Jet2 Flies Reports Record Profitability; New Buyback Announced

Jet2 plc (LON: JET2) has reported a strong first half for fiscal year 2026, marked by record passenger numbers, profitability, and earnings per share (EPS).

The leisure travel group's performance demonstrates its resilience in a dynamic market and reinforces its growth strategy.

Revenue climbed 5% to £5,342.2 million, up from £5,085.4 million in the prior year. Operating profit saw a 2% increase to £715.2 million. Basic EPS jumped 8% to 300.4p, highlighting enhanced shareholder value.

Passenger numbers surged to 14.09 million, a notable increase of 750,000 compared to the previous year. This also represents a substantial 40% increase from pre-pandemic levels in 2019, underscoring Jet2's growing market share and appeal.

The company's financial position remains robust, with total cash and money market deposits standing at £3,354.4 million. This liquidity provides Jet2 with the flexibility to invest in strategic initiatives and return capital to shareholders. The decrease from £3,596.4m is in part due to the £250m share buyback programme launched in April 2025.

Jet2 continues to invest in its future, with encouraging performance from its new operating bases at Bournemouth and London Luton. The addition of 23 new Airbus A321neo aircraft to its fleet over the summer has enhanced operational efficiency.

The company has also announced a new base at London Gatwick airport for Summer 2026, securing slots for six aircraft to bring its service-led offering to a further 15 million potential customers.

Reflecting confidence in the business's prospects, the board has announced a new £100 million share buyback program. An interim dividend increase of 2.3% to 4.5p per share further demonstrates Jet2's commitment to returning value to its shareholders.

Steve Heapy, Jet2 plc Chief Executive Officer, commented: “We are very pleased to report another record financial performance for the first half of the year, illustrating how our flexible operating model can adapt to changing consumer behaviour.”

Jet2's management anticipates full-year performance to align with market expectations, excluding startup costs associated with the London Gatwick expansion. Current average market expectations for Operating Profit (EBIT) for the year ending 31 March 2026 are £453m.

While the late booking trend observed during the summer is expected to continue into the winter season, Jet2 is well-positioned to capitalize on sustained demand for leisure travel. On sale seat capacity is currently 7.7% higher than Winter 2024/25 at 5.5m seats.