EasyJet sees sales picking up from late MayEuropost
The budget carrier EasyJet announced it expected to return to strong sales by end-May as Covid restrictions ease in most countries and vaccination rollout in Europe gains speed, Reuters reported. The carrier emphasized a jump in sales due to summer travel rebound is vital to offset losses caused by the pandemic grounding of EasyJet’s fleet. It elaborated that in its April to end of June quarter it would fly up to 20% of 2019 capacity levels.
The return to flying at scale will help boost the airline’s finances which have been squeezed during the pandemic. It flew just 14% of 2019 capacity in the October to end of March period.
For the six months ended in March, the airline said it expected to report a loss before tax in the range of 690 million pounds to 730 million pounds, after it made stronger cost reductions than analysts had forecasted. EasyJet said it has 2.9 billion pounds of liquidity and was well-positioned to capitalise on a recovery in flying. “We maintain significant flexibility to ramp capacity up or down quickly depending upon the unwinding of travel restrictions and expected demand across our European network,” said EasyJet in its statement. Uncertainty remains about when travel can properly resume. The UK government’s plan for kicking off a summer getaway season disappointed the industry last week after it failed to include a start date for travel or list which countries which would be open for travel.