Wizz Air has confirmed changes in booking patterns as it reported an operating loss of 183 million euros (£157 million) for the April-to-June period, a sharp reversal from a profit of 27.5 million euros (£23.6 million) a year earlier. The budget carrier attributed the loss to soaring jet fuel expenses driven by climbing global oil prices, with Brent crude exceeding 120 dollars a barrel in late April.
Fuel costs surge 39%
Fuel spending rocketed by 39% year-on-year to 610.5 million euros (£523.8 million), reflecting 87% higher market prices, partially offset by internal efficiency measures. The airline described the period as "extremely volatile" and warned of considerable challenges for the rest of the year.
The escalating cost of jet fuel has battered the broader sector, with easyJet, IAG, and Ryanair all announcing falling profits in recent weeks. Wizz previously revealed a 50 million euro (£42.9 million) hit from the Iran war after being forced to axe flights to Tel Aviv and other Middle East and Cyprus services in March.
Capacity shift to Europe
Although many flights have since returned to normal, Wizz Air confirmed it is shifting capacity away from longer-haul Middle East routes in favour of shorter European destinations. The financial update came despite passenger numbers rising by a quarter to 21.2 million over the three-month period, with total revenues growing 5.5% year-on-year to 1.5 billion euros (£1.29 billion).
Chief executive Jozsef Varadi said: "The industry has been extremely volatile over the June quarter due to conflict in the Middle East, elevated fuel prices, and changes in booking patterns." He added: "We are focused on strengthening the core network, improving density and reallocating flying from longer-haul Middle Eastern operations into shorter European sectors."
Varadi noted that forward bookings continue to build, but the rest of the year is expected to present both industry challenges and strategic opportunities.
