Jet2 Shares Slide Despite Upbeat Trading Update

Jet2 (LON: JET2) shares fell about 3.3 percent on Wednesday morning, even as the company issued an upbeat trading statement highlighting steady progress ahead of its London Gatwick launch.

Jet2, the package-holiday provider and the country’s third-largest airline, said it remains on track to deliver fiscal 2026 operating profit in line with market expectations.

The guidance incorporates roughly £10 million in promotional and resourcing start-up costs tied to the new Gatwick base, which will begin operations on March 26. Once open, more than 90 percent of the UK population will live within a 90-minute drive of one of the group’s 14 bases.

Winter 2025/26 seat capacity remains 5.5 million, up 7.4 percent from a year earlier, with pricing trends similar to those seen in summer 2025. Jet2 said it is reinvesting marketing spend into pricing to maintain value for customers.

For fiscal 2027, the company will lift capacity by 8 percent to 20 million seats, outpacing estimated U.K. market growth of around 5.5 percent for short- and mid-haul beach destinations.

Growth is focused on newer bases including Bournemouth, London Luton and London Gatwick. Booked passengers are currently up 7.9 percent, including more than 260,000 at Gatwick.

Jet2 also highlighted the expanding strategic role of its A321neo fleet, which will reach 31 aircraft this summer as part of a 139-aircraft peak program. Lower unit costs, reduced emissions and favourable fuel hedging, covering more than 75 percent of fiscal 2027 needs, are expected to offset higher hotel, carbon and sustainable-fuel costs.

The company will provide another update in April.