Ryanair raises profit forecast

 Ryanair raises profit forecast

Irish no-frills airline Ryanair has raised its annual earnings forecast as it swung into a quarterly profit thanks to falling fuel costs and higher passenger growth.

The airline posted net profit of 49 million euros ($A71.5 million) in the three months to the end of December compared with a loss of 35 million euros during the equivalent period in 2013, the Dublin-based company said in a results statement.

Ryanair lifted its profit guidance for 2014/15 to between 840 and 850 million euros from a previous forecast of up to 830 million euros.

It is the fifth time that the airline has raised its profits forecast for the current financial year that runs to the end of March.

It said that fuel costs dropped by 2.0 per cent, with jet fuel prices declining as a result of tumbling crude, from where it is sourced.

“As lower oil prices kick in over the next two years, Ryanair intends to pass on much, if not all, of these savings to our rapidly growing customer base in the form of lower fares,” the company said.

The airline cautioned that its profit growth expectations were “modest” for next year as its expects rivals to cut fares because of cheaper oil prices.

The airline meanwhile said it had yet to receive a formal offer for its stake in Aer Lingus, which last week backed a 1.35-billion-euro takeover bid from British Airways-parent IAG.

Ryanair is the largest share holder in Aer Lingus and has itself made three failed attempts to take over its Irish rival.

Ryanair on Monday added that its passenger numbers grew by 14.0 per cent to 20.8 million in the third quarter, with revenues up 17 per cent to 1.13 billion euros.

It confirmed a plan to return 520 million euros to shareholders via payment of a special dividend, adding that it would buy back shares at a cost of 400 million euros.

Latest News

  • Products

Embrace the journey: Traversing the world with the Shokz OpenRun

If you’ve been on the wrong side of a final call in the airport, or missed the stop on rail journey, it might be time to invest in a pair of Shokz OpenRun headphones. Originally marketed as headphones for fitness fanatics, runners or cyclists with a keen to steer clear of a prang with a car, […]

  • Tour Operators
  • Tourism

TTC: Deals are driving up demand for September trips

The latest market research from TTC Tour Brands shows interest in international leisure travel remains high for 2024, with 77 per cent of Australians over 18 still planning trips this year. Notably, 28 per cent of those travellers are eyeing September for their journeys. Europe continues to be the most popular destination, with 68 per […]

  • Aviation

Qantas ‘working urgently’ to fix app data leak

Qantas is looking into customer reports that passengers have this morning been able to access other passengers’ personal information on the airlines app. X user Lachlan posted that he was able log into different accounts every time he opened the app. My @Qantas app logs me in to a different person each time I open […]

  • Hotels

Revamped Wailoaloa Beach hotel opens as Crowne Plaza Fiji Nadi Bay Resort & Spa

Crowne Plaza Fiji Nadi Bay Resort & Spa is open and ready for bookings after the first phase of a multi-million-dollar transformation. Part of IHG Hotels & Resorts’ premium collection, the transformation has seen the completion of 106 guestrooms showcasing contemporary interiors reflective of the premium Crowne Plaza brand and is a first for the […]

  • Luxury
  • News

Kamalaya Koh Samui clinches clutch of wellness awards

Kamalaya Wellness Sanctuary & Holistic Spa has so far clinched five prestigious awards in 2024, including being inducted into the ‘Hall of Fame’ at the World Spa & Wellness Awards in London. Founders of the Koh Samui sanctuary and spa John and Karina Stewart expressed their heartfelt gratitude for the awards. “We are profoundly honoured […]