EasyJet sees smaller loss, strong summer despite West Asia instability

British airline easyJet on Wednesday forecast a smaller first-half loss and strong summer bookings, boosting its shares despite a writedown of about 40 million pounds ($51 million) due to the conflict in the Middle East.

The low-cost airline reported a first-quarter headline loss before tax of 126 million pounds, compared with a loss of 133 million pounds a year ago. Its shares jumped 5% in early trade to their highest since March 2023.

European airlines benefited from robust demand in 2023 as travel continued to bounce back from the pandemic, but worries over high jet fuel prices, geopolitical instability in the West Asia and economic uncertainties caused some concern.