EasyJet stock drops as Middle East conflict, fuel costs hit bookings

EasyJet‘s stock fell on Thursday after it warned that the Iran war and higher fuel prices are weighing on customer bookings.

EasyJet said it took on roughly £25 million ($34 million) in additional fuel costs due to the U.S-Iran war and expects airline costs to remain tied to volatile fuel prices over the coming months.

Shares dropped as much as 8.7%, before paring losses to last trade down 3.2%.

The carrier said it expects to report a headline loss before tax between £540 million and £560 million ($732.4 million and $759.6 million) in the first half of 2026. The company is due to report its full first-half results on May 21.

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