Market Analysis: EasyJet - Responding Quickly To Meet The Ebbs And Flows Of Demand

Allegra Dawes, airlines sector analyst at Third Bridge, comments on Easyjet’s results:

"Despite the uncertainty caused by the Omicron variant and weakened booking numbers, EasyJet expects capacity to return to 2019 levels next summer. In the meantime, they have continued to adjust their network to add bases in higher traffic regions."

"Concern over the Omicron variant and the prospect of further restrictions are the last things EasyJet would have been hoping for as it reveals losses of more than GBP 1 billion over the past year. Just as leisure travel was becoming more normalised and business travel was taking off again the last week has served to remind everyone how fragile a return to the skies can be.

"In recent months, EasyJet has benefited from recovering intra-Europe demand, increasing capacity to nearly 60 percent of pre-pandemic levels. Third Bridge experts have highlighted EasyJet’s ability to quickly shift capacity to meet demand and place fleets in regions that allow for higher load factors and yields. While EasyJet may not have the same low-cost structure as rivals Ryanair and WizzAir, they have effectively managed to rebuild their network and position their fleet in regions with fewer travel restrictions and higher demand.

"Third Bridge experts have highlighted the need for greater visibility on booking and management of airport slots as the recovery continues."



Third Bridge is a global primary research firm that interviews more than 6,000 internationally recognised industry experts and business leaders a year to compile 360-degree market intelligence for institutional investors. www.thirdbridge.com