Dart Group expects profit increase, warns of second half losses

Dart Group has posted a positive trading update for the first half of the year, but it warned about losses on the horizon.

The AIM listed company released a trading update on Thursday for the six months to 30 September, reporting a 21% increase in summer trading for Jet2holidays, taking 0.936m passengers compared to 0.771m the previous year.

The company’s airline had a slight dip in passengers compared to the previous year, with 4.53m passengers in the six month period, down from 4.62m.

Despite that, the airline increased its load factor from 91.8% to 94.1%.

The group also expects operating profit for the six months to be at least 60% ahead of 2014’s £89.4m profit.

It said it appears that the group’s performance for the full year “will materially exceed current market expectation”.

However, the company warned that increased losses are expected in the second half due to the expansion of the group’s seasonal leisure travel operations.

Dart Group will announce its full interim results on 19 November.