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easyJet expects first half loss of GBP160m

21-Jan-2011 12:49 PM

easyJet revenue up 7.5% - financial/traffic highlights for the three months ended 31-Dec-2010:

  • Revenue: GBP654 million, +7.5% year-on-year;
    • Passenger: GBP521 million, +8.4%;
    • Ancillary*: GBP133 million, +4.8%;
  • Passenger numbers: 11.9 million, +8.8%;
  • Load factor: 86.7%, +0.9 ppt;
  • Total revenue per seat: GBP47.48, stable;
  • Cost per seat excl fuel: -2.9%;
  • Average number of aircraft: 195.6, +6.0%;
  • Average aircraft utilisation: 10.1 hours, +0.6%;
  • Average sector length: 1089, +0.6%;
  • Cash and money market deposits**: GBP1281 million. [more]

*Including checked baggage charge
**Excluding restricted cash

easyJet stated disruptions from ATC strike action cost the carrier GBP6 million while severe weather cost the LCC GBP18 million, resulting in a combined loss contribution of GBP7 million for the carrier in the quarter ended 31-Dec-2010. easyJet is seeking to recover a significant proportion of the loss through additional cost savings and revenue opportunities.

easyJet: “With over 65% of the available first half seats now sold, forward bookings are in line with the prior year.  A slowdown in bookings during the recent severe weather combined with poorer-than-expected performance of checked bags has meant that total revenue per seat on a reported basis is likely to be down a couple of percentage points compared to the first half of last year,” Company statement. Source: easyJet, 20-Jan-2011.

easyJet: “The current market price of jet fuel is USD897 a metric tonne compared to USD681 a metric tonne a year ago and therefore at current jet prices and dollar rates fuel costs are anticipated to be around GBP1.17 a seat higher than in the first half of last year and consequently the usual first half loss is anticipated to be between GBP140 million and GBP160 million, compared to a pre-tax loss of GBP78.7 million in the same period last year,” Company statement. Source: easyJet, 20-Jan-2011.