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EasyJet profits rise following package holidays boom

2025-11-25 10:28
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EasyJet profits rise following package holidays boom

The airliner expects to grow package holiday customers by 15 per cent in the year ahead

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EasyJet profits rise following package holidays boom

The airliner expects to grow package holiday customers by 15 per cent in the year ahead

Holly WilliamsTuesday 25 November 2025 10:28 GMTCommentsVideo Player PlaceholderCloseHeathrow on cards for easyJet ‘if price is right’ says airline CEOSimon Calder’s Travel

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EasyJet has posted better-than-expected annual profits, largely thanks to strong demand for its package holidays, which helped offset a more challenging period for its airline division.

The Luton-based group reported a 9 per cent rise in headline pre-tax profits to £665 million for the year to 30 September, exceeding both last year's £610 million and analyst predictions of £650 million.

Its holidays business was a standout, with earnings soaring 32 per cent to £250 million, meeting its target early and leading to a new £450 million goal by 2029-30.

Conversely, annual headline profits for the airline dropped to £415 million from £420 million.

EasyJet stated the carrier’s performance had been "more challenging" to improve than hoped, especially over winter, attributing this to "the pace of route maturity and the wider geopolitical, macro-economic and competitive environment in specific markets."

Consequently, easyJet has cut its airline seat capacity growth for the year ahead to around 7 per cent, down from 9 per cent in 2024-25.

No-frills carrier easyJet’s growing holidays business was the star performerNo-frills carrier easyJet’s growing holidays business was the star performer (PA Wire)

“We are convinced that our actions through winter are the right ones to drive productivity and utilisation benefits while ensuring that the airline is well prepared for the key summer season, which is vital to overall profit growth,” easyJet said.

Its holidays business grew customer numbers by a fifth to 3.1 million as revenues rose 27per cent thanks to an increase in average selling price of 5 per cent to £698.

The group expects to grow holidays customers by 15 per cent in the year ahead, with average prices set to increase by “high single digits”.

Chief executive Kenton Jarvis said he was confident of reaching the group’s medium-term annual profit goal of more than £1 billion.

He said: “Since setting our medium-term targets in 2023 we have made significant progress, delivering a 46 per cent improvement in profit before tax, adding 9 per cent this year through the continued, successful execution of our strategy.

“EasyJet holidays is today launching an even more ambitious goal having achieved its target early.”

“We are well placed to seize the significant opportunities ahead, and we are confident in achieving our medium-term goal of delivering over £1 billion in profit before tax,” he added.

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