Good News for easyJet As Passenger Numbers Rise

LOW-COST airline easyJet today said its planes were fuller in September after it flew 4.2 million passengers during the month.

The carrier’s load factor of 86.9% was almost two percentage points higher than the same month a year earlier and better than the 84.1% seen for the last year.

Passenger numbers rose 22.1% on a year ago as Luton-based easyJet benefited from its acquisition of GB Airways from British Airways, as well as promotions and sales.

EasyJet carried out heavy promotional activity in June and July with up to 20% off two million seats – a strategy aimed at boosting traffic in the autumn.

The airline is being hit by high oil prices and the company recently warned that annual profits could be as much as 42% lower than last year as it faced up to an increase of Pounds 185m in its annual fuel bill.

It hopes to offset more than 50% of the price hikes through revenues growth and cost savings and has vowed to be "relentless" in addressing costs and efficiency.

The company has cut capacity by 12% at Stansted this winter to focus on Gatwick and the GB Airways business.

The carrier recently launched a new route to Istanbul, bringing the total number of routes from Gatwick to 51 this winter.

EasyJet did not provide any comment on its trading performance in September.

Last week, British Airways said it carried 5.6% fewer passengers last month than in September 2007 and added that trading conditions continued to be "challenging".

A total of nearly 2.8 million passengers flew with BA in September, compared with more than 2.96 million in September 2007.

BA said forward bookings were being affected "by the increased anxiety in financial markets and by the uncertain economic outlook".

On Friday Ryanair, Europe’s largest no-frills airline, said it carried 5.23 million passengers in September, 20% more than a year earlier, though the average flight was slightly less full.

It said its load factor was 84% in the month, down from 85% in September 2007.

According to the Sunday Times, Ryanair has asked around 600 pilots to take unpaid leave over the winter months.

Last month easyJet chief executive Andy Harrison predicted the demise of more airlines – but insisted his company would not be among them.

During a visit to Belfast International as part of the low-cost carrier’s celebrations of 10 years at Aldergrove, he said he was confident easyJet could ride out the current downturn.

He acknowledged the airline faced challenging times this winter, but said easyJet was financially robust, with cash reserves of EUR 1.25bn.

The airline now operates flights from Belfast International to 21 domestic and international destinations and currently accounts for 50% of the passengers through the airport.

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