Wizz Air warns of more losses ahead of crucial summer season

Wizz Air, the European low-cost airline, has forecast more losses at the start of the summer season as disruption at airports and slowing economic growth hamper the industry’s recovery from the pandemic. CE József Váradi said the carrier was suffering from staff shortages across the industry, including in air traffic control and ground handling, which he said had failed to prepare for the rapid return of passengers. “It is disturbing to say the least that the industry and supply chain has not been able to ramp up capacity appropriately,” he said. Airlines, airports and ground handlers across many parts of Europe have struggled to hire enough staff this year after cutting tens of thousands during the pandemic. The airline has recruited more than 2,200 people over the past year and expects to have 6,700 staff by the end of the summer, up from about 4,000 people before the pandemic. “We are deploying extra resources to minimise disruptions and urge all other stakeholders to do the same,” Váradi said. The London-listed airline said it expected demand for travel this summer to be “excellent”, and that during the peak months between July and September it would fly 40% more than in 2019. But it expected to lose money in the current quarter, between April and June, and did not provide financial guidance for the rest of the year. “The airline industry remains exposed to externalities such as air traffic control disruption and continuing operational issues within the airports sector, adding to a volatile macro environment,” said Váradi. He expects the business to turn profitable between July and September, its financial second quarter, but how much money it makes will depend on fuel prices and airport disruption. “Summer is going to be profitable, but we will [have to wait and] see how profitable it will be,” he said.<br/>