Conflict in the Middle East meant easyJet, along with other airlines, was not flying to Jordan or Tel Aviv, chief executive Kenton Jarvis said during the group's financial results call today (25 November).
He explained this had affected the industry as a whole because airlines needed to maximise aircraft usage and had increased capacity on key routes to Spain instead: “The Canaries, Malaga, Alicante, have taken the strain and therefore have been at incredibly attractive prices.”
He added there was a risk accommodation could be in demand in some areas and therefore attract a premium, but he reiterated: “From a flight perspective there are great deals out there to be had.”
Jarvis added easyJet’s winter capacity was “not yet back to the level of pre-pandemic”, but added restoring domestic capacity in 2023 after a cut in Air Passenger Duty “has done really well”, with 20% of flights now being within the UK.
Bookings, Jarvis said, were running ahead for the December and March quarters “so we are seeing a stronger early booking trend”. He added: “But when it comes to the lates market, it’s closer to the point of departure, but it’s a trend we’ve seen for 12 months. I don’t think it’s to do with the Budget.”
Jarvis was speaking as easyJet reported full year results for the 12 months to 30 September. Pre-tax profits increased to £665 million before tax, a rise of £55 million, with a £250 million contribution from easyJet holidays.
Jarvis said easyJet would receive 17 new aircraft this year as planned despite supply difficulties, but delays meant some would not come in time for peak season. He said replacing 82 Airbus A319s with bigger A320s would cut seat costs by £10 per passenger, while the larger A321 would mean a £16 per seat advantage.
He repeated his interest in flying from Heathrow on the day the third runway was approved.
Jarvis said easyJet “had an excellent network” at cities including Paris, Milan, Amsterdam and Geneva. “Heathrow is a bit of a white spot for us on the M4 corridor,” he said.
“The big opportunity at Heathrow is there is not a low-cost carrier. A lot will depend on how much they spend moving the M25 and what they are looking for in terms of take-off fees.
“It’s always our purpose to democratise travel; we would love to do it in that region, but we are some way off the conversation.”
Elsewhere, Jarvis said he is unperturbed by Jet2's new base at Gatwick and about having to return slots there to British Airways next summer.
