easyJet pays first dividend as profits fly

first_imgTuesday 16 November 2010 8:47 pm Share whatsapp easyJet pays first dividend as profits fly EASYJET said it will pay its first ever dividend in 2012 yesterday, as it posted a near three-fold rise in full-year profit thanks to rising passenger numbers and a lower fuel bill. The budget airline will also launch flexible fares this year in a bid to boost its share of business travellers, the company’s new chief executive Carolyn McCall said yesterday. Pre-tax profit at the firm rose to £154m for the year to the end of September, up from £54.7m last year, on revenues up 11.5 per cent to £2.97bn. McCall, who joined from the Guardian Media Group in July, said the decision to shell out for a dividend was not entirely down to pressure from the firm’s founder, Stelios Haji-Ioannou. “The time is right to set in place a formula to trigger a dividend payment in years when the company is profitable whilst at the same time ensuring that it retains a conservative capital structure,” said McCall. “I think [Stelios] has been extremely constructive and we have a working relationship and a dialogue, which is a move forward,” she said yesterday.Stelios released a statement welcoming the dividend, though he added that the payment should be increased to 50 per cent of earnings per share over time. McCall said her wholesale review since joining the business has revealed “a strong business model and sound strategy with which to build”. She said easyJet would start to publish punctuality statistics from January 2011 and improve the crew rota to try and minimise disruption from outside events such as industrial action or volcanic ash. whatsapp Read This NextRicky Schroder Calls Foo Fighters’ Dave Grohl ‘Ignorant Punk’ forThe WrapCNN’s Brian Stelter Draws Criticism for Asking Jen Psaki: ‘What Does theThe WrapDid Donald Trump Wear His Pants Backwards? Kriss Kross Memes Have AlreadyThe WrapHarvey Weinstein to Be Extradited to California to Face Sexual AssaultThe WrapPink Floyd’s Roger Waters Denies Zuckerberg’s Request to Use Song in Ad:The Wrap’The View’: Meghan McCain Calls VP Kamala Harris a ‘Moron’ for BorderThe Wrap’Sex and the City’ Sequel Series at HBO Max Adds 4 More ReturningThe WrapNewsmax Rejected Matt Gaetz When Congressman ‘Reached Out’ for a JobThe Wrap2 HFPA Members Resign Citing a Culture of ‘Corruption and Verbal Abuse’The Wrap KCS-content Show Comments ▼ Tags: NULLlast_img read more