Big Loss for Wizz Air in Q2
- 13 Jul 2022 12:16 PM
- Hungary Around the Clock
Wizz Air realised a €450 million loss in the second quarter, the Hungarian low-cost airline reported as it released its preliminary figures on Monday.
Unrealised exchange rate losses on the dollar, the costs of traffic disruptions, lower capacity utilisation, and the pricing environment, especially in April and May, resulted in a loss-making quarter, the airline added.
Operating losses amounted to €285 million.
Seat occupancy stood at 85%, still short of the 94% registered before the pandemic.
Ticket prices dropped by 12% but revenues from other services went up by 14%.
Wizz Air forecasts a significant profit for the third quarter, because both revenues and the pricing environment show an improving trend.
Seat occupancy may increase again to above 90% and prices may rise, so a single-digit increase in revenue per passenger kilometre is expected.
In order to reduce flight cancellations and delays due to labour shortages and strikes at European airports, the airline is relaxing its timetable and reducing aircraft utilization during the peak summer period compared to the original plans.
In other words, Wizz Air is cutting its flights by 5%, as reported by Bloomberg News.
Wizz Air will release its final report for the second quarter on July 27.
MTI Photo: Zsolt Czeglédy
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