EasyJet reports £40m hit from Israel-Hamas war
The airline recorded a loss before tax of £126 million between October and December last year, down from £133 million during the same period in 2022
EasyJet said it reduced its losses in the final three months of 2023 despite suffering a £40 million hit from the Hamas-Israel conflict.
The airline recorded a loss before tax of £126 million between October and December last year, down from £133 million during the same period in 2022.
Passenger numbers increased by 14 per cent year on year.
The airline said it expects to suffer a “direct impact of £40 million” in the six months to the end of March due to the war between Israel and Hamas.
This relates to the suspension in flights to Israel and Jordan, alongside a softening of demand for trips to Egypt.
EasyJet chief executive Johan Lundgren said the airline saw a “significant dampening in bookings for a period” but demand “picked up very strongly” from late November.
He also indicated that summer airfares across the sector could face upwards pressure as flight capacity “will probably be tight because of the challenges that some of our competitors have to get their aircraft”.
Delivery delays by aircraft manufacturer Boeing – which does not supply easyJet – are affecting carriers such as Ryanair.
EasyJet was among the airlines which diverted some flights far away from planned destinations on Sunday night due to Storm Isha.
This included a flight from Edinburgh to Bristol which landed in Paris.
Mr Lundgren said: “At certain points throughout the evening there were no options for diversions other than Paris.
“It is obviously inconvenient to say the least for customers who were on domestic flights, but there were relatively few.
“I must say that in the end we prioritise safety so we stand by the captains’ and the pilots’ decisions to do what is safe in those circumstances.”
He added: “I can only apologise but we can’t do anything about the weather.”
In relation to the airline’s financial results for the quarter and future demand, Mr Lundgren 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 holiday 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.”
The airline heralded the success of its ongoing sale launched on 21 December.
At peak booking periods, it sold enough flight tickets to fill the equivalent of two planes per minute.
The airline announced it has reached a deal with CFM to supply 314 Leap-1A engines to power the 157 Airbus aircraft in the A320neo range it has a firm order for, as well as spare engines.
The companies have also agreed pricing for 200 engines for the additional 100 Airbus planes easyJet has purchase rights for.
This continues a long-standing partnership between the airline and the US-based engine manufacturer.
…
Thank you for helping to make Jewish News the leading source of news and opinion for the UK Jewish community. Today we're asking for your invaluable help to continue putting our community first in everything we do.
For as little as £5 a month you can help sustain the vital work we do in celebrating and standing up for Jewish life in Britain.
Jewish News holds our community together and keeps us connected. Like a synagogue, it’s where people turn to feel part of something bigger. It also proudly shows the rest of Britain the vibrancy and rich culture of modern Jewish life.
You can make a quick and easy one-off or monthly contribution of £5, £10, £20 or any other sum you’re comfortable with.
100% of your donation will help us continue celebrating our community, in all its dynamic diversity...
Engaging
Being a community platform means so much more than producing a newspaper and website. One of our proudest roles is media partnering with our invaluable charities to amplify the outstanding work they do to help us all.
Celebrating
There’s no shortage of oys in the world but Jewish News takes every opportunity to celebrate the joys too, through projects like Night of Heroes, 40 Under 40 and other compelling countdowns that make the community kvell with pride.
Pioneering
In the first collaboration between media outlets from different faiths, Jewish News worked with British Muslim TV and Church Times to produce a list of young activists leading the way on interfaith understanding.
Campaigning
Royal Mail issued a stamp honouring Holocaust hero Sir Nicholas Winton after a Jewish News campaign attracted more than 100,000 backers. Jewish Newsalso produces special editions of the paper highlighting pressing issues including mental health and Holocaust remembrance.
Easy access
In an age when news is readily accessible, Jewish News provides high-quality content free online and offline, removing any financial barriers to connecting people.
Voice of our community to wider society
The Jewish News team regularly appears on TV, radio and on the pages of the national press to comment on stories about the Jewish community. Easy access to the paper on the streets of London also means Jewish News provides an invaluable window into the community for the country at large.
We hope you agree all this is worth preserving.