Low cost airline pins its recovery hopes on good vaccination progress
Wizz Air Holdings is expecting a reported F21 net loss of €570m to 590m/£495m to £513m.
The listed low cost airline, which last August announced plans to make Doncaster Sheffield Airport its second base of operations, also says its full year underlying loss is expected to be of €475m to 495m/£413m to £430m.
Releasing a post-close trading update for the year ended 31 March 2021 (F21) today, the business warns the start of the year ending 31 March 2022 continues to be marked by travel restrictions across its region.
And it expects only a gradual traffic recovery into late summer 2021, following what is likely to be a period of good progress of national vaccination plans across key markets.
The company says it continues to actively adjust capacity to travel conditions with a focus on cash contribution positive flying.
It adds: “We continue to be focused on our cost base and on our liquidity measures to minimise the cash burn rate of the company in this period of transitioning out of Covid-19.
“Because of the uncertainties around travel restrictions, Wizz Air today is not in a position to provide guidance for the year ending 31 March 2022.”
József Váradi, Wizz Air chief executive, said: “Despite the continued impact of the pandemic, we are well-prepared with one of the strongest balance sheets in the airline industry, flying one of the youngest and most efficient fleets and having a well-defined, proven business model.
“Our agility and relentless focus on costs and cash are significant competitive advantages.
“Our network expansion and the investments we have made in our fleet over the past 12 months ensures we are well placed for a return to normal operations and we are convinced we are now even better positioned to be a structural winner in the European aviation sector.”