easyJet's headline net losses widened marginally in the first half of the financial year ending March 31, 2025. The company recorded a loss of £292 million, increasing from its net loss of £258 million a year prior. Additionally, the company's operating loss totalled £369 million, widening further from £340 million.
The company's loss before tax totalled £394 million, widening from £350 million. However, with Easter falling later this year compared to 2024, the results were impacted. The company's CEO Kenton Jarvis said during the company's earnings call that the results were in line with the company's consensus. He added that the Easter impact was around £50 million.
“We've not closed the book in March, so we've seen the impact it's had there and we've also closed the book in April and have seen that full amount has come back,” said Jarvis.
The low-cost carrier's revenues for the period totalled £3.5bn, up only slightly £3.3bn a year prior. This includes passenger revenues of £2.2bn, up from £2bn, as well as airline ancillary revenues of £400 million, up from £311 million. Revenues climbed on the back of a 6% increase in passengers and a one percentage point increase in its load factor to 88%. In addition, capacity increased 12% during the half year.
“We are executing well against our strategy, to drive efficiency and enhance our customer experience both in the sky and on the ground,” said Jarvis in a statement.
The airline's revenue per available seat kilometre (RASK) was down 6% to 5.64 pence, though cost per available seat kilometre (CASK) was down 8% to 1.71 pence. CASK excluding fuel was down 4% 4.72 pence.
Unit revenues fell as a result of capacity investments and the timing of Easter. The reduction in unit costs were driven by cost efficiencies from a 5% increase in aircraft utilisation and a 6% increase in crew productivity.
easyJet said current booking trends are “supportive” of it meeting its full year guidance. The third financial year quarter has sold 80%, while the fourth quarter has sold 42%, both up 0.5 percentage points and 2.2 percentage points, compared to the previous year, respectively.
Jarvis added: “We remain focussed on delivering another record summer this year, expecting to drive strong earnings growth as we continue to progress towards our target of sustainably generating over £1bn of annual profit before tax.”
Capacity is expected to grow 8% in the full year, while full year unit costs are anticipated to be reduced low single digits. Summer capacity is “a little more constrained”, the company said as a result of aircraft delivery delays. Summer capacity is set to be up only 1% compared to last year.
The company's net capital expenditure totalled £529 million, which easyJet said “reflects the continued investment in fleet modernisation and the growth in the overall size of the fleet”. The expenditure includes eight new A320neo family aircraft and also one that was previously leased and then brought into ownership.
The company expects 90 deliveries by full year 2028. “That will help us retire a good majority of the 82 A319s when it comes to the fleet,” management said in the call.
During the earnings call, management said their all Airbus aircraft puts the company in a “good position” to circumvent any impact from the ongoing tariff conflicts between countries.
“Tariffs are really in no one's interest as they start interfering with trade,” said Jarvis. “But at the moment, we're not seeing anything that would move us away from the cost guidance.”
In addition, while airlines have noted a softening transatlantic demand, the airline is again shielded from this impact since it does not fly transatlantic routes.
“It's hard for us to see a primary impact of that [softening transatlantic demand],” Jarvis added. “The secondary impact of that could actually be a positive for easyJet… if there is a shift to more European holidays, then we'll benefit.”
The company's CFO Jan De Raeymaeker said it was still keeping its 20% dividend on profit policy, but would consider a share buyback programme amongst “any other solution” to give more returns to shareholders if results “evolve in a positive way”. He added: “We believe [the dividend policy] is meaningful and also sustainable through cycle.”
In addition to its results, the airline announced it would open a new aircraft base at Newcastle Airport in spring next year. The company said the new base will allow easyJet to expand its network from the northern England city and serve an “extensive catchment area” in the region as well as the south of Scotland. The base will mark easyJet's 11th UK base. Three of the company's aircraft will be be based at the airport.
As of the end of March, the company had £327 million in net cash. Debt, excluding lease liabilities, totalled £2.1bn, while lease liabilities totalled £1.2bn. The company's EBITDA was a negative £5 million for the period, down from a positive £15 million.