Ryanair boosts profits
LOW cost airline Ryanair has reported a trebling of its annual profits to £289m after tax – a rise of 204% on last year’s figure.
The airline, which has launched a base at Leeds Bradford International Airport, saw fares fall 13% in the year to March 31 but this was compensated for with a 14% rise in passenger numbers to 67 million.
The company also benefited from lower oil costs and a cost reduction strategy. However, it has warned that the disruption from the volcanic ash cloud is expected to hit first quarter profits.
Ryanair said it was also proposing to pay a one-off dividend of €500m (€0.34 per share) in October, subject to shareholder approval at the company’s AGM in September.
Revenue for the full year was €2.99bn, a 2% increase on last year’s €2.94bn.
Announcing the results Ryanair’s chief executive Michael O’Leary, said in addition to profits and traffic growth, the airline had acquired 51 new aircraft and had set up new bases in Bari, Brindisi, Faro, Leeds, Oslo Rygge, Pescara, Porto and Trapani, bring its total to 42.
It has introduced 284 new routes, bringing its total number of services to 940.
“We can be proud of delivering a 200% increase in profits and traffic growth during a global recession when many of our competitors have announced losses or cutbacks,” said Mr O’Leary.
