EasyJet (LSE:EZJ) posted a headline pre-tax loss of £552 million for the six months ended 31 March 2026, as rising fuel prices, inflationary pressures and investment in winter flying capacity weighed on profitability. The airline nevertheless recorded strong underlying demand, with passenger numbers increasing 6% year-on-year and load factor improving to 90%. Its easyJet holidays business continued to perform strongly, generating £61 million in profit alongside 22% growth in customer numbers, while revenue per seat edged higher and customer satisfaction scores improved.
The airline said summer bookings have become more subdued amid geopolitical tensions in the Middle East and elevated fuel costs, although demand for late bookings close to departure dates remains resilient. EasyJet confirmed it still intends to operate its planned summer schedule in full. Supported by £4.7 billion in liquidity, a net cash position and a substantial owned aircraft fleet, the group is continuing with a range of strategic initiatives aimed at improving long-term profitability and strengthening its market position.
These measures include accelerating aircraft upgauging, retiring its older A319 fleet by FY29, expanding the easyJet holidays division and launching a new customer loyalty programme. The company said these initiatives are designed to support earnings growth and maintain competitiveness as market conditions stabilise.
To navigate current volatility, easyJet has adjusted its fuel hedging strategy, modestly reduced and reallocated capacity away from routes near the Middle East, increased minimum ticket prices and tightened discretionary spending controls. The airline added that there are currently no operational disruptions or fuel supply issues affecting the business. Strong investment-grade credit ratings and a growing asset base continue to support disciplined fleet expansion and sustainability-focused modernisation plans.
The company said its outlook remains underpinned by improving profitability trends, a solid balance sheet and attractive valuation metrics, including a relatively low price-to-earnings ratio and a healthy dividend yield. However, these strengths are being offset by weak technical indicators and bearish share price momentum.
More about EasyJet
EasyJet is a European low-cost airline operator focused on short-haul domestic and international routes. Alongside its core airline operations, the group has expanded its packaged travel offering through easyJet holidays, targeting both leisure and business travellers. The company uses its strong balance sheet and significant owned fleet to support disciplined growth and ongoing fleet modernisation.
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