As revenue falls...
EasyJet to fly only 10% of flights in next quarter
Revenues plunged at the airline
EasyJet said it expects to fly no more than about 10% of its Q2 2019 capacity for the second quarter of the current financial year.
The number of flights in the three months to the end of December fell 83.3% to 23,248 (2019: 139,372).
Group revenue for the first quarter came in 88.4% lower at £165m (2019: £1.425bn).
It said it was well prepared for Brexit and as a result did not experience any operational problems as Brexit came into effect.
It said it sees “significant capacity” leaving primary airports around Europe as legacy carriers are dramatically scaling back their short haul operations.
Competition at bases such as Paris, Milan, London Gatwick and Geneva is expected to be “very much diminished”, with competitors’ aircraft being retired.
EasyJet said it is uniquely positioned to strengthen its positions at these primary airports.
It announced in December that it plans to expand its largest base, at London Gatwick, with additional aircraft, new routes and higher frequencies.
Having recently obtained further slots in a trade with Norwegian, easyJet will increase its fleet at London Gatwick by four additional aircraft for Summer 2021. These aircraft will serve new routes including Aberdeen, Bilbao and Cagliari for next summer, as well as more frequent flying on existing domestic and international routes.
EasyJet now expects to offer 107 destinations from London Gatwick across 28 countries from summer 2021 and base 71 aircraft there.
It said about 1,400 staff have left the airline and the targeted cost savings having been achieved. The majority of UK-based pilots now have seasonal contracts.
Wizz Air swings to loss
Wizz Air said 2021 will be a transition year out of the COVID-19 crisis after swinging to a quarterly loss.
In the three months to 31 December, passenger numbers plummeted 77% to two million, lead to a 76% fall in revenue to €149 million. As a result, Wizz Air swung to a €116m statutory net loss from a €21m profit in 2019.
The carrier continued to expand and opened its Abu Dhabi base this month, with the inaugural flight departed on 15 January.