Following the Icelandic volcanic eruption in March and the resulting ash cloud over Europe, easyJet had to cancel 7,314 flights, causing disruption to 960,000 passengers.
The plan to pay a dividend next year should appease founder Sir Stelios Haji-Ioannou, whose family controls around 38% of the shares and has long called for the easyJet board to start payments to shareholders.
The airline has recruited more staff and introduced additional breaks in its schedule, in what the company has described as a long-term fix.
easyJet, which flies from UK airports including London-based Luton, Gatwick and Stansted, also announced it will buy another 24 planes, expanding its fleet to a total of 220 aircraft by September 2013, representing a 7% increase in seats per year.
The firm announced it has launched a new flexible fare targeted at business travellers that will give passengers flexibility to change their flight up to two hours before the scheduled departure time.
Its other aim is to increase ancillary revenues after it started easyJet Holidays, allowing passengers to book accommodation at the same time as booking a flight.
Copyright Press Association 2010