Member Article

Airline’s fortunes nose-dive

Shares in airline Flybe plunged 57½ to 172½p yesterday after revealing that full-year profits for the 12 months to March of would likely stand at £22m – around £2m short of analyst expectations.

Flybe, which flies from airports including Birmingham, Cardiff and Edinburgh, blamed the failure to hit its forecast on a recent slowdown in consumer spending on air travel and high oil prices.

Derek Mitchell, a portfolio manager at Royal London Asset Management, one of the largest institutional shareholders in Flybe, told reporters: “It’s not good the shares have fallen so far so soon after the IPO - it’s very disappointing.

“The decline in share price is not something we like to see. It will obviously impact our fund performance.”

This was posted in Bdaily's Members' News section by Ruth Mitchell .