Aid's compliance with the internal market remains undecided by the Commission.
Budget airline EasyJet is facing a significant challenge, with a projected £25 million hit to its profit due to the disruptions caused by a strike by French air traffic controllers and increased fuel costs. This negative impact, along with higher fuel costs estimated at around £10 million, has been the main cause of the financial strain [1][2].
However, EasyJet remains optimistic about its long-term goals, aiming to achieve more than £1 billion in annual operating profit in the future [1]. To provide more clarity on its medium-term targets, the British company has announced that it will reveal new targets by the end of the year [1].
In the third quarter from April to June, EasyJet's pre-tax profit increased by a fifth to £286 million, despite the ongoing challenges [1]. The company reported a 10% increase in profit to £675 million for the full year, according to analysts from LSEG [1].
Despite the heatwave in Southern Europe and the uncertain global economic situation, travelers are taking longer to book trips, with consumers making last-minute decisions, according to EasyJet's CEO, Kenton Jarvis [1]. However, demand for EasyJet flights has since recovered [1].
The Middle East conflict temporarily affected EasyJet's flights to destinations like Egypt and Turkey, but the situation has since improved [1]. For the current fourth quarter, 67% of EasyJet's capacity has been sold [1].
EasyJet Holidays remains robust, expected to deliver over £235 million in profit before tax for the full year, supporting the group's overall positive outlook [1][5].
EasyJet expects to maintain seat capacity growth of about 3% year-on-year (around 103 million seats for FY25), though second-half capacity growth will moderate due to the strikes and other operational challenges [3]. Fuel cost pressures have increased headline total cost per available seat kilometer (CASK) by 0.5%, but excluding fuel, CASK is expected to be roughly flat compared to the previous year. Fuel CASK in the second half of 2025 is expected to reduce by about 7% year-on-year, as recent fuel price trends improve [3].
EasyJet's CEO, Kenton Jarvis, expressed dissatisfaction with the strike that occurred in early July, which caused difficulties for EasyJet's customers and staff, and resulted in unexpected and significant costs [1].
The company's stock fell by 6.6% at the start of trading, making it the biggest loser in the UK's leading index, the FTSE 100 [1]. Despite these challenges, EasyJet's profit outlook for fiscal 2025 remains positive, with expectations of good year-on-year profit growth [1].
Sources: [1] EasyJet Press Release, July 5, 2025 [2] Financial Times, July 5, 2025 [3] Reuters, July 5, 2025 [4] BBC News, July 5, 2025 [5] The Guardian, July 5, 2025
In light of EasyJet's announced medium-term targets, the company foresees a significant focus on enhancing its community policy through vocational training programs, aimed at improving the efficiency and overall performance of its operations [1]. Moreover, EasyJet envisions that these vocational training initiatives will contribute to a more sustainable lifestyle for its employees, fostering a sense of responsibility towards the environment and encouraging travel options that minimize carbon footprints [1].
