EasyJet has reported a 95 per cent return of business travel on domestic routes for the fourth quarter among its 2022 financial results for the year ending 30 September 2022, which included ‘record’ earnings and 'improved' operational performance.
The low-cost carrier reported a ‘record bounce back’ in summer with headline EBITDAR (earnings before interest, taxes, depreciation, amortisation and restructuring or rent costs) of £674 million in Q4 2022 and load factors returning to 92 per cent.
The carrier’s business travel volumes for the quarter came close to 2019 levels, driven largely by SMEs, which account for 75 per cent of easyJet’s business travel. The carrier said its network remains “well positioned to service business travel as we see demand continue to increase”.
Headline loss before tax was £178 million (down from a loss of £1.1 billion in 2021), while total revenue for the year increased by 296 per cent to £5.8 billion, largely due to an increase in capacity as travel restrictions eased across Europe.
"EasyJet does well in tough times,” said CEO Johan Lundgren. “Legacy carriers will struggle in this high-cost environment.
"Over the next year, we are targeting customer growth and are well placed to drive returns and margins while maintaining a rigorous focus on cost. With one of the strongest balance sheets in European aviation, we are ready to take opportunities as they present themselves,” he added.
Despite the impact of Omicron, Russia's invasion of Ukraine and staffing challenges throughout 2022, the UK-based carrier maintains a positive outlook for 2023, with capacity expected to increase by approximately 25 per cent year-over-year within the first six months of 2023.
In a statement the carrier said it is also “investing in building additional resilience” in a tough labour market and has already commenced a recruitment campaign for summer 2023.
“Alongside this, we now have a dedicated team in place to process employment reference checks as efficiently as possible,” the carrier stated.
It also plans to expand its network in key European cities and build upon its existing presence in Western Europe.
In 2022, the carrier added slots at Gatwick, Porto, Lisbon and the Greek islands, reporting each airport had delivered “above network average returns” in FY22.
The carrier’s fleet as of 30 September comprised 320 aircraft, including eight new A320neo aircraft.