Easyjet raises profit guidance

LOW-cost airline easyJet raised its full year profit guidance after a robust summer performance, boosted by strong demand to European beach routes from London.

Europe’s second-largest low-cost carrier after Ryanair said it now expected to report a pre-tax profit of between £310m and £320m for the year to the end of September, compared with the previous expectation of £280m to £300m.

“Following the end of the Olympic games, demand from London increased towards the upper end of expectations with the late market and beach routes performing particularly well,” EasyJet chief executive Carolyn McCall said.

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The airline said strict allocation of capital and aircraft across its network, improvements in revenue management and a tight control of costs had helped it absorb an additional £230m in fuel costs this year.

The Luton-based carrier said second half costs per seat were likely to rise by between 1.5 and 2 per cent, excluding fuel.

A third of seats in the first quarter of its new fiscal year had already been sold, the airline said.