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The Markets
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The Markets
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Proactive UK has moved.
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Transport

Wizz Air expects to operate at half capacity during winter

Analysts at Peel Hunt said it is a clear indication of the current weakness in demand

Wizz Air Holdings PLC (LON:WIZZ) has said it expects to operate at 50% capacity in October compared to last year.

If the level of coronavirus pandemic restrictions remain at the current level, the airline noted that it would operate at a similar level of capacity during winter.

READ: Ryanair and Wizz Air passenger numbers still pressured in August despite an easing of travel restrictions

“The capacity reduction means that there will be less revenue generated and therefore that further cost reductions will be required to avoid an increase in cash burn over the period,” analysts at Peel Hunt said in a note to clients, reiterating their ‘sell’ recommendation on the FTSE 250-listed airline group.

“This is a clear indication of the weakness in demand over the current period,” they added.

Wizz air shares dipped 2% to 3,030p early on Friday.

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