By Anthony O. Goriainoff
Ryanair Holdings reported earnings for fiscal 2023 on Monday. Here’s what we watched:
NET PROFIT: The Irish low cost carrier reported a swing to net profit of 1.31 billion euros ($1.42 billion) for the year ended March 31 from a net loss of EUR240.8 million for fiscal 2022.
REVENUE: Revenue for the period was EUR10.78 billion, compared with EUR4.80 billion the year before. Revenue consensus for the year was EUR10.68 billion, taken from FactSet and based on 19 analysts’ estimates. The company said this was due to a 74% rise in traffic with fares being 10% above prepandemic levels, as well as a rise in ancillary revenue to EUR3.84 billion from EUR2.15 billion the year before.
WHAT WE WATCHED:
–ADJUSTED PROFIT AFTER TAX: The budget airline reported a swing to pre-exceptional profit after tax–its preferred metric–of EUR1.43 billion from a loss of EUR355 million last year.
–COSTS: The company said it expects its fuel bill for fiscal 2024 to increase by over EUR1 billion. Ryanair added that it anticipates a modest increase in unit costs, excluding fuel, as annualized crew pay restoration, higher crew ratios this summer and increased, enroute charges, and that these won’t be fully offset by the expected Boeing aircraft deliveries.
Write to Anthony O. Goriainoff at [email protected]
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