Jet2 plc: Nothing beats a Jet2 SBB

Research evidence excerpt

Jet2 plc: Nothing beats a Jet2 SBB

nflows strengthen and the risk of a weak lates market looks to have Price Performance Exchange-LSE

significantly fallen. We think revenue trends are thus improving, although the company very 52 Week range GBP 18.34-9.80

logically does not want the market to become overly optimistic given the continuing

unpredictable geopolitical environment.

Growth in the south works: At FY26 results a key message from the company was that Jet2 can

successfully grow in the south. This message effectively answers the question where Jet2 can

deploy its forthcoming capacity growth, with 4% penetration in the south of the UK comparing

with 13% in the north. Jet2 explained that its Gatwick launch is running ahead of its internal Source: IDC

expectations, with stronger package attachment than anticipated, only very slightly behind Link to Barclays Live for interactive charting

system average. We did think that Jet2's very strong brand evolution would support its entry to

Gatwick and suspected its caution was overdone. Jet2 was also positive about its growth in European Transportation

Bournemouth and Luton, whilst also highlighting the success of its slightly older southern base Andrew Lobbenberg

in Bristol. +44 (0)20 3555 0639

andrew.lobbenberg@barclays.com

Capital allocation: Jet2 also highlighted its financial targets aiming to keep net debt/EBITDA Barclays, UK

below 2x on an own cash basis and maintaining £600-700m own cash at all times. With a plan to

Rahul Singh

+91 (0)22 6175 2529

Barclays Capital Inc. and/or one of its affiliates does and seeks to do business with companies rahul.xb.singh@barclays.com

covered in its research reports. As a result, investors should be aware that the firm may have a Barclays, UK