Business Irish

Monday 18 November 2019

Ryanair cuts full year profit guidance – risk of further Boeing Max delays 'rising'

Stock Image: PA
Stock Image: PA
Ellie Donnelly

Ellie Donnelly

Ryanair has cut its full year profit after tax guidance to between €800m - €900m, and said the risk of further delays to the delivery of its Boeing Max-737s “is rising.”

It had previously forecast profit after tax for the full year in the range of €750m - €950m.

In interim results today the airline said its outlook for the year “remains cautious.”

“We try to avoid the unreliable optimism of some competitors,” it added.

Meanwhile, Ryanair reported an 11pc increase in revenue to €5.39bn in the six months to 30 September.

The performance was driven by a 10pc growth in passengers and an 18pc increase in revenue from ancillaries such as baggage fees and on-board food and drink sales.

Profit after tax for the six months at the airline was flat at €1.15bn.

With regards the Boeing Max-737 aeroplanes, Ryanair said it expects the first of its Max aircraft to be delivered in March or April of next year, however the risk of further delay “is rising”.

It anticipates receiving only 20 MAX-737s (previously 58) in time for summer 2020, which has cut the airlines growth rate next summer to 3pc from 7pc, meaning it will carry five million less guests that previously estimated.

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