EasyJet warns of lockdown drag but sees pent-up demand on horizon

EasyJet warns of lockdown drag but sees pent-up demand on horizon

EasyJet has warned it expects to fly just 10% of normal services in its current financial quarter as coronavirus crisis restrictions continue to take a toll on travel.

The no-frills carrier told investors, in an update on its performance during the three months to December, that it saw "pent-up demand" ahead after March but, at the same time, admitted customers were leaving it late to book because of COVID-19 uncertainty.

EasyJet refused to give financial guidance for the year for that reason.











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Johan Lundgren, easyJet's CEO, says it is ready to ramp up capacity when restrictions and demand allow





It reported that first quarter revenues plunged 88% to £165m in its crucial Christmas earnings season as passenger numbers dived by 87% on the same period last year.

The company said that its cost-cutting efforts, including reduced maintenance and 1,400 job cuts, had reduced its cash burn to £40m per week in a fully grounded scenario.



Efforts to boost its finances to date have included the sale and leaseback of almost half its fleet with the industry seeking to emerge from the crisis in a position to capitalise on rivals forced to roll back because