European budget carrier Wizz Air expects revenue to rise 2% in the key summer season compared to last year, chief executive Jozsef Varadi told Reuters today, as its budget fares attract passengers and help it to offset the impact of the Iran war.
"We are seeing not just volume lift, but also revenue lift for peak summer," Varadi told Reuters in an interview, offering a positive signal from the air travel market as it grapples with spiking jet fuel prices and worries that fewer people will fly.
The relatively upbeat projection, previously unreported, reinforces the carrier's reversal of fortunes since it issued a profit warning after the start of the Iran war.
It has been battling to win over investors, who drove its already-struggling shares lower as worries mounted over high jet fuel prices and belt-tightening consumers.
Wizz Air said earlier this week it expects to break even or achieve slightly positive full-year earnings for its 2026 financial year that ended March 31.
The airline has said that 44% of summer capacity has been booked, some two percentage points ahead of last year.
Varadi told Reuters the stronger projection for the 2026 financial year was enabled in part by cost cuts as it postponed or rolled back new IT innovation programmes. The results will be released in June.
"I think we are seeing roughly around somewhere between €100-200m worth of cost savings being materialised in the current financial year," he said.
Varadi added that the airline was offering lower ticket prices on routes that had experienced a slight dip in demand, particularly those serving destinations close to the Middle East such as Cyprus and Egypt.
"We make sure our prices are competitive in that context," he said, adding that demand was already growing on those routes.
Echoing increasingly bullish views from some European airlines, a handful of which have benefited as Europeans book holidays closer to home during the Middle East conflict, he said he was not concerned about jet fuel supplies for the next six months and the carrier had not cancelled any flights due to a lack of fuel.
"Fuel is available in Europe," he said. "Looking at the next, I don't know, six, eight months, I think we just look fine. And we got the confirmations by suppliers for availability of fuel."
