# Package holiday demand helps boost easyJet profits

By Dan Coatsworth — 2025-11-25

Dan Coatsworth, head of markets at AJ Bell, said: “EasyJet may have beaten expectations with its full-year results but limited visibility on the outlook and warnings of cost inflation mean the shares struggled to gain much altitude.

“An acknowledgement that profit in the airline business is not improving as fast as originally anticipated was always likely to be poorly received.

“One bright spot is the performance of the package holidays division – with EasyJet’s foray into this area looking increasingly smart.

“These operations are typically less volatile and higher margin than flights and therefore provide some useful ballast and diversification for EasyJet.

“As a well-established brand, EasyJet had a head start when it launched the holidays arm in November 2019.

“The pandemic interrupted progress but the company has been in catch-up mode ever since and, impressively, has hit its medium-term profit target of £250 million early. For context, in 2022 this part of the group made a profit of £38 million.

“This lends credibility to a goal of achieving £450 million in profit from holidays by 2030 and also underpins its goal of getting to £1 billion in annual profit for the business as a whole.

“This remains a challenging sector to operate in thanks to geopolitical tensions, volatile fuel costs and uneven consumer sentiment and there could be further turbulence to come.

“However, EasyJet looks in decent shape to navigate these challenges thanks to its buoyant holidays business and robust balance sheet.”

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