Company Reports

Wizz Air is one of Europe’s fastest-growing airlines; its passenger volume expanded from 10 million in 2011 to over 60 million in 2024. Growth is underpinned by a low-cost model and a strong focus on Central and Eastern Europe, where rising incomes continue to support demand for affordable air travel.

Wizz Air shares fell by more than 4% after a EUR 183 million first-quarter operating loss as revenue per available seat kilometer fell 8.1% and fuel cost per available seat kilometer rose 21%. Second-quarter RASK is expected down by single digits despite 20% ASK rise and seat growth in the high 20s.

Wizz Air reported record fiscal 2026 traffic and revenue, with passengers up 10% and revenue up 8%. EBITDA grew 16% to EUR 1.3 billion, but net profit fell to EUR 1.3 million from EUR 213.9 million due to higher maintenance, depreciation, and geopolitical disruption.

The US-Israel military operation against Iran and the subsequent closure of the Strait of Hormuz have introduced a major exogenous shock that is reshaping Wizz Air's near-term outlook.

Wizz Air is one of Europe’s fastest-growing airlines; its passenger volume expanded from 10 million in 2011 to over 60 million in 2024. Growth is underpinned by a low-cost model and a strong focus on Central and Eastern Europe, where rising incomes continue to support demand for affordable air travel.

Wizz Air warned that the Middle East conflict could reduce fiscal 2026 (ending on March 31) net income by about EUR 50 million, pushing results below prior guidance of EUR 25 million to negative EUR 25 million.

Wizz Air is one of Europe’s fastest-growing airlines; its passenger volume expanded from 10 million in 2011 to over 60 million in 2024. Growth is underpinned by a low-cost model and a strong focus on Central and Eastern Europe, where rising incomes continue to support demand for affordable air travel.

Wizz Air reported a fiscal third-quarter 2026 net loss of EUR 139 million, 42% better year on year as capacity and passenger growth resumed, while unit revenue remained flat and costs were still distorted by fleet transitions and engine disruption.

Wizz Air is one of Europe’s fastest-growing airlines; its passenger volume expanded from 10 million in 2011 to over 60 million in 2024. Growth is underpinned by a low-cost model and a strong focus on Central and Eastern Europe, where rising incomes continue to support demand for affordable air travel.

Wizz Air's revenue rose 9%, in line with 8.9% capacity growth, supported by stable load factors and firmer yields. Lower disruption and "wet-lease" costs lifted margins, with EBITDA at 29.4% and operating profit up 25%. Net leverage improved to 3.6 times, backed by EUR 2 billion in liquidity.

Wizz Air posted EUR 38 million first-quarter profit, helped by a EUR 65 million foreign exchange gain, 13% revenue growth, and stable 91% load. Management cut midterm growth targets as it exits Abu Dhabi, scales back XLR plans, and prioritizes CEO fleet retirement and grounded aircraft recovery.

Wizz Air is one of Europe’s fastest-growing airlines; its passenger volume expanded from 10 million in 2011 to over 60 million in 2024. Growth is underpinned by a low-cost model and a strong focus on Central and Eastern Europe, where rising incomes continue to support demand for affordable air travel.

We have lowered our fair value estimate for Wizz Air to GBX 1,470 per share from GBX 2,100 to reflect delayed margin recovery and reduced capacity growth under the revised Airbus delivery plan. Fiscal 2025 results confirmed that structural cost inflation—particularly from A320ceo redeliveries and grounded GTF-powered aircraft—will weigh more heavily and for longer than previously expected.

Wizz Air is one of Europe’s fastest-growing airlines; its passenger volume expanded from 10 million in 2011 to over 60 million in 2024. Growth is underpinned by a Ryanair-style low-cost model and a strong focus on Central and Eastern Europe, where rising incomes continue to support demand for affordable air travel.

No-moat Wizz Air delivered modest 2025 top-line growth with revenue up 3.8% to EUR 5.27 billion and revenue per available seat kilometer, or RASK, up 3.9% on a 1.2-percentage-point load factor gain to 91.2%, despite flat ASK. Ticket and ancillary RASK increased 4.1% and 3.7%, respectively, driven by yield initiatives and a rollout of bundled services. Profitability deteriorated as fixed costs inflated over stagnant capacity. This marks a continuation of the structural margin pressure observed since the onset of the GTF engine issues that undermined Wizz Air’s ability to scale profitably. We are placing our Wizz Air fair value estimate under review.

No-moat Wizz Air has confirmed its full-year guidance, maintaining a stable outlook despite challenges from fleet groundings and new aircraft delivery delays. Year-over-year, overall revenues remained flat, with a modest increase of 0.5%. Notably, Wizz Air reported a 1.4% increase in revenue per available seat kilometers, driven by improvements in both ancillary and ticket revenues. This positive trend in unit revenue is expected to continue into the second half of 2025. However, available seat kilometers decreased by nearly 1%, a result of the airline’s strategic shift to shorter, more profitable routes, partially offsetting the capacity constraints caused by the grounding of 20% of the airline’s fleet by Pratt & Whitney’s GTF engines.

We relaunch coverage of Wizz Air with a no moat rating and fair value estimate of GBX 2,100, driven by strong capacity growth and improved business fundamentals.

Wizz Air is one of Europe’s fastest-growing airlines. It increased passenger numbers from 10 million in 2011 to 40 million in 2020. This growth was achieved by adopting Ryanair’s low-cost strategy and focusing on Central and Eastern Europe, where rising incomes have fueled demand for air travel.

We are dropping coverage of Wizz Air. We provide broad coverage of more than 1,500 companies globally and periodically adjust our coverage according to investor interest and staffing.

Wizz Air’s late fuel-hedging policy is biting into its short-term profitability and cost competitiveness. The group increased operating losses to EUR 284 million in the first fiscal quarter of 2023, from losses of EUR 108 million a year ago. Excluding fuel, unit costs are nearing precoronavirus levels, but the airline’s unhedged position has fully exposed it to a 94% increase in fuel unit costs. Fuel is now 45% of total costs, versus 35% before COVID-19, and drove total unit costs 40% higher compared with normalized prepandemic unit costs. Yields are rising by double digits across the industry, but we believe it will be at least another year before the airline is on a fuel-cost comparable basis compared with peers.