Ryanair reports net fiscal profit of €375 million
24 May 2011
Ryanair reported a net profit of €374.6 million ($530 million) for its fiscal year ended 31 March, up 23% from €305.3 million earned in the previous fiscal. Despite the uptick it warned that up to 80 aircraft could be grounded coming winter to counter surging fuel prices and limit losses to protect full-year profitability.
It had already grounded 40 aircraft in the winter of 2010-11.
''Higher oil prices next winter, and the refusal of some airports to offer lower charges, makes it more profitable to tactically ground up to 80 aircraft rather than suffer losses operating them to high cost airports at low winter yields,'' said CEO Michael O'Leary.
O'Leary also predicted that higher oil prices will lead ''to further consolidations, increased competitor losses and more airlines going broke.'' This, O'Leary concluded, ''creates further growth opportunities for Ryanair because we operate the most fuel-efficient aircraft, have the lowest operating costs, and the strongest balance sheet.''
Cash in hand totals €3 billion.
Excluding exceptional items, FY2010-11 net earnings increased 26% to €400.7 million from €318.8 million in FY2009-10. FY2010-11 revenue rose 21% to €3.63 billion on an 8% increase in booked passengers to 72 million.