Out 6, 2016

EasyJet set for drop in annual profit after year of 'extraordinary events'

EasyJet is set for its first drop in annual profit since 2009 after a year blighted by multiple terrorist attacks, industrial action and a sharp fall in the value of the pound.


In a trading update, the budget airline said it expected pre-tax profit to be in the range of £490m to £495m for the 12 months to 30 September, compared with £686m the previous year, a decline of about 28%. Shares in the company dropped by 7% to 930p, making easyJet the biggest faller on the FTSE 100.
Carolyn McCall, the easyJet chief executive, said the company had faced a series of extraordinary events this year, but she remained confident in the business.

"The current environment is tough for all airlines, but history shows that at times like this, the strongest airlines become stronger," she said.

"That is why we will continue to invest for the long-term success of the business, establishing even stronger market positions, delivering excellent customer service and establishing new revenue opportunities for the future."

by Angela Monaghan