Business
EasyJet warns of bigger first-half loss on surging fuel costs, legal bills
The airline expects a headline pre-tax loss of $733.3 million-$760.5 million for the first half
An easyJet Airbus plane stands on the tarmac at Southend London Airport, in Southend-on-Sea, Britain March 31, 2025.(Reuters)
British budget airline easyJet on Thursday warned of a bigger headline pretax loss for the first half of the year compared with a year earlier, as it grappled with surging fuel prices due to the Middle East war and higher legal provisions.
The airline expects a headline pre-tax loss of 540 million-560 million pounds ($733.3 million-$760.5 million) for the first half, bigger than the 394 million pounds loss reported a year earlier.
The US-Israeli war on Iran has sent jet fuel prices soaring as much as $200 a barrel in recent weeks, upending the global aviation industry and forcing airlines to raise fares, curb growth plans and rethink forecasts.
Easyjet said it had incurred 25 million pounds in additional fuel costs in March due to the war, and another 30 million pounds in expenses from higher legal provisions.