Published on 04/11/2024 at 08:09 a.m.
(Boursier.com) — Ryanair reported a sharp decline in its half-year profits, affected by a 10% drop in ticket prices during the period when Europe’s main low-cost airline usually makes the majority of its profits. The Irish carrier thus recorded a net profit of 1.79 billion euros, down 18%, for revenues up 1% to €8.69 billion. Traffic increased by 9% to reach a record 115 million passengers carried, despite repeated delays in deliveries of Boeing aircraft.
The airline group said the decline in ticket prices is moderating and that average fares for the current quarter would be only “slightly lower” than the same period last year. “Forward bookings suggest that demand in the third quarter is strong and that price declines appear to be easing,” said managing director Michael O’Leary.
The executive also indicated that Ryanair would reduce its traffic growth target for its next financial year, which ends on March 31, 2026, to 210 million passengers instead of the 215 million previously planned, to take into account delays in the delivery of Boeing. This figure is based on the assumption that Boeing delivers 15 of the 30 737 MAX planes due to arrive by next summer but, according to CFO Neil Sorahan, “there is a high risk around this number” due to of the huge strike at the American manufacturer.
