First half revenues and profits climb at Jet2
Leisure travel business, Jet2, says it has achieved another record performance in terms of passenger numbers, revenues and profitability, as it issues its interim results for the half year ended 30 September 2024.
The Leeds-headquartered company has reported a 15% revenue rise to £5.1bn (HY 24: £4.4bn) and a pre-tax profit of £791.4m (HY 24: £660.5m).
Total cash and money market deposits increased 12% to £3.6bn (2023: £3.2bn), while own cash – excluding customer deposits – climbed 9% to £2.3bn (2023: £2.1bn), which Jet2 says provides a solid foundation for its increasing gross capital expenditure in new aircraft fleet over the coming years.
Steve Heapy, chief executive officer, said: “We are pleased to have delivered another record financial performance during the first half of the year.
“Even in difficult economic times, the annual overseas holiday remains a highly valued and eagerly anticipated experience, often taking precedence over other discretionary spend.
“As a result, we are confident that our proven business model – anchored to delivering a fantastic customer service with a well-established, trusted holiday brand – offers customers a compelling value proposition.”
During the period, the business received and brought into service 10 new Airbus A321neo aircraft and investment continues in both infrastructure and technology.
Jet2’s winter 2024/25 on sale seat capacity is currently 14% higher than winter 2023/24 at 5.11m seats.
The company adds that it is currently on track to deliver group profit before tax for the year ending 31 March 2025 ahead of market expectations of £541m.
Last month, in response to strong demand, Jet2 launched two new city break destinations, Bratislava and Malmo. The business has also started flying to Morocco, offering year-round flights to Marrakech and Agadir.
In March of this year Jet2 began operating from Liverpool John Lennon Airport for the first time. In February and April next year it will begin flying from Bournemouth and Luton Airports.
In its outlook statement, the business notes: “We continue to be mindful of the potential indirect impacts of ongoing geo-political challenges and the financial impact of the recent UK budget, in particular in the area of employment costs, which we estimate will increase our labour costs by approximately £25m per year, plus any wider consumer implications.”
