CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 69% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.
Open account
☰
CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 69% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.
Open account
✖

Easyjet posts growth in profits

Article By: ,  Financial Analyst
November 18, 2014 4:26 PM

Budget airline Easyjet has announced that it has recorded a 21.5 per cent rise in its annual pre-tax profits.

The no-frills airline said profit had risen to £581 million for the 12 months to the end of September, a substantial rise on the £487 million recorded for the previous year.

The firm cited a seven per cent increase in passenger numbers, as well as the acquisition of slots at Gatwick airport from rival airline Flybe.

The latter move allowed the number of available seats on Easyjet flights to grow by 5.1 per cent to 71.5 million, of which almost 91 per cent were filled.

Despite the results, Easyjet saw its shares fall by over two per cent during morning trading in London on Tuesday (November 18th).

Attracting customers was only one part of the success, according to the firm, which added that levels of loyalty had also increased, with 57 per cent of existing customers rebooking each year.

The results saw Easyjet post an ultimately positive outlook for the coming 12 months, although it did claim that costs per seat would increase by around 2.5 per cent due to a rise in airport, navigation and maintenance charges.

However, the firm did say they expected to drive costs down by as much as £22 million over the next six months.

The results will come as a welcome boost to the airline, which has faced a great deal of competition from other airlines such as Air France-KLM and Lufthansa, both of which have rolled out plans to enter the low-cost market.

Both of those firms will likely compete with Ryanair, which is currently the biggest rival to Easyjet and has made improvements to its own customer service.

StoneX Financial Ltd (trading as “City Index”) is an execution-only service provider. This material, whether or not it states any opinions, is for general information purposes only and it does not take into account your personal circumstances or objectives. This material has been prepared using the thoughts and opinions of the author and these may change. However, City Index does not plan to provide further updates to any material once published and it is not under any obligation to keep this material up to date. This material is short term in nature and may only relate to facts and circumstances existing at a specific time or day. Nothing in this material is (or should be considered to be) financial, investment, legal, tax or other advice and no reliance should be placed on it.

No opinion given in this material constitutes a recommendation by City Index or the author that any particular investment, security, transaction or investment strategy is suitable for any specific person. The material has not been prepared in accordance with legal requirements designed to promote the independence of investment research. Although City Index is not specifically prevented from dealing before providing this material, City Index does not seek to take advantage of the material prior to its dissemination. This material is not intended for distribution to, or use by, any person in any country or jurisdiction where such distribution or use would be contrary to local law or regulation.

For further details see our full non-independent research disclaimer and quarterly summary.

CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 69% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money. CFD and Forex Trading are leveraged products and your capital is at risk. They may not be suitable for everyone. Please ensure you fully understand the risks involved by reading our full risk warning.

City Index is a trading name of StoneX Financial Ltd. Head and Registered Office: 1st Floor, Moor House, 120 London Wall, London, EC2Y 5ET. StoneX Financial Ltd is a company registered in England and Wales, number: 05616586. Authorised and regulated by the Financial Conduct Authority. FCA Register Number: 446717.

City Index is a trademark of StoneX Financial Ltd.

The information on this website is not targeted at the general public of any particular country. It is not intended for distribution to residents in any country where such distribution or use would contravene any local law or regulatory requirement.

© City Index 2024