EasyJet losses climb on Brexit-hit pound, Easter

EasyJet's losses after taxation stood at £192 million in the six months to the end of March

EasyJet's losses grew significantly in the first half due to the Brexit-fuelled slump in the pound and the later timing of Easter, the British low-cost airline said Tuesday.

Losses after taxation stood at £192 million ($248 million, 226 million euros) in the six months to the end of March, EasyJet said in a results statement. That contrasted with a slender loss of £15 million a year earlier.

Pre-tax losses expanded to £236 million compared with £18 million last time around. Sales rose 3.2 percent to £1.8 billion.

Easter -- a peak-time for holidaymakers -- fell in April this year, outside of EasyJet's reporting period. However, it fell in March in 2016.

"The first half loss is in line with market expectations and reflects the movement of Easter into the second half as well as currency effects which together had an estimated impact of circa £127 million on the bottom line," said chief executive Carolyn McCall.

However, McCall added that summer bookings are ahead of last year and that demand for flights and holidays remains "strong", with consumers prioritising travel expenditure over "non-essential" items.

One of the biggest consequences of Britain's June 23, 2016 referendum to quit the European Union has been the slump in the pound against the euro and dollar. That has dragged on the profitability of EasyJet.

The collapsing value of the pound weighs on EasyJet's performance because it makes dollar-priced jet fuel more expensive, ramping up the cost of running aircraft