UK leisure carrier Jet2 has hiked its full-year profit expectation for the year just closed, while expressing optimism over the forward booking trend for the current summer season.

Jet2 is forecasting a group profit of £387-392 million ($481-487 million) – before taxation and foreign-exchange revaluation – for the year to 31 March, up from the £370-385 million range disclosed in January.

The company says that, despite fuel expenditure and other inflationary cost pressures, pricing of its flight-only and package holidays “remains strong” and per-passenger margins are “encouraging”.

While Jet2’s seat capacity for summer 2023 is 7.2% higher than last year, its summer load factor is slightly ahead of that for the previous season.

Jet2 tails-c-Jet2

Source: Jet2

Jet2 is encouraged by forward bookings for the summer 2023 season

It says it is “pleased with the current position” but is not giving full-year profit guidance for 2023-24 because it still has over 40% of the summer season – and most of the winter season – yet to sell, and the possibility of air traffic control disruption over the year remains.

Jet2 is aiming to mitigate the risk of ground-handling problems – such as those experienced by several carriers at a number of airports last year – by bringing handling under its own control.

It has opted for self-handling at Bristol and Newcastle airports, which means it is no longer reliant on third-party handling at seven of its 10 UK bases.

Jet2 is undergoing a fleet expansion and modernisation, recently taking delivery of its first Airbus A321neo.

It has registered the 232-seat aircraft as G-SUNB, painting it in the colours of its Jet2 Holidays arm, and intends to put it into service in early May from Manchester.

Jet2 A321neo-c-Jet2

Source: Jet2

Jet2 is putting its first A321neo into service in May