Low-cost airline easyJet said yesterday full year pre-tax profit fell 35 per cent to £123 million, while first quarter winter bookings are ahead of last year.

The carrier, currently embroiled in a boardroom battle with founder Stelios Haji-Ioannou over future strategy, said current economic conditions were difficult but it was cutting costs and preserving cash.

Analysts had been expecting pre tax profit to come in at around £122 million for the year to end September, according to Reuters estimates, following guidance from the airline earlier in the year that it would make £115-120 million.

It said 27 per cent shareholder and non-executive director Mr Stelios, who wants the carrier to cut back its plane orders and pay a maiden dividend, had abstained from the vote to approve the annual report and accounts.