easyJet has recorded a 21.2% year-on-year increase in its pre-tax profit, reaching £286m in the third quarter of its financial year.

In the nine months to 30 June, the airline’s revenue also reached almost £2.92bn, jumping by 10.9% year-on-year, while its group EBIT rose by 25.2% to £293m.

easyJet Holidays delivered a pre-tax profit of £86m, rising by £13m annually, while its available seat kilometres capacity increased by 7.9%, with 28.7 million seats flown in the third quarter, which is a slight decrease year-on-year.

Head of markets at interactive investor, Richard Hunter, described the results as a "strong quarter”" for the airline in another "profitable year".

This is despite headwinds of higher fuel costs and industrial action by French air traffic controllers, which are estimated to cost easyJet £25m.

Chief executive officer at easyJet, Kenton Jarvis, said: "We performed well in the quarter, increasing profits alongside improving operational performance which has boosted easyJet’s customer satisfaction scores and we continued to see strong demand from our customers.

"We are extremely unhappy with the strike action by the French ATC in early July, which as well as presenting unacceptable challenges for customers and crew also created unexpected and significant costs for all airlines.

"easyJet holidays remains on track to deliver more than £235m of profits for the full year and we see a positive outlook for the group for FY25 and beyond, as we continue to focus on progressing towards our medium-term targets."

In its outlook, easyJet said that Q4 bookings were 67% sold, as the firm continues to see if there is a trend towards later bookings.

It added that for its holidays brand, its capacity is 85% sold for the fourth quarter and it expects to reach a profit before tax of over £235m.

Despite these results, shares in easyJet have fallen by over 5%, after dropping by 59% compared to pre-COVID levels.

Hunter stated that for all of the progress made by the airline, industrial action in France is the "latest reminder of a litany of woes" which have affected the aerospace industry in recent years, from virus outbreaks to geopolitical tensions.

He concluded: "Over the last year, there has been reasonable progress as the shares have risen by 7%, as compared to a gain of 9% for the wider FTSE 100, although trailing in the wake of sector peer International Consolidated Airlines, where an increase of 119% over the same period underlines where investors’ priorities have been.

"The share price reaction further underlines this gulf, and is a harsh reminder of the cyclicality and competitiveness of the business. Even so, it is difficult to dispute that easyJet continues its ascent, underpinned by increasing ancillary revenues and profits for the holidays business. The share price decline emboldens the group’s undemanding valuation which, coupled with optimism surrounding prospects for the sector as a whole, should enable the market consensus as a buy to remain intact."

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