EasyJet's 70% Profit Fall Spurs US Takeover Offers and EU Review

British low‑cost carrier EasyJet reported a 70 % drop in pre‑tax profit for the quarter to 30 June, falling to £85 million from £286 million a year earlier. The decline was driven by a £105 million increase in jet‑fuel costs linked to the Middle‑East conflict, while passenger numbers slipped slightly to 25.8 million and the load factor fell to 88.9 %. Group revenue grew 2 % to £2.98 billion and late‑booking demand remained strong.

The results have intensified a takeover battle between two U.S. private‑equity funds. Apollo Global Management has submitted a £5.7 billion offer, outbidding Castlelake’s £5.5 billion proposal, with binding bids due by 7 August and 3 August respectively. At the same time, the European Commission is reviewing airline‑ownership rules that require at least 51 % EU ownership, a move that could affect any non‑EU investor gaining control of EasyJet.

The airline said it continues to manage the impact of higher fuel prices and geopolitical uncertainty, while expecting the summer travel season to boost bookings further.