EasyJet narrows forecast for losses as its fees take off
Shares in easyJet flew up 7.5 per cent after the budget carrier slashed its losses forecast yesterday thanks to good weather, other carriers going bust, and passengers being charged higher fees.
The airline said its revenues will rise 10 per cent in the six months to April, up from an earlier estimate of single-digit growth. That is mainly due to what it calls "ancillary earnings" – in January easyJet replaced its booking fee with a £9 administration charge and made passengers using credit and debit cards pay an extra 2.5 per cent. The carrier also said its de-icing costs had fallen by £18m compared with a year ago.
EasyJet also set out details of a trial of allocated seating. From next month, flights from Luton to Sharm el Sheikh, Malaga, Alicante and Istanbul and from Glasgow to Alicante will have allocated seats. But its chief executive Carolyn McCall said the move would not go ahead if it affected the airline's 25-minute turnaround.
The airline said its pre-tax loss for the six months to April would be £110m-£120m, down from a January forecast of £140m-£160m. Losses are set to widen to £145m in the second half.
The shares rose 34.4p to 495.7p.
- 1 Bill Clinton portrait features Monica Lewinsky reference, artist admits
- 2 What happens to your body when you give up sugar?
- 3 Delhi bus rapist blames dead victim for attack because 'girls are responsible for rape'
- 4 Have sex with your iPad thanks to the new sex toy no-one asked for
- 5 Average penis size revealed: Scientists attempt to find what is 'normal' to reassure concerned men
Bill Clinton portrait features Monica Lewinsky reference, artist admits
Japanese island overrun with cats after population explodes
China's 'Inconvenient Truth': video exposing country’s smog crisis watched 100 million times
Delhi bus rapist blames dead victim for attack because 'girls are responsible for rape'
The 'sex selfie stick' lets you FaceTime the inside of a vagina
New theory could prove how life began and disprove God
'Jihadi John': CAGE representative storms off Sky News accusing Kay Burley of Islamophobia
This is what it's like to be dead, according to a guy who died for a bit
Durham Free School: 'Creationism taught at' free school facing closure
Ukip would cut billions from Scottish budget to fund English tax cuts
Nearly 100,000 of Britain's poorest children go hungry after parents' benefits are cut
iJobs Money & Business
£15000 - £18000 per annum: Recruitment Genius: This is a great opportunity for...
£50000 - £60000 per annum + Excellent Salary: Austen Lloyd: An outstanding new...
£20000 - £21000 per annum + uncapped commission: SThree: As a graduate you are...
£25000 - £30000 per annum + benefits: Ashdown Group: A global leader operating...