The group recorded an annual pre-tax profit of £455 million, a £633 million improvement year on year for the 12 months ending 30 September 2023. Within this was a £122 million pre-tax contribution from easyJet holidays, which grew profits 221%.
EasyJet said it expected the tour operation "to grow by more than 35%" next summer, "taking its UK market share from 5% to 7%".
"The business will also launch French and German source markets as the holidays business continues to expand its presence as a pan-European holiday company," it said.
Johan Lundgren, easyJet chief executive, said: "Our record summer performance demonstrates the success of our strategy and that demand for easyJet remains strong as customers choose us for our network and value.
"We are confident about the future and the opportunity ahead, focusing on capital discipline and driving our low cost model to achieve our ambitious medium term targets."
During the 12-month period, total revenue increased by 42% to £8.17 billion “predominantly due to pricing strength, increased flown capacity, improved load factors and the continued growth of easyJet holidays”.
However, group costs increased by 30% to £7.7billion due to the increase in capacity, “significantly increased” fuel costs and industry wide inflationary pressures. Measures to counteract delays also added costs.
“The continued growth of easyJet holidays, with 77% customer growth has seen costs increase, although at a slower rate than revenue, resulting in improved margins,” easyJet said.
Lundgren was upbeat about 2024: "We see a positive outlook for this year, with airline and holidays bookings both ahead year-on-year, and recent consumer research highlights that around three-quarters of Britons plan to spend more on their holidays versus last year with travel continuing to be the top priority for household discretionary spending,” he said.
