Ryanair profit plunges almost 30pc on the back of lower fares, higher fuel costs
Ryanair has reported a 29pc fall in its full year profit to 31 March 2019 on the back of declining fares, and higher fuel and staff costs.
Profit after tax for the period was €1.02bn, down from €1.45bn in the prior year, according to annual results from the airline.
Meanwhile, revenue over the 12 months was up 6pc to €7.56bn, from €7.15bn a year earlier.
During the year Ryanair carried 139 million passengers, up from 130 million people the prior year.
Ryanair CEO Michael O’Leary said:
“As previously guided, Ryanair (excluding Lauda) reports a full year after tax profit of €1.02bn.”
“Short-haul capacity growth and the absence of Easter in quarter four led to a 6pc fare decline, which stimulated 7pc traffic growth to over 139million (142million guests including Lauda)," Mr O’Leary added.
During the year ancillary sales, which is sales from non-ticket items such as baggage fees and sales of on board food and drinks, performed strongly up 19pc to €2.4bn.
The group said it has delayed the delivery of its first five Boeing 737-MAX aircraft to winter 2019.
“We continue to have utmost confidence in these aircraft which have 4pc more seats, are 16pc more fuel efficient and generate 40pc lower noise emissions,” the airline said.
Looking forward the group said its costs will increase as its full-year fuel bill jumps by another €460m.
More to follow