EasyJet warned against falling profits. Brexit and weakening demand – Zdopravy.cz


One of Europe's biggest airlines today warned its shareholders that the company's profits will drop significantly in the coming months. He blames Brexit for this, as does European demand for flying, especially for holidays. Shares of the company weakened by more than eight percent in a single day.

In a report to investors, he said that even if the results of the last six months are expected, the company's outlook is uncertain.

"We see some weakening demand in the UK and throughout Europe. We believe it comes both because of macroeconomic uncertainty and because of the many problems associated with Brexit"Said easyJet boss Johan Lundgren. According to Lundgren, the biggest deterioration in sales last month. According to him, the company is preparing new measures that should support the purchase of tickets, in addition to new services.

Brexit had already warned other airlines against the deterioration. Especially for easyJet, Ryanair, British Airways and Virgin Atlantic, which have a high proportion of customers in the UK, there is great uncertainty.

"We're working very well on Brexit. Whatever happens, we will continue to fly as a European carrier " added Lundgren. The company has already prepared for Brexit by operating license in Austria.

Excess capacity may also be reflected in ticket prices, which would not increase as much during the summer as usual.


Source link