Wizz Airreported a “normalised” operational performance after recovering from industry-wide disruption earlier in the year.
The budget airline is gearing up to operate 35% more winter capacity than pre-pandemic 2019, with higher average fares.
A half year operating loss of €63.8 million was reported despite earnings of €374 million in the summer peak quarter.
Wizz Air suffered an unrealised half year foreign exchange loss of €285 million due to the continuously strengthening of the US dollar against the euro.
The eastern and central European carrier set a record by operating 859 flights in a single day on September 5 and achieved record carryings of 12.9 million passengers in the June to August summer.
Total passenger numbers more than doubled to 26.5 million in the half year over the same period in 2021.
Passenger ticket revenues increased by 185.7% to €1.1 billion while ancillary revenues rose 116.8% to €1 billion.
Wizz Air is now on track to return to pre-Covid utilisation levels in spring 2023, according to chief executive Jozsef Varadi.
He said: “Wizz Air delivered strong results in the second quarter of the fiscal year, after a difficult first quarter operationally.
“Revenue in the first half of the fiscal year was materially higher than it was in the same period last year, and up 31% versus the same period pre-Covid-19.
“For the second quarter, revenue was up 41% versus the same period pre-Covid-19.”
The performance was driven by load factors recovering and improved yields, “no longer held back by Covid-19 or the war in Ukraine”.
The first half earnings came “despite the headwinds we continued to encounter on supply chain disruptions and high commodity prices,” Varadi added.
He said: “Much has been done within the aviation industry to address the significant issues that were a feature early in the 2022 calendar year.
“As a consequence, our operational performance has recently normalised and we are now back in line with our historically low levels of cancellations and flight disruptions.
“This is important as it helps us to return to the customer service excellence the brand is built on and proud of whilst having a consequential positive impact on the financial performance of the business.”
Varadi added: “Our diversification strategy into the Gulf will also see more inbound and outbound routes to the Middle East and we are expecting moderate counter-seasonal contribution in terms of traffic and revenues from these destinations.
“While the macroeconomic backdrop remains challenging and uncertainty for consumers has heightened, we have put in place measures to mitigate the impact on our costs.”
Commenting on the interim results, Ruth Griffin, retail and leisure partner at law firm Gowling WLG, said: “After a turbulent summer, Wizz Air is looking to capitalise on the returning demand from air travellers by expanding its fleet and introducing seven new routes from its bases at Gatwick airport and London Luton.
“The airline has seen its earnings rebound and will now want to position itself for future growth by offering greater choice to its customers.
“But, there are likely to be challenges ahead as passengers deal with the ongoing cost of living crisis. Of course, shareholders will be hopeful that its affordability and increased network can navigate the business safely through this.”