Jet2: Winter sun seekers boost package holiday firm’s profit expectations to £385m
Package holiday firm Jet2 has raised its profit expectations for the year ending March 2023 amid soaring winter bookings.
The company, which has estimated its profits at £385m for the 12-month period, reported that sale of seats this summer is 6.6 per cent higher than last year at 15.2m, while forward books are dominated by the package holiday market.
Jet2 said around 60 per cent of its passengers for the season had been package holiday customers, around 16 per cent up on 2018/19.
It also reported more passengers against a 24 per cent increase in seat capacity on pre-pandemic levels, with both pricing and its profit margins being raised.
The firm said given “positive indicators” its board looks “to exceed current average market expectations” and report a group profit for the year ending March 2023, of between £370-385.
Looking to the end of the financial year, it said sale seat capacity is 6.6 per cent up on last year, while off forward bookings, package holidays represented 77 per cent of passengers.
Jet2 did however warn it still daces significant input costs, including fuel, carbon, wage increases and investment – as well as a strong US dollar.
The company said this means margins may “come under some pressure” but it remains confident many travellers will continue flying.