Wizz Air said it may be able to seize on opportunities to gain market share as a tough operating environment hurts its competitors as the fast-growing Central and Eastern European LCC unveiled full-year results that showed a rise in profit and passenger numbers.
The Budapest-based carrier, which has been rapidly expanding its fleet and network in recent years, said passenger numbers for the year to March 31 rose 16.7% to 34.6 million in the year to March 31. Profit rose 6% to €291.6 million ($325.8 million) on revenues 19.6% higher at €2.32 billion. Load factor rose 1.5 points to 92.8%. The airline’s fleet grew to 112 Airbus aircraft, up from 93 at the end of the previous year.
CEO József Váradi described the results as a “solid” performance, given the fact that Easter traffic fell into the previous financial year, fuel prices were higher and the operating environment was “challenging” across the industry.
But looking ahead, the airline sounded a positive note, in contrast to some of the competitor airlines that have released results in recent weeks, saying that tough context could provide opportunities.
“Higher fuel prices are supporting a stronger fare environment and we expect these macro conditions to provide Wizz Air with market share opportunities as weaker carriers withdraw unprofitable capacity,” Váradi said.
The carrier expects a further 17% increase in passenger numbers to 40 million in the 2020 financial year, as it uses its ability to limit costs to allow it to offer low fares…