Ryanair delivers a full-year profit of several billion euros, while the low-cost airline's fuel hedging gives it a significant advantage over its competitors.
Ryanair reports increased revenue in the 2025/2026 financial year compared to the same period the previous year. Net profit was slightly higher than expected.
”"Pricing has declined somewhat in recent weeks in response to economic uncertainty caused by higher oil prices, fears of fuel shortages and the risk of inflation negatively affecting consumer spending," the company writes in the report.
The low-cost airline has also hedged 80 percent of its fuel at $67 per barrel for this year. According to CFO Neil Sorahan, Ryanair's airfare bill is expected to rise by "a few hundred million euros," writes Bloomberg.
This compares with British Airways owner IAG's and Lufthansa's bills of 2 and 1.7 billion euros respectively.
Turnover rose 11.4 percent from 13,949 to 15,544 million euros.
The number of passengers increased by 4 percent to 208.4 million.
Operating profit was EUR 2,374 million compared to last year's EUR 1,558 million and the operating margin rose from 11.2 to 15.3 percent.
Profit before tax was EUR 2,423 million. Last year the figure was EUR 1,784 billion.
Profit after tax was 2,259 million euros (1,612), analyst consensus 2,200. The result excludes a provision of 85 million euros for a fine from the Italian competition authority in December. Ryanair expects this fine to be overturned on appeal.
Ryanair expects 4 percent traffic growth to 216 million passengers in 2026/27, but sees increased costs.
Costs are being pressured by higher fuel prices, rising EU taxes, and increased maintenance and personnel costs, which could lift unit costs by a mid-single-digit percentage.
Demand remains stable but bookings are being made closer to the time, while ticket prices have recently weakened somewhat. The company expects lower prices in the first quarter and uncertain developments during the summer.
No profit forecast is provided, citing great uncertainty surrounding fuel prices, geopolitics and the economy.
Source: DI-Finwire.se
