Ryanair's profits soar as it highlights pressures on consumers

Ryanair has reported profits after tax soaring nearly four-fold for the three months to the end of June, but highlighted pressures on consumers during the the cost of living crisis as mortgage rates have jumped higher.
By Greg Wright
Published 24th Jul 2023, 08:34 BST

The low-cost Irish airline posted profits after tax of 663m euro (£573.6m) for its first quarter, up from 170 million euros (£147.1m) a year ago.

Ryanair said fares were 42 per cent higher on average at 49 euros and passenger traffic grew 11 per cent in its first quarter against weak comparisons a year earlier following Russia’s invasion of Ukraine in February 2022.

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But it said fare growth was starting to ease back sharply, rising by a low double-digit percentage and said it may need to take action on fares to boost demand as consumers face cost pressures.

Ryanair has reported profits after tax soaring nearly four-fold for the three months to the end of June. (Photo by Nicholas.T.Ansell/PA Wire)Ryanair has reported profits after tax soaring nearly four-fold for the three months to the end of June. (Photo by Nicholas.T.Ansell/PA Wire)
Ryanair has reported profits after tax soaring nearly four-fold for the three months to the end of June. (Photo by Nicholas.T.Ansell/PA Wire)

“We are conscious that consumers may require some fare stimulation to fill our 25 per cent greater seat capacity this winter (compared to pre-Covid) following months of rising mortgage rates and consumer price inflation,” the group said.

Related topics:RyanairUkraineRussia