EasyJet Sees Profit Boost From Record Summer

EasyJet (Other OTC: EJTTF - news) has raised its annual profit guidance, citing a record performance for the airline during the crucial holiday month of August.

In a trading update, the no-frills carrier said its planes were 94.4% full over the month while passenger numbers reached almost 7.1 million - both records for any month.

EasyJet added that it enjoyed particular strength on its beach routes from the UK, as the country endured higher-than-average rainfall and currency exchange rates remained favourable.

Its share price rose more than 6% in early trading following the news.

The statement said: "This strong revenue performance has more than offset the significant cost headwinds that the business has faced this year."

It (Other OTC: ITGL - news) added: "Consequently full-year profit before tax guidance is now expected to be in a range of £675m to £700m for the year to 30 September from £620m to £660m as previously guided.

Chief executive Carolyn McCall said: "These figures demonstrate the strength of easyJet - with its strong customer focus and its unique and winning combination of the best route network connecting Europe's primary airports, with great value fares, friendly service and industry-leading digital innovations.

"This platform meant that easyJet was best placed to maximise the strong late summer demand from UK passengers to get away to beach and city destinations across Europe and will enable the airline to set new records for full year revenue and profit."

Of companies reporting on their summer performances, Halfords said earlier this week that soggy weather had dented demand for bikes.

According to the Met Office, summer rainfall was up 13% on average by 26 August and the summer is set to have been wetter than all but five summers since 1988.