Jet2 plc (LSE:JET2) reported a stable performance for the year to 31 March 2026, with expected operating profit in the range of £435 million to £440 million, broadly in line with the prior year. Results were achieved despite approximately £11 million in start-up and promotional costs related to the launch of its new base at London Gatwick. The company continues to benefit from a strong balance sheet, holding around £2.0 billion in net cash alongside significant liquidity.
Jet2’s business model remains centred on its integrated leisure offering through Jet2holidays and Jet2.com, with more than 80% of revenue generated from ATOL-protected package holidays. These packages primarily serve destinations across the Mediterranean, Canary Islands, and Europe, with most customers choosing full holiday packages rather than flight-only bookings.
Looking ahead, the company plans to increase capacity for Summer 2026 by 7.7% compared with the previous year, supported by solid booking momentum. A high level of fuel hedging provides cost visibility, while the recently launched Gatwick base is performing ahead of expectations. However, management noted that geopolitical uncertainty in the Middle East is influencing booking patterns, with customers booking closer to departure, reducing visibility for the peak travel season.
Jet2 continues to emphasise its customer-focused, end-to-end model as a key competitive advantage, alongside investment in a more fuel-efficient fleet of Airbus A321neo aircraft. Its expanding UK network now places over 90% of the population within a 90-minute drive of a Jet2 base, supporting long-term growth ambitions. While strong financial performance, strategic expansion, and relatively attractive valuation underpin the investment case, some concerns remain around cash flow dynamics and rising operating costs.
More about Jet2 PLC
Jet2 plc is a UK-based leisure travel group that combines Jet2holidays, a leading provider of ATOL-protected package holidays, with Jet2.com, one of the UK’s largest airlines by passenger numbers. The group operates from 14 airport bases across the UK, including Manchester, Birmingham, and London Gatwick, and focuses primarily on delivering integrated holiday packages rather than standalone flight services.
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