easyJet plunges after fuel hike

first_img Share whatsapp Show Comments ▼ KCS-content whatsapp easyJet plunges after fuel hike BUDGET airline easyJet saw its shares plummet yesterday after it posted a disappointing quarterly update due to soaring fuel prices and lower revenue per seat. easyJet shares fell 16.2 per cent to 382p, after chief executive Carolyn McCall (pictured) warned that the higher market price of fuel will put pressure on margins again this year. The company also expects revenue per seat to continue dropping in the next six months, due to fewer forward bookings during the icy weather and fewer than expected passengers paying to check in their luggage. The company expects a loss of £140m to £160m in the next six months, compared to a pre-tax loss of £78.7m in the same period last year.Total revenue in the three months to 31 December rose 7.5 per cent to £654m, though strikes and disruption caused by the weather cost £6m and £18m respectively. McCall announced a new range of flexible fares for business travellers in November, and the firm said yesterday that initial take-up has been encouraging. Wyn Ellis, Numis Securities analyst, yesterday cut his forecasts for the year and warned that fuel rises would cost the firm £30m to £35m in the next half. Thursday 20 January 2011 7:52 pm Read This Next’A Quiet Place Part II’ Sets Pandemic Record in Debut WeekendFamily ProofHiking Gadgets: Amazon Deals Perfect For Your Next AdventureFamily ProofYoga for Beginners: 3 Different Types of Yoga You Should TryFamily ProofAmazon roars for MGM’s lion, paying $8.45 billion for studio behind JamesFamily ProofIndian Spiced Vegetable Nuggets: Recipes Worth CookingFamily ProofBack on the Rails for Summer New York to New Orleans, Savannah and MiamiFamily ProofThe Truth About Bottled Water – Get the Facts on Drinking Bottled WaterGayotChicken Bao: Delicious Recipes Worth CookingFamily ProofCheese Crostini: Delicious Recipes Worth CookingFamily Proof Tags: NULLlast_img

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