Flybe is putting itself up for sale, weeks after a savage profit warning.

The Exeter-based airline confirmed this morning that it is “in discussions with a number of strategic operators about a potential sale of the company”.

It also said it was also looking at “further capacity and cost saving measures” as part of a comprehensive review of its options “to address the current challenges facing the airline industry”.

The announcement came as the carrier reported a fall of more than half in pre-tax profits to £7.4m for the six months to the end of September, compared to £16.1m in the same period last year.

Last month Flybe warned that it expected to report a £12m loss for the full year following weaker consumer demand over recent weeks – together with the impact of oil prices and the weaker pound.

That warning sent shares in the company plunging by 40%. It has lost more than 60% of its value over the year to date.

Flybe has been trying to turn around its fortunes by reducing capacity and focusing on its most popular routes, as well as cutting hundreds of jobs and closing unprofitable sites – amid an intensifying industry price war.

In its latest update it reported a 7.2% rise in the key measure of revenue per seat.

Chief executive Christine Ourmières-Widener said continued improvements were being seen into the current third quarter – with a higher portion of seats sold than last year – that showed “the popularity of Flybe for our customers”.

“However there has been a recent softening in growth in the short-haul market, as well as continued headwinds from higher fuel and currency costs.”

“We are responding to this by reviewing every aspect of our business.”

Flybe operates routes from Jersey to 16 UK airports including Birmingham, East Midlands, Cardiff and London City. The airline is also in a franchise partnership with Channel Islands-based Blue Islands.