Jet2 Share News (JET2)

(Sharecast News) - Jet2 reported another record first-half performance on Tuesday, with higher passenger numbers, revenue and earnings, and started a new £100m share buyback alongside progressing a further UK base at London Gatwick airport.

The AIM-traded low-cost airline said full-year expectations remained in line with market forecasts, excluding start-up costs for the new base.

For the six months ended 30 September, group revenue rose 5% to £5.34bn, while operating profit increased 2% to £715.2m.

Profit before tax was 1% higher at £800.3m and profit after tax also grew 1% to £600.2m.

Basic earnings per share climbed 8% to 300.4p, with diluted EPS up 17% to 292.2p.

The interim dividend was lifted 2.3% to 4.5p per share from 4.4p a year earlier.

Jet2 said it carried 14.09 million passengers in the period, up from 13.34 million last year and 40% above pre-pandemic levels in 2019.

It said performance at its two newer operating bases in Bournemouth and London Luton was "encouraging", while 23 Airbus A321neo aircraft were in operation over summer 2025, representing 17% of its fleet.

Total cash and money market deposits stood at £3.35bn, down from £3.60bn a year earlier, reflecting the impact of a £250m share buyback launched in April 2025.

Chief executive Steve Heapy said the group's flexible model was helping it navigate a "fast-moving, late booking market".

"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," he said.

"Customers may be booking later, but it is clear they still want their well-earned holidays in the sun with a brand they can trust.

"Our differentiated, service-led, end-to-end product offering continues to set us apart, delivering seamless, great-value experiences that ensure customers come back time and time again."

Heapy added that Jet2's "proven business model continues to deliver and this gives us confidence in our future growth prospects."

Looking ahead, Jet2 said winter 2025-2026 seat capacity on sale was currently 7.7% higher than a year earlier at 5.5 million seats, with the late booking pattern seen in summer persisting.

The group had secured slots for six aircraft at London Gatwick from late March 2026, creating its 14th UK base and bringing what Heapy called a "once in a generation opportunity to further accelerate our growth from the UK's largest beach and city leisure destination airport."

Separately, Jet2 said it had instructed Jefferies International to conduct an on-market share repurchase of up to £100m of its ordinary shares, with trading under the programme expected to begin on 1 December and run to no later than 30 June next year.

Jefferies would act as riskless principal and make trading decisions independently of the company, within pre-set parameters and in line with UK market abuse rules and Jet2's existing shareholder authority to repurchase up to 20,796,104 shares, of which 14,529,099 remained available.

All shares bought back would be cancelled, and the company said it would disclose transactions on the business day following each purchase.

At 1046 GMT, shares in Jet2 were up 4.45% at 1,360p.

Reporting by Josh White for Sharecast.com.