EasyJet Profit Warning After Vote For Brexit

EasyJet (Other OTC: EJTTF - news) has issued a profit warning in response to the UK voting to leave the EU.

The budget airline said it expected revenue in the second half of the year to fall as a result of the "additional economic and consumer uncertainty [that] is likely this summer ... following the outcome of the EU referendum".

In addition, it said recent movements in fuel prices and exchange rates - which have seen the pound fall to a 30-year-low - are forecast to add around £25m in costs.

It predicts revenue per seat to fall by "at least a mid-single digit percentage compared to the second half of 2015".

EasyJet led the fallers on the FTSE 100 in early trading, with shares down 16%.

Also this morning, Foxtons warned its revenues would be "significantly lower" than last year, in the wake of the vote to leave the EU.

The estate agent said the uncertainty across London's residential markets in the run-up to the referendum would be prolonged now, and the "upturn we were expecting during the second half of this year is now unlikely to materialise".

Foxtons' share price fell by as much as 21% in Monday morning's trading as investors prepared for "challenging" trading conditions to drag on.

On Friday, housebuilders' stocks were some of the worst hit, with most big construction companies down between 20% and 30% on fears the sector would be one of the most affected by Brexit.

The warnings follow on from IAG, the owner of British Airways and Aer Lingus, who said just hours after the result became clear on Friday morning its earnings growth for 2016 would not match that of last year.

Its shares were down 22% on the day.