EasyJet reported a 16% drop in its liquidity position to £1.2 billion ($1.95 billion) in the first six months to 31 March 2012.
At 31 March 2012, EasyJet had £979 million being cash and cash equivalents and £232 million being market deposits, compared with £1.1 billion being cash and cash equivalents and £307 million being market deposits at 31 March 2011.
Bank loans totalled £957 million at the end of the first half with another £212 million in finance lease obligations. As a result net cash amounted to £42 million compared with £220 million at 31 March 2011.
The carrier generated £92 million net cash from operating activities in the first half compared with £230 million in last year's corresponding period.
EasyJet used £111 million net cash in investing activities during the period. Net capital expenditure principally comprised the acquisition of three Airbus A320 aircraft. In last year's six month period, EasyJet acquired nine aircraft and used £203 million net cash.
The carrier used £92 million net cash in financing activities while it generated £196 million in the same period last year. No new loan or lease finance was drawn down during the period, and £109 million of existing loans and finance leases were repaid. This included £36 million unscheduled repayment of debt which incurred no early repayment charges.
EasyJet's fleet totalled 204 aircraft at 31 March 2012. The carrier operated 166 A319s and 38 A320s. It plans to add 10 new A320s by 30 September 2012.
Board policy is to hold a cash reserve of £4 million per aircraft; therefore £395 million is available to finance the 16 A320 aircraft due to be delivered by the end of 2012.