Europe 1 with AFP 10:07 a.m., January 29, 2024
Irish airline Ryanair saw its profit plunge in the third quarter of 2023/2024, due to a surge in costs. The group's net profit fell by 93% to 14.8 million euros, despite a 17% increase in turnover.
Irish airline Ryanair saw its profit plunge in the third quarter of 2023/2024, due to a surge in costs, and reduced its forecast for the financial year. The group's net profit fell 93% to 14.8 million euros, despite an increase in turnover of 17% to 2.7 billion euros, according to a press release published on Monday.
The result suffered from a surge in kerosene costs but also from an increase in salaries, airport fees, among others. "While traffic and fares were up year-on-year, in the run-up to Christmas and New Year's Day occupancy rates and yields were lower than expected in response to the sudden (but welcome) withdrawal. of Ryanair" from "pirate" online travel agencies in early December.
Boeing delivery delays
The company denounced last month the fact that certain sites sell Ryanair flights by inflating the prices of the ticket or services. The airline group still expects a total of 183.5 million passengers transported, or +9%, over the entire delayed financial year, despite "slightly lower occupancy rates in the third quarter and delays in deliveries " of Boeing aircraft ordered, specifies the press release.
The entry into force of an agreement to increase salaries with pilots and the end of free carbon credits will also weigh on the performance of the fourth quarter, "traditionally the weakest", specifies Ryanair. The company therefore reduces its profit forecast after tax to a range between 1.85 and 1.95 billion euros compared to 1.85 to 2.05 billion previously, while specifying that these expectations depend largely on "unforeseen negative factors such as the war in Ukraine, the conflict between Israel and Hamas and further Boeing delivery delays.”