People board Ryanair plane at Rome Ciampino Airport in Ciampino, Italy on April 27, 2025.
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Airlines are facing an uphill battle during peak travel season as delivery delays at Boeing and Airbus fuel a business jet shortage.
The continuing capability issue stays a reason for concern for the industry whilst many appear upbeat on the demand outlook.
“Demand looks good for the summer,” EasyJet CEO Kenton Jarvis told CNBC’s “Squawk Box Europe” on Thursday.
“As you said, our book position for each our third quarter, which ends in June, and our fourth quarter, which ends in September, are ahead of where they were this time last yr. We’re also seeing very positive bookings in our holidays position.”
His comments come shortly after the British low-cost carrier reported a pre-tax lack of £394 million ($529 million) for the six months through to the tip of March, compared with a £350 million loss for a similar period in 2024.
EasyJet said current bookings indicate it should meet expectations for full-year profit, although investors gave the impression to be disenchanted by the outcomes. Shares of the corporate were trading down 4% at around 1 p.m. London time.
Looking ahead, EasyJet’s Jarvis singled out airline deliveries as one in every of the firm’s key challenges.
“The most important capability constraints are around airline deliveries, with each Airbus and Boeing not meeting their original delivery schedules and subsequently all airlines receiving their aircraft later. And that is why we only see sort of [a] 1%, 2%, 3% increase in capability this summer,” Jarvis said.
“We are able to see that there may be more demand available in the market and yet the provision from the airlines can be more modest this yr,” he added.
Data published last month by the European Travel Commission (ETC) found that despite a modest decline in overall travel intention this summer, European travelers are planning longer stays and better budget vacations.
Poland (80%), Britain (79%), the Netherlands (75%) and Spain (75%) were among the many countries where travel intention was found to be strongest, the ETC said.
ETC President Miguel Sanz said on the time that the ETC’s findings reaffirmed the resilience of travel demand in Europe.
“Despite ongoing global uncertainties, Europeans proceed to prioritise meaningful travel experiences. Their robust confidence—reflected in longer stays, increased spending, and a willingness to explore further—signals a powerful desire to reconnect with destinations and cultures across the continent,” Sanz said.
‘An actual tailwind of declining oil prices’
Aviation experts told CNBC at the beginning of the yr that delivery delays at Boeing and provide chain problems were more likely to take years to resolve.
Boeing, which has been beset by a series of crises and production problems lately, said last week that it had delivered 45 business jets in April, nearly twice as many it delivered through the same month a yr ago. The upswing in deliveries takes place because the U.S. planemaker scrambles to stabilize production.
European rival Airbus, meanwhile, said it had delivered 56 jets last month, down 8% from the identical period a yr earlier.
Aviation analytics firm Cirium said last month that first-quarter delivery totals for Boeing and Airbus suggested that each firms were more likely to face “significant challenges” in the event that they were to attain their respective 2025 targets.
Ryanair CEO Michael O’Leary said there have been some early signs of improvement regarding aircraft deliveries.
“Boeing, to be fair, have improved significantly. We had the last five of this summer’s deliveries in April. Each one in every of these aircraft got here a few days early, which is a superb sign,” O’Leary told CNBC’s “Europe Early Edition” on Friday.
He was also optimistic concerning the outlook for the broader aviation industry.
“I believe the airline sector generally, this summer, is taking a look at strong demand, reasonable pricing but with an actual tailwind of declining oil prices coming through,” O’Leary said.
