Ryanair expects to see “reasonable” net profit growth in its current financial year, which runs through to the end of next March.
Ryanair Group CEO, Michael O’Leary, said: “While we cautiously expect to recover most, but not all of last years 7% fare decline, which should lead to reasonable net profit growth in FY26, it is far too early to provide any meaningful guidance. The final FY26 outcome remains heavily exposed to adverse external developments, incl. the risk of tariff wars, macro-economic shocks, conflict escalation in Ukraine and the Middle East and European ATC mismanagement/ short staffing.”
Ryanair – which recently became the first European airline to carry 200 million passengers in a 12-month period – also expects its passenger numbers to grow by 3% to 206 million in the year to the end of March. This growth outlook is lower than expected due to delayed deliveries of new Boeing planes to the airline’s fleet.
The outlook comes on the back of Ryanair’s latest annual financial results – showing a 9% jump in passenger numbers to just over 200 million, but a 16% drop in after-tax profit for the 12 months to the end of last March. However, group revenues rose 4% to just under €14bn.
Mr O”Leary said: “The key feature of last years result was the 7% decline in fares which drove strong traffic growth of 9% to just over 200m. Total revenue rose 4% to €13.95bn. Scheduled revenue increased 1% to €9.23bn as traffic (despite repeated Boeing delivery delays) grew 9%. The absence of a full Easter in Q1, consumer spending pressure (driven by higher-for-longer interest rates and inflation in H1) and a big drop off in OTA bookings prior to summer 2024 necessitated repeated price stimulation last year. Ancillary revenues were solid rising 10% to €4.72bn. Operating costs (flat on a per passenger basis) were in line with expectations, rising 9% to €12.39bn as fuel hedge savings offset higher staff and other costs due (in part) to repeated Boeing delivery delays.”
