Wizz Air just got downgraded: Should travellers be worried?
Budget airline Wizz Air, a favourite among European travellers for cheap flights to top destinations, has hit a patch of financial turbulence. Fitch Ratings has downgraded the carrier’s holding company from ‘BB+’ to ‘BB’, citing underwhelming financial performance and ongoing aircraft maintenance issues linked to faulty engines.
In a report published in London, the international credit rating agency explained that Wizz Air’s weaker-than-expected operational results for the financial year ending in March 2025 were a key factor behind the downgrade. The company generated EUR 5.3 billion in revenue, a 4% year-on-year increase, yet still fell short of Fitch’s projected EUR 5.5 billion target.
One of the most pressing issues weighing on the airline is the grounding of aircraft equipped with Pratt & Whitney (P&W) engines. These forced groundings have triggered persistently high maintenance and depreciation costs, which have rippled across almost every category of operating expenses. The financial compensation provided by P&W hasn’t been enough to offset the mounting costs, leading to increased pressure on the airline’s profitability.
The Fitch report also highlighted that Wizz Air’s cost per available seat kilometre (ASK)—a key industry metric—rose by 11% over the last year. Again, the P&W-related disruptions were primarily to blame.
Fitch maintains a stable outlook for Wizz Air
Despite the downgrade, Fitch maintained a stable outlook, emphasising Wizz Air’s strong cost positioning, which remains competitive with low-cost heavyweights like Ryanair and Turkey’s Pegasus Airlines. The report also acknowledged that while Wizz is smaller than Ryanair or the US-based Southwest Airlines, it still surpasses Pegasus in size and holds a strategic advantage in the fast-growing Central and Eastern European market.
For passengers, this downgrade does not indicate any immediate risk to operations or flight schedules. However, it does reflect financial headwinds that could impact future expansion, fleet upgrades, or ticket pricing strategies.
Bottom line for travellers: Wizz Air is still flying and fighting, but the skies are getting bumpier behind the scenes. If you’re planning to book a flight, there’s no reason to panic, but it’s worth keeping an eye on how these developments unfold.
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