Ryanair experienced a substantial 46% decline in profits for the April to June quarter, attributing this drop despite an increase of passenger numbers by 10% during that period. The budget airline reported earnings of €360 million (£303 million), contrasting with their previous year's results and also missing analyst forecasts, causing a decline in stock value by 12.5%.
The decreased performance influenced other publicly traded airlines, such as EasyJet which fell 7.5%, Wizz Air at 6.3% down, and IAG's shares slipping 3.3%. The average cost of a ticket also reduced from €49.07 to €41.93 compared to the previous year. However, Ryanair saw only an overall 1% decrease in total revenues amounting to €363 billion due to increased passenger numbers.
Looking ahead to the summer months, Ryanair anticipates strong demand but expects fares during July to September will be significantly lower than those of the previous year. This prediction is contingent on the performance of bookings in August and September. The company cited a trend where customers are delaying their summer flights purchases more than usual, echoed by Jet2's recent statements about potential modest price increases for this year.
Ryanair also faced challenges due to air traffic control constraints during the last ten days of June, resulting in numerous flight delays and cancellations, especially those departing on early morning flights. The CEO Michael O’Leary emphasized that urgent reform is required within Europe's aviation infrastructure for more efficient service delivery.
Read next
Ryanair plane had only six minutes of fuel upon Manchester landing, records show
Flight Narrowly Avoids Disaster After Storm Diversion
An inquiry has been launched after a Ryanair flight, struggling against severe winds during storm Amy last week, landed at Manchester Airport with only six minutes’ worth of fuel remaining.
The aircraft had been transporting passengers from Pisa, Italy, to Prestwick, Scotland, on
"Qantas customer data for 5 million exposed as hackers release info post-ransom deadline"
Hackers Leak Personal Data of 5 Million Qantas Customers on Dark Web
A cybercriminal group has released personal records of 5 million Qantas customers on the dark web after the airline did not meet their ransom demand.
The breach is part of a larger global incident affecting over 40 companies,
Investors flee record-high UK stocks as EU set to hike steel tariffs
Investors Withdraw Record Sums from Equity Funds Amid High Market Valuations
Data reveals that investors in the UK have withdrawn an unprecedented amount of money from equity funds over the past three months, driven by concerns over soaring stock market valuations.
According to the latest figures from Calastone, the largest