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EasyJet trims loss, remains upbeat despite war impact

British airline EasyJet said Wednesday that it trimmed first-quarter losses and expressed optimism despite news of a £40 million ($51 million) hit from the impact of the Israel-Hamas war. Losses after taxation stood at £126 million in the three months to December, down from £132 million for the same period a year earlier, it said in a results statement. EasyJet added that it expects to narrow losses in its first half, or six months to March, despite taking “a direct impact of £40 million, and further indirect impacts, from the conflict in the Middle East”. Many airlines tend to post losses over the period because it covers the winter months, when demand is traditionally weak. EasyJet added Wednesday that revenue jumped 22 percent to £1.8 billion in the first quarter, boosted by rising passenger numbers and higher ticket prices. “EasyJet’s financial performance in the first quarter showed year-on-year improvement,” the low-cost carrier said citing also falling jet fuel costs. “The onset of conflict in the Middle East on 7 October had short term impacts from a pause in flights to Israel and Jordan, which currently remains in place, and a temporary slowdown in flight bookings for the wider industry. “Demand and bookings have recovered strongly from late November.” EasyJet had warned in November that its winter results would be dented by the impact of war in the Middle East.

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