Airline company Ryanair expects to make more profit in the current financial year than previously thought. The biggest budget flyer in Europe received that confidence after “particularly strong” performances during the Christmas and New Year period when the company received many last-minute bookings.
All in all, the price fighter expects to close the financial year, which ends at the end of March, with a net profit of between 950 million euros and 1.05 billion euros. According to the price fighter, the final result will be somewhere in the middle of it. The prognosis was previously a maximum of 900 million euros.
Ryanair’s more positive outlook was appreciated by investors. The share won in London to almost 9 percent. The higher bookings alleviate concerns in the market about Ryanair’s growth plans. The airline became more negative about the growth in passenger numbers this summer due to the delayed delivery of the contested Boeing 737 MAX aircraft. Those planes are grounded everywhere after two deadly crashes in five months.
Business went less well with the Austrian daughter Laudamotion of Ryanair. Despite a strong demand for tickets, there was no resurgence during the holidays. Laudamotion suffers from strong competition with subsidiaries of Lufthansa, which sell tickets at very low prices. Ryanair now believes that its subsidiary will suffer a 10 million euro loss in the current financial year than previously predicted.