Budget airline EasyJet (LON:EZJ) narrowed their losses in the first half of the year, sending shares up nearly 3 percent in early morning trading.
In the six months to the end of March EasyJet reported a total loss before tax of £68 million, a large improvement on the £236 million in the first six months of 2017. The continuing loss was mainly due costs associated with the expansion of operations at Berlin’s Tegel airport.
Headline cost per seat excluding fuel rose by 2.2 percent to £43.11, up by 1.6 percent at constant currency. The group’s figure was influenced by increased loads, inflationary costs and the hit from severe weather.
Revenue per seat trend is expected to be slightly positive in the second half of the year, rising 10.9 percent to £54.10 in the first half of the year. Full-year profits to be between £530 million and £580 million.
“Total revenue was above £2bn for the first time, up almost 20 per cent year on year. This was driven by a record number of passengers at 37 million and our highest ever ancillary sales due to giving passengers more options and lower prices on hold luggage along with our improved inflight bistro,” said Johan Lundgren, easyJet Chief Executive.
Shares in easyJet are currently trading up 2.88 percent at 1,753.00 (0925GMT).
