Brief update on statements from Easyjet (EZJ) & KCOM for you. Easyjet as expected suggested that currencies and fuel prices have had a beneficial impact on the business in the first half, although currencies may have a negative impact for the full year. On the back of this they have upgraded their half year loss guidance form £10 to 30m to £5m to a potential £10m profit.
So steady as she goes for Easyjet with some signs of the expected benefits from currencies and fuel coming though, although their costs were up too due to more de-icing. So guess we could see some upgrades which may help the price, but as it is a volatile stock that has recovered recently, I guess they may suffer some turbulence in a likely weaker market today after falls on Wall Street last night.
Beyond that though with increasing consumer confidence and rising real incomes it seems their strategy of making travel easy and affordable for passengers should continue to benefit from these trends. I certainly found my trip to Amsterdam with them recently easy and affordable and as a shareholder it was good to see that they sold out of expensive sandwiches!
Meanwhile KCOM have provided a very brief pre-close update in which importantly they say they are trading in line with market expectations. In the limited detail they say that take up of their fibre offering at 30% is higher than the national average and that they therefore plan to accelerate the roll out over the next two years, but they will make you hold the line until 5th June when they will announce their results.