British budget airline easyJet, whose shares plunged last month after a profit warning, reported on Wednesday a 28 per cent rise in June passenger traffic from a year ago.
Airlines around the world are recovering from last year's woes, when they suffered from the effects of the Iraq war, the SARS virus and a global economic downturn.
EasyJet said it carried 2.24 million passengers last month, with its load factor - an indication of how many seats it has filled on its flights - unchanged from last year at 86 per cent.
Ryanair, a fierce rival of easyJet, and British Airways also reported higher June passenger numbers this week.
However, rising fuel costs and an ongoing price war among no-frills airlines has been a cause of concern for investors.
EasyJet shares fell sharply in June after it warned that 2004 pre-tax profits were likely to be below earlier forecasts, due to high oil prices and its price war with Ryanair.
Its founder, Mr Stelios Haji-Ioannou, has said he is considering taking the airline private, although no firm decision has been made.
Easyjet stock has lost over 40 percent since the start of 2004.