Tuesday, September 27, 2011

EASYJET SUCCESS SHOWS WE LOVE A CHEAP HOLIDAY

EasyJet is seen by many as the ultimate budget airline – and with more and more holidaymakers looking for a bargain it comes as no surprise that the company has raised its guidance on full-year profits.

The airline is predicting pre-tax profit for the year ending September 30 to be between £240million and £250million – this is up from the £200million-£230million that had previously been outlined.

Low cost is a winner

According to easyJet chief executive Carolyn McCall, the company’s performance has been robust and is based on the success of its city routes being used by business and short-break leisure travellers.

Industry analysts believe that low-cost airlines will continue to perform well compared with other network carriers. For example, earlier this week, Germany’s Lufthansa warned that it is no longer expecting to improve on last year’s operating profits.

Part of easyJet’s success has come from a concerted effort to attract more corporate passengers, with revenue per seat increasing by six per cent in the second half of the year. However, it expects its fuel bill will increase by around £220million next year and this could weigh heavily on price sensitive flights used by tourists and individual travellers.

Late holiday bargains

The summer season may be over but that doesn’t mean your dreams of a holiday need to stop. There are still several destinations that enjoy hot weather late into October – including the likes of the Canary Islands, the Caribbean and Crete; while you may also want to plan ahead for a winter break.

If you are considering a late break away then check out the travel and holidays voucher codes section at 5hop5.ie and see if you can save money before you shop.