliver continuing performance gains”

Capacity

During Q1 easyJet flew 23.0 million seats. In the same period last year easyJet flew 20.2 million seats. Load factor was 86% (Q1 FY23: 87%).

Passenger⁴ numbers in the quarter increased to 19.8 million (Q1 FY23: 17.5 million).

	October 2023	November 2023	December 2023	Q1FY24	Q1FY23
Number of flights	51,604	34,518	42,150	128,272	112,892
Peak operating aircraft	317	266	277	317	313
Passengers 4 (thousand)	8,066	5,324	6,452	19,842	17,481
Seats flown (thousand)	9,210	6,199	7,585	22,994	20,159
Load factor 5	88%	86%	85%	86%	87%

Fleet

On 19 December 2023, shareholders approved the purchase of 157 Airbus A320neo family aircraft, scheduled for delivery between FY29 and FY34. On 31 December 2023, easyJet finalised an agreement to purchase engines from CFM, securing the company’s long-term strategy of fleet modernisation and disciplined growth. easyJet expects the delivery of 16 aircraft in the current financial year as planned.

Revenue, Cost and Liquidity

Revenue continued to benefit from strong demand for easyJet’s leading network through October where RPS was +12% year on year. However, the onset of the conflict in the Middle East on 7 October had short term impacts from a pause in flights to Israel and Jordan (which currently remains in place) and a temporary slowdown in flight bookings for the wider industry. Demand and bookings have recovered strongly from late November.

The airline’s increased productivity and utilisation led to a 3% year-on-year reduction in non-fuel unit costs. Rising fuel prices resulted in a 15% (£2.92) per seat increase in fuel costs compared to the same period last year.

Financing costs benefitted from a decrease in gross debt and a rise in the interest rate on floating-rate cash. However,  foreign exchange movements over the quarter resulted in a non-operational, non-cash FX loss of £4 million from balance sheet revaluations.

In Q1 of FY24, easyJet repaid a €500 million Eurobond which matured in October 2023.

	Q1’24	Q1’23	Variance
Passenger revenue (£’m)	1,133	975	16%
Airline ancillary revenue (£’m)	486	406	20%
Holidays revenue3 (£’m)	181	93	95%
Group revenue (£’m)	1,800	1,474	22%
Fuel costs (£’m)	(516)	(393)	(31)%
Airline headline EBITDAR costs (£’m)	(1,057)	(959)	(10)%
Holidays EBITDAR costs3 (£’m)	(153)	(80)	(91)%
Group headline EBITDAR costs (£’m)	(1,726)	(1,432)	(21)%
Group headline EBITDAR (£’m)	74	42	76%
Group depreciation & amortisation (£’m)	(191)	(164)	(16)%
Group LBIT (£’m)	(117)	(122)	4%
Financing costs excluding balance sheet revaluations (£’m)	(5)	(24)	79%
Balance sheet FX revaluations (£’m)	(4)	13	(131)%
Group headline LBT (£’m)	(126)	(133)	5%
Airline passenger revenue per seat (£)	49.26	48.35	2%
Airline ancillary revenue per seat (£)	21.13	20.12	5%
Total airline revenue per seat (£)	70.39	68.47	3%
Airline headline cost per seat ex fuel (£)	(54.80)	(56.21)	3%
Airline fuel cost per seat (£)	(22.42)	(19.50)	(15)%
Airline headline total cost per seat (£)	(77.22)	(75.71)	(2)%
Cash and money market deposits (£’bn)	1.9	3.0	(37)%
Net debt (£’bn)	0.5	1.1	55%
Average Sector Length (km)	1,182	1,212	(2)%

Fuel & FX Hedging (as at 31 December 2023)

Jet Fuel	H1’24	H2’24	H1’25		USD	H1’24	H2’24	H1’25
Hedged position	80%	55%	29%		Hedged position	78%	58%	32%
Average hedged rate ($/MT)	866	821	821		Average hedged rate (USD/GBP)	1.22	1.24	1.25
Current spot ($/MT) at 23.01.24	c.895				Current spot (USD/GBP) at 23.01.24	c.1.27