Wizz Air Holdings (AIM:WIZZ) PLC delivered an operating profit in the second quarter but expects to report a loss in the third quarter and potentially the fourth.
The budget airline is keeping tickets cheap to stimulate demand and is still in “an investment mode” as it brings on additional fleet and crew in expectations of the peak summer season next year.
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Foreign exchange and commodity markets continue to be volatile and are impacting financial performance as well.
The third quarter is expected to deliver a €200mln operating loss, compared to an operating profit of €57mln in the three months to 30 September.
The summer quarter saw a return towards 2019 traffic levels, with nearly 10mln passenger bookings and load factors around 80%. Revenue performance was 79% better than the same period last year.
It translated into an 87% jump in interim revenues to €880mln, while the flight carrier turned to €164mln underlying earnings (EBITDA) from an €81mln loss the year before.
The period ended with €1.6bn in the bank.