Ryanair has reported a 15% drop in airfares in the three months to the end of June and said cheaper fares will continue throughout the summer.
The airline said summer prices will be ‘materially lower’ than last year, while reporting lower-than-expected profit for its 2025 first financial quarter.
Profit after tax for the three months to the end of June was 46% lower than the previous first quarter, at €360 million (£303m) and much less than market analysts’ forecast of at least €530m.
Ryanair said it had discounted fares by an average of 15%, to €41.93 per passenger, down from €49.07 the year before and said lower fares would continue. Previous guidance said summer fares would be ‘flat to modestly up’.
It said revenue per passenger was 10% down as a whole, with ancillary revenue flat. An 11% rise in wages offset lower fuel bills.
CEO Michael O’Leary told shareholders: “While Q2 demand is strong, pricing remains softer than we expected, and we now expect Q2 fares to be materially lower than last summer [previously expected to be flat to modestly up]”.
He added it was too early to forecast profit for the full financial year.
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The airline said summer prices will be ‘materially lower’ than last year, while reporting lower-than-expected profit for its 2025 first financial quarter.
Profit after tax for the three months to the end of June was 46% lower than the previous first quarter, at €360 million (£303m) and much less than market analysts’ forecast of at least €530m.
Ryanair said it had discounted fares by an average of 15%, to €41.93 per passenger, down from €49.07 the year before and said lower fares would continue. Previous guidance said summer fares would be ‘flat to modestly up’.
It said revenue per passenger was 10% down as a whole, with ancillary revenue flat. An 11% rise in wages offset lower fuel bills.
CEO Michael O’Leary told shareholders: “While Q2 demand is strong, pricing remains softer than we expected, and we now expect Q2 fares to be materially lower than last summer [previously expected to be flat to modestly up]”.
He added it was too early to forecast profit for the full financial year.
The post Ryanair’s average fare drops 15%, with lower prices set to continue appeared first on Travel Gossip.
Continue reading...
