Achi news desk-
easyJet is putting thousands of Scottish flights on sale
Almost 30 years on from that first Luton-Glasgow flight, easyJet claims to be Europe’s largest airline – and Scotland’s largest airline – and has moved from a fly-only model to become a key player in the package holiday sector through its EasyJet Holidays branch.
Launched back in 2019, easyJet Holidays’ growth was hampered by Covid but is now on strong growth as holidaymakers seek a break from the cost of living crisis and prioritize travel for discretionary spending – choosing cost airlines low and brands that provide good value. for money.
The low-cost carrier’s strategy of allocating aircraft to the most profitable routes based on demand and generating further revenue from ancillary products such as checked bags and seat assignments has clearly benefited easyJet. And today’s news that easyJet is confident that demand for travel will remain strong this summer despite higher fuel costs and recording heavy winter losses, the second worst since it was founded in 1995, has been welcomed by analysts.
easyJet is suspending flights to Israel until October
John Moore, senior investment manager at RBC Brewin Dolphin, noted that “overall, easyJet is well capitalised, efficient, and growing through additional services such as its easyJet Holidays business”.
He added: “EasyJet has reduced losses for this half of the year, which is generally slower due to the seasonal nature of travel. The airline has continued on its positive course over the past 18 months, boosted by strong holiday demand, while geopolitical tension in the Middle East should have limited impact. ”
The Luton-based budget carrier earlier this week suspended flights to Tel Aviv for the next six months following Iran’s missile and drone attack against Israel at the weekend. Despite this, its winter losses fell by at least £50 million and it said it expected pre-tax losses of between £340 and £360 for the six months to the end of March, traditionally a loss-making period for the airline industry.
High demand for holidays sees easyJet’s profits rise
In a trading update ahead of its half-year results, easyJet attributed the improvement in its “seasonal” losses in the first half to “targeted capacity growth where demand was strongest, alongside productivity and utilization benefits which enabled costs pre-fuel unit to stay flat. year after year. Meanwhile, the low-cost airline’s first-half profits were boosted by an early Easter.
Johan Lundgren, CEO of easyJet, said: “The importance consumers place on travel combined with the trusted easyJet brand has driven good demand for our flights and holidays. Our growth and focus on productivity has reduced winter losses by more than £50m.”
Noting that the airline had “further enhanced our network with the launch of new hubs in Alicante and Birmingham providing more choice for consumers across Europe”, he added: “We are in a good operational position for this summer season where we expect EasyJet being one. of the fastest growing major airlines in Europe and taking more customers on easyJet holidays than ever before.”
