Ryanair has reported an 18% drop in half-year profits, attributing the decline to a decrease in average ticket prices and ongoing delivery delays from Boeing. The budget airline posted a post-tax profit of €1.79bn (£1.5bn), despite a record passenger demand of 115m, marking a 9% increase year-on-year.
Revenue saw a modest rise of 1% to €8.58bn. However, average fares experienced a 10% fall over the period, dropping to €52 from €58 the previous year, as reported by .
This dip was anticipated by CEO Michael O'Leary in July, leading to a sell-off in several European airlines' stocks. Despite high demand, shares in Europe's largest low-cost airlines have struggled this year due to supply chain issues, falling fares, and air traffic control problems on major routes.
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Ryanair has projected full-year passenger numbers between 198m and 200m, an 8% increase on 2024. However, it warned that ongoing delivery delays at Boeing, where it placed a massive order for 300 737 Max last year, had forced it to lower its 2026 outlook from 215m to 210m.
In a statement, O'Leary said he expected European short-haul capacity to "remain constrained for some years," citing delivery backlogs at Boeing and Airbus, long-standing issues with Pratt and Whitney-manufactured engines, and sector consolidation. He added that it was "too early to provide meaningful" profit guidance for full-year 2024.
"The final FY25 outcome will be subject to avoiding adverse developments during the remaining 5 months of FY25, especially given the risk of conflicts in Ukraine and the Middle East, repeated air traffic control (ATC) short-staffing and capacity restrictions, and/or further Boeing delivery delays."