Menu
27/07/2009
Ryanair Nets Profit
Rising passenger numbers and lower fuel prices helped Ryanair to make a €136.5m (£118m) net profit between April and June, up from €21m last year.
The budget carrier saw an 11% growth in passenger numbers from the same period a year earlier - though revenues fell.
However, the airline - which flies from several Irish locations, north and south - said full year profits would be impacted by aggressive action to slash fares to attract cash-strapped fliers.
Annual net profits were now expected at the lower end of market forecasts for between €200 million and €300 million.
It warned annual profits would be less than anticipated, as it has been forced to cut fares to lure passengers.
The carrier reduced fares by 13% on average over the three months to 30 June.
On the plus side though, the carrier spent 42% less on fuel - having decided not to hedge its bills when oil prices were high.
It has also cut back on some services and just last week it said it was reducing its winter service out of Stansted airport.
A Ryanair statement said its outlook remained "cautious", adding that while growth in passenger numbers was "strong", the recession meant it had to keep prices low, limiting profitability.
"In a very deep recession any airline making a profit is a good result," said Deputy Chief Executive Howard Miller.
"The industry is going through a lot of turmoil and Ryanair will be unique in Europe as the only airline making a profit this year."
The carrier also repeated warnings about the impact of air passenger duty - which will increase from £10 to £11 in the UK for short-haul flights from November.
A similar tax, of €10 euros, was introduced in Ireland in April, and Ryanair has predicted a 20% fall in passenger numbers from Irish airports this winter as a result.
(BMcC/KMcA)
The budget carrier saw an 11% growth in passenger numbers from the same period a year earlier - though revenues fell.
However, the airline - which flies from several Irish locations, north and south - said full year profits would be impacted by aggressive action to slash fares to attract cash-strapped fliers.
Annual net profits were now expected at the lower end of market forecasts for between €200 million and €300 million.
It warned annual profits would be less than anticipated, as it has been forced to cut fares to lure passengers.
The carrier reduced fares by 13% on average over the three months to 30 June.
On the plus side though, the carrier spent 42% less on fuel - having decided not to hedge its bills when oil prices were high.
It has also cut back on some services and just last week it said it was reducing its winter service out of Stansted airport.
A Ryanair statement said its outlook remained "cautious", adding that while growth in passenger numbers was "strong", the recession meant it had to keep prices low, limiting profitability.
"In a very deep recession any airline making a profit is a good result," said Deputy Chief Executive Howard Miller.
"The industry is going through a lot of turmoil and Ryanair will be unique in Europe as the only airline making a profit this year."
The carrier also repeated warnings about the impact of air passenger duty - which will increase from £10 to £11 in the UK for short-haul flights from November.
A similar tax, of €10 euros, was introduced in Ireland in April, and Ryanair has predicted a 20% fall in passenger numbers from Irish airports this winter as a result.
(BMcC/KMcA)
Related Northern Ireland Business News Stories
Click here for the latest headlines.
13 November 2002
Pre-tax profit hike for Viridian Group
The Viridian Group has reported a £3.1 million increase in pre-tax half-year profits. The figures, released on Tuesday, revealed that for the six months up to the end of September, the company posted a pre-tax profit hike of £29.8 million compared to £26.7 million for the same period last year. While turnover increased from £305.3 million to £331.
Pre-tax profit hike for Viridian Group
The Viridian Group has reported a £3.1 million increase in pre-tax half-year profits. The figures, released on Tuesday, revealed that for the six months up to the end of September, the company posted a pre-tax profit hike of £29.8 million compared to £26.7 million for the same period last year. While turnover increased from £305.3 million to £331.
01 February 2010
Ryanair Reveals Profit Increase
Despite a tough year for the tourism industry, Ryanair has announced its profit forecast for the year has increased. The company said today that it expects to see profits of €275million from the last financial year to the end of March. That compares to its previous guidance at the lower end of the €200-300m range.
Ryanair Reveals Profit Increase
Despite a tough year for the tourism industry, Ryanair has announced its profit forecast for the year has increased. The company said today that it expects to see profits of €275million from the last financial year to the end of March. That compares to its previous guidance at the lower end of the €200-300m range.
04 July 2002
Ryanair passenger numbers up 34% on last year
Irish budget airline Ryanair showed passengers are continuing to be won over by the attractive low cost fares the no-frills service supplies. The Dublin-based operator carried 1.25 million people on its aircraft last month, 34% up on a year ago. The airline’s June figure sets another new record for the company.
Ryanair passenger numbers up 34% on last year
Irish budget airline Ryanair showed passengers are continuing to be won over by the attractive low cost fares the no-frills service supplies. The Dublin-based operator carried 1.25 million people on its aircraft last month, 34% up on a year ago. The airline’s June figure sets another new record for the company.
28 October 2008
Tax Hit On 'Budget Airline' At Shannon May Boost NI
The Irish Government's controversial airport tax has led budget airline, Ryanair, to cut its passenger numbers - and job opportunities - through Shannon Airport from two million to a mere 750,000 - and to further rekindle existing interest in expanding its services at Northern Ireland airports.
Tax Hit On 'Budget Airline' At Shannon May Boost NI
The Irish Government's controversial airport tax has led budget airline, Ryanair, to cut its passenger numbers - and job opportunities - through Shannon Airport from two million to a mere 750,000 - and to further rekindle existing interest in expanding its services at Northern Ireland airports.
13 September 2012
UK-Wide APD Cut Would Boost Business - Paisley
North Antrim MP Ian Paisley has called upon the Government to act on a reduction of Air Passenger Duty for the whole of the United Kingdom. The DUP MP was speaking after the Chief Executive of International Airlines Group, the owners of British Airways, gave evidence to the Northern Ireland Affairs Committee at Westminster.
UK-Wide APD Cut Would Boost Business - Paisley
North Antrim MP Ian Paisley has called upon the Government to act on a reduction of Air Passenger Duty for the whole of the United Kingdom. The DUP MP was speaking after the Chief Executive of International Airlines Group, the owners of British Airways, gave evidence to the Northern Ireland Affairs Committee at Westminster.
-
Northern Ireland WeatherToday:A showery start with outbreaks most frequent north of Lough Neagh and through the morning, before dwindling during the afternoon as the northwest breezes ease and brighter spells of weak sunshine prosper. Maximum temperature 8 °C.Tonight:A dry night, save for a few light showers around the coasts, with prolonged clear spells and light winds bringing a frosty dawn for many in central and southern parts. Minimum temperature -3 °C.
