Easyjet raises profit forecast after record month

Easyjet has raised its full-year profit forecast to between £675m and £700m after enjoying better-than-expected trading in August.

The airline said that it carried 7.06 million passengers in August - the second consecutive month above the seven million mark.

The load factor was a record 94.4% - up 0.2 percentage points from August last year.

Easyjet had previously predicted annual profits of between £620m and £660m.

Some of the most popular destinations for holidaymakers included Malaga, Alicante, Faro, Palma and Barcelona.

Paul Moore, an Easyjet spokesman, said: "People have realised that the strong pound against the euro is really making their money go further on holiday."

Sterling has surged against the euro over the past year and is worth €1.36, having reached as high as €1.44.

The airline said the strong August had more than offset additional costs faced by the carrier, including disruption from French air traffic control strikes in April and the impact of two fires at Rome Fiumicino airport.

Shares in Easyjet rose 6.4%, or 117p, to £17.88, making it the top riser on the FTSE 100.

The company's shares have gained almost 30% over the past 12 months, valuing it at more than £6.6bn.

Easyjet's load factor was just short of the 95% figure reported by Ryanair for August.

The Irish airline said on Wednesday that it carried 10.4 million customers in August, up 10% from the same month last year.