EasyJet welcomed considerably fewer passengers in the last quarter of 2020, the first of its financial year. Because of viral troubles, lockdown measures and travel restrictions, the passenger flow dried up by 87 percent. This naturally also affected the company’s turnover.
In the three months up to 1 January easyJet reported 88 percent lower group revenue of a total of 165 million pounds. In doing so, the company stressed that progress has been made in further reducing costs. At present, the company loses about £40 million a week if all aircraft are forced to remain grounded. In the course of the crisis easyJet reduced the costs considerably. In addition, the company had previously assured itself of a loan facility of £ 1.4 billion.
EasyJet’s financial performance in the first quarter was in line with its own expectations, despite the tightening of the coronation rules. The continuing uncertainty about future relaxations is currently making travellers cautious about making bookings. When measures are reduced, easyJet expects a high demand for air tickets.
In the current quarter easyJet does not expect to fly more than 10 per cent of the capacity of a year earlier. But society is, according to its own opinion, ready to scale up quickly, at the moment when demand picks up. EasyJet does not provide financial forecasts for the current financial year due to the uncertainties.
EasyJet also reports that it had been well prepared for the Brexit. According to the company, there were no operational problems after the British left the single European market.