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easyJet anticipates Q4 profit rise and plans dividend reinstatement

EditorHari Govind
Published 12/10/2023, 09:50
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British low-cost airline easyJet (LON:EZJ) anticipates a rise in its headline pretax profit for Q4 fiscal 2023, with estimates ranging between £650 million ($800.4 million) and £670 million ($825 million). The projection was shared on Thursday, signaling a strong financial performance leading up to the quarter ending Sept. 30.

In addition to the expected profit increase, easyJet also outlined plans to reinstate dividends. This move could be seen as a sign of the company's confidence in its financial stability and future growth prospects.

The airline's revenue for Q4 is also expected to see a significant surge, with forecasts suggesting a jump to £3.12 billion from last year's £2.52 billion. This projected revenue increase represents substantial growth for the company year-over-year.

In terms of operational capacity, easyJet predicts a 15% hike in Q1 fiscal 2024. This forecast aligns with the company's recent strategic moves aimed at expanding and modernizing its fleet.

As part of this expansion strategy, easyJet has entered into an agreement to purchase an additional 157 Airbus aircraft, along with securing rights to buy 100 more. This acquisition is set to drive the airline's fleet modernization beyond 2028, ensuring improvements in cost efficiency and sustainability.

The planned fleet expansion is seen as a key part of easyJet's long-term growth strategy, positioning the airline for sustained profitability and increased competitiveness in the global aviation market.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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