EasyJet sees no sign of demand softening as profits increase

Airline's profits for second quarter increased by 16% compared to last year, with the company saying it was on track for a record summer

The low-cost carrier posted headline pretax profit of £236m for the three months ended June 30, from £203m reported a year earlier.

Low-cost airline easyJet has said it does not see any signs of softening demand, with fares holding as its latest financial results and upbeat outlook sent shares up 8%.

This is in stark contrast to rival airline Ryanair, which said earlier this week it would cut fares over the coming months in order to stimulate demand as profits in its most recent quarter fell 46% to €360m. This sent chills across the European airline industry, deepening fears of a weak summer.