Eastern European low-cost carrier Wizz Air reported a first-quarter net income of €50.7 million ($56 million), up 54.2% from a €32.9 million profit in the year-ago period.

Wizz Air CEO József Váradi said the results demonstrate the resilience of the airline’s business model.

Over the three months to June 30, Wizz Air’s ticket revenues increased 3% to €212 million, but ancillary revenue was up 20.8% at €152.9 million—forming a high proportion of overall revenues, which rose 9.8% to total €364.9 million.

Expenses increased 7.8% to €321 million, producing an operating profit of €43.9 million, up 26.8% from a €34.7 million operating profit in the prior-year quarter. Underlying net profit was 13.9% up at €38.6 million.

Traffic rose 20.8% to 9 billion RPKs on a 19.7% increase in capacity to 10.1 billion ASKs, producing a load factor of 89.5%, up 0.7 of a point.

Yield dipped 9.1% to 4.04 cents as RASK lowered 8.3% to 3.62 cents and CASK decreased 10% to 3.19 cents. CASK ex-fuel was 2.26 cents, up 2.3%.

Load factors are expected to register a “modest improvement,” coupled with a 5% reduction in CASK, while RASK is forecast to register a mid-single digit fall.

Wizz Air also confirmed its €245-€255 million underlying net profit guidance for the full year, although it cautioned that this is based on “limited visibility” over summer trading and second-half revenues.

Victoria Moores, Victoria.moores@penton.com