Insider Business Gatwick drone disruption cost easyJet nearly $20 mln

Gatwick drone disruption cost easyJet nearly $20 mln

EasyJet lost 15 million pounds ($19.3 million) in the 36 hours of travel chaos sparked by drones flying into London’s Gatwick Airport in December, the budget airline said on Tuesday.

The British company, the largest operator at Britain’s second biggest airport, said the disruption affected 82,000 customers and forced the cancellation of more than 400 of its flights in the run up to Christmas.

That knocked around 5 million pounds off its revenue and cost the airline 10 million pounds to help its customers.

However the group gave an otherwise upbeat trading update and said 2019 bookings were encouraging despite uncertainty around Brexit, striking a more positive tone than rival Ryanair , which issued a profit warning last week.

“We feel that this environment is robust and solid, and we do well in it,” Chief Executive Johan Lundgren told reporters.

Gatwick was forced to close its runway in December when drones flew near the site south of London in the most disruptive incursion by unmanned aerial vehicles at any major airport.

It forced the cancellation or diversion of around 1,000 flights, affecting 140,000 passengers over three days in total.

Analysts at RBC said they had trimmed their profit-before-tax forecast for easyJet by 3 percent as a result of the Gatwick disruption, but retained their “outperform” rating as “far worse” earnings cuts were already priced-in.

EasyJet said it had enjoyed a good operating performance with the exception of the Gatwick disruption and took a different view of the market from Ryanair, which warned lower than expected winter air fares would hit its full-year profit.

EasyJet said it expected full-year headline profit before tax broadly in line with current market expectations.

Total revenue rose by 13.7 percent to 1.3 billion pounds in its fiscal first quarter to Dec. 31, after passenger numbers rose by 15.1 percent to 21.6 million.

“Second half bookings continue to be ahead of last year,” Lundgren said.

(Reuters)

Top Stories

160 new cases of COVID-19 on Friday

The Health Ministry announced 160 new COVID-19 cases on 23 October, out of 4,327 laboratory tests, taking confirmed infections to 3,314. The break-down of new...

Health Ministry insists there is confirmed case among American Center staff

The Health Ministry replied to the denial of the American Medical Center regarding a confirmed case among its staff. In an announcement the Ministry noted...

Health Ministry replies to accusation about delay of the tracing unit

The tracing unit contacts the persons who have tested positive to COVID-19 as soon as it is informed by the relevant laboratories and the...

Professor of Microbiology concerned about asymptomatic patients

Dr Petros Karayiannis, Professor of Microbiology/Molecular Virology at the University of Nicosia Medical School, has expressed concern over the great number of private hospitals,...

30-year-old missing for seven months (PHOTO)

Police are looking for 30-year old NAKITA YASMEEN from the United Kingdom, whose traces have been lost since March 2020. Yasmeen’s disappearance was today...

Taste

Squash soup

Ingredients: 1 kg pumpkin, cut into small cubes, approximately 5 cups 2 medium (400g) sweet potatoes, cut into cubes, approximately 2 ½ cups 1 chopped leek, only...

Mezedes

No visit to Cyprus is complete without enjoying the traditional meal of many small dishes known as ‘meze’. This large feast, which has been a...

Prawns with fried cheese, barley shaped pasta

Put the barley shaped pasta into a small pan with salted water, bring to a boil and when tender, drain. Peal the prawns leaving...

Salmon and shrimp sheftalies

Mix all ingredients for tabbouli in a bowl and keep to one side so flavours can combine. Prepare the sheftalies: wash and soak the casing...