New Ryanair ForumGood Q3 results
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Good Q3 results
by atoutprix Mon 31 Jan 2011 - 16:00
http://www.ryanair.com/ie/news/ryanair-announces-reduced-q3-loss-of-10m-euro
Ryanair, Europe’s largest passenger airline today (31 Jan) announced a slightly reduced Q3 loss of €10m (down from a Q.3 loss of €11m last year). Total revenues grew by 22% to €746m, as traffic increased 6% to 17m and average fares rose by 15%. Unit costs increased by a similar 15% due to a 14% increase in flight hours, as average sector length rose by 7%. Excluding fuel (which is up 37%), unit costs rose by 8%.
Excerpts :
Announcing these results Ryanair’s CEO, Michael O’Leary, said:
“This small Q.3 loss of €10m is disappointing, as we were on track to break even, but earnings were hit by a series of ATC strikes/walkouts in Q.3, compounded by a spate of bad weather airport closures in December. The scale of these disruptions is evident by the fact that we cancelled over 3,000 flights in Q.3, compared to over 1,400 cancellations during the previous fiscal year.
With constrained capacity growth, we delivered impressive scheduled revenue growth, with traffic up 6% and average fares rising 15%. On top of this ancillary revenues grew by 20%, considerably ahead of our 6% traffic growth. It would appear that the shorthaul fuel surcharges imposed by many of Europe’s flag carriers, allied to the high and rising fares charged by some of our not so low fare competitors, is creating opportunities for Ryanair to grow, even during the Winter period, at slightly higher fares.
The extraordinary scale of ATC and weather cancellations during the third quarter brings renewed focus on the unfair and discriminatory EU261 regulations. Urgent reform of these regulations is vital. It is inequitable to force airlines to pay for right to care or compensation in circumstances where widespread flight cancellations are caused by ATC strikes, or by airports failure to keep their runways open during periods of adverse weather.
Our outlook for Q.4 and the remainder of FY.11 remains largely unchanged. Easter does not fall in the current Q.4, which makes the comparatives challenging. We expect traffic and average fares to continue to benefit from a better mix of new routes and bases, and competitor fuel surcharges (which in many cases exceed Ryanair’s lowest fares). We expect our unit cost performance in Q.4 to be marginally better thanks to the launch of new routes in Feb and March which will reduce the number of grounded aircraft by comparison with Q.3. Accordingly, we are now confident that our Q.4 and full year results will be towards the upper end of our previously guided range of a Net Profit after tax of between €380m to €400m after tax”.
Ryanair, Europe’s largest passenger airline today (31 Jan) announced a slightly reduced Q3 loss of €10m (down from a Q.3 loss of €11m last year). Total revenues grew by 22% to €746m, as traffic increased 6% to 17m and average fares rose by 15%. Unit costs increased by a similar 15% due to a 14% increase in flight hours, as average sector length rose by 7%. Excluding fuel (which is up 37%), unit costs rose by 8%.
Excerpts :
Announcing these results Ryanair’s CEO, Michael O’Leary, said:
“This small Q.3 loss of €10m is disappointing, as we were on track to break even, but earnings were hit by a series of ATC strikes/walkouts in Q.3, compounded by a spate of bad weather airport closures in December. The scale of these disruptions is evident by the fact that we cancelled over 3,000 flights in Q.3, compared to over 1,400 cancellations during the previous fiscal year.
With constrained capacity growth, we delivered impressive scheduled revenue growth, with traffic up 6% and average fares rising 15%. On top of this ancillary revenues grew by 20%, considerably ahead of our 6% traffic growth. It would appear that the shorthaul fuel surcharges imposed by many of Europe’s flag carriers, allied to the high and rising fares charged by some of our not so low fare competitors, is creating opportunities for Ryanair to grow, even during the Winter period, at slightly higher fares.
The extraordinary scale of ATC and weather cancellations during the third quarter brings renewed focus on the unfair and discriminatory EU261 regulations. Urgent reform of these regulations is vital. It is inequitable to force airlines to pay for right to care or compensation in circumstances where widespread flight cancellations are caused by ATC strikes, or by airports failure to keep their runways open during periods of adverse weather.
Our outlook for Q.4 and the remainder of FY.11 remains largely unchanged. Easter does not fall in the current Q.4, which makes the comparatives challenging. We expect traffic and average fares to continue to benefit from a better mix of new routes and bases, and competitor fuel surcharges (which in many cases exceed Ryanair’s lowest fares). We expect our unit cost performance in Q.4 to be marginally better thanks to the launch of new routes in Feb and March which will reduce the number of grounded aircraft by comparison with Q.3. Accordingly, we are now confident that our Q.4 and full year results will be towards the upper end of our previously guided range of a Net Profit after tax of between €380m to €400m after tax”.
atoutprix- FR Moderator
- Number of posts : 2351
Location : Brussels, Belgium (nearest FR base : BRU)
Registration date : 2007-12-13
Re: Good Q3 results
by Ryanairflyer Mon 31 Jan 2011 - 17:51
I think they should reduce the price of all usnsold seats that are still available before departure(low thrills stand-by @ home)... if the airline earn 1p 1c profit on any sold during this period ..it is still better than a empty seat .. may improve figs for Q.4 plus others figures pax etc and i will get more flights in 
My 10kg hand luggage is packed and my redial finger is ready to call my cab firm ... now where is that deal
My 10kg hand luggage is packed and my redial finger is ready to call my cab firm ... now where is that deal
Ryanairflyer- FR Moderator
- Number of posts : 1263
Location : Manchester(EGCC)
Registration date : 2009-06-13
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