Jet2 Stock Tumbles: Expects EBIT at Lower End of Range Amid Shifting Booking Trends

Jet2 (LON:JET2) shares plunged by more than 23% on Thursday after the company said it anticipates its EBIT to land towards the lower end of the consensus range.

The current EBIT consensus range for year ending 31 March 2026 is £449 million to £496 million.

In its Annual General Meeting statement, the company said this projection comes despite an 8.0% increase in Summer 2025 seat capacity to 18.5 million, compared to Summer 2024, a figure consistent with their previous update.

Jet2 noted that recent booking trends closer to departure have become more pronounced, impacting the airline and holiday package provider.

Flown package holiday customers saw a 2% increase to the end of August, while flight-only passengers surged by 17%.

Average package holiday pricing has seen a modest increase. Net ticket yields for flight-only products have become “increasingly attractive,” driven by strategic reallocation of marketing funds towards pricing improvements and balanced cost control.

The company said its pricing strategy aims to improve conversion rates in the competitive flight-only market.

Looking ahead to Winter 25/26, Jet2 is exercising capacity discipline, reducing seats on sale from 5.8 million to 5.6 million.

While this represents a 9% increase compared to Winter 24/25, the company is prioritizing attractive pricing to maintain customer appeal in a less certain consumer environment. This cautious approach reflects a strategic response to potential market headwinds.

However, Jet2 stated that with limited visibility due to the later booking profile and a significant portion of summer and winter seat capacity still available, ” it remains premature to provide definitive guidance.”

Steve Heapy, Jet2 plc Chief Executive Officer commented, “Although we are currently operating in a difficult market, we have a proven business model, a loyal customer base, a flexible approach to capacity management and of course our multi award-winning customer service. We believe that these factors provide the foundation for a solid financial result this year and for further profitable growth in the years to come.”

Jet2 also announced the appointment of Rachel Kentleton as Senior Independent Non-Executive Director, effective September 4, 2025.