Editing EasyJet plc (section)

== Risks ==

* Airlines are vulnerable to fluctuations in fuel prices, which can significantly impact operating costs; easyJet has hedged fuel at a higher spot rate than the current price. If price keeps decreasing, easyJet will have greater losses.
* Economics conditions, such as the cost of living crisis the UK is currently suffering from, can result in downturns in demand. With both the interest rate (5%) and inflation (8.7%) increasing, demand is likely to be lower this year. According to Deloitte's 'Global State of the Consumer Tracker,' 2022 report, the rising inflation rates posed a potential threat to travel demand in the upcoming period. Nevertheless, the travel industry received a glimmer of hope as people are still putting holidays near the top of our discretionary spending priorities.
* In the last few years, there has been an increase in competition in the Low cost carrier sector. Companies such as Ryanair and Wizz Air have seen their market shares increase since 2019 and COVID, whereas easyJet’s market share has been relatively stagnant at 7.5%
* Natural disasters, extreme weather events, or health crises (e.g., pandemics) can disrupt travel plans and reduce demand for air travel, impacting the airline's revenue and profitability.
* Labour disputes and strikes from disgruntled employees can disrupt operations, leading to increased costs and delays. This can also result in reputational damage, which will affect the future revenue of the company.
* EasyJet operates in various countries and earns revenue in different currencies. Exchange rate fluctuations can impact the company's financial results when converting foreign earnings back into the reporting currency.
* EasyJet's customer personal data, or those of its service providers could be subject to cyber-attacks or other security incidents, which in turn could result in data breaches, intellectual property theft, litigation, regulatory investigations, reputational damage and other adverse consequences.
* The airline industry is heavily regulated and there is a continual need to keep well-informed and adapt (as required) to any legislative or regulatory changes across the jurisdictions in which easyJet operate.
* If EasyJet is unable to attract, hire and retain key employees and qualified personnel, its ability to compete with others in the low cost sector may be harmed.