February 16, 2011
By Staff Reporter
Passenger traffic grew by 37 percent to 7.84 million and the load factor increased by 6 percent to a high of 88 percent.
Revenue was up 35 percent and profits after tax increased to euro 150.9 million, up from euro 88 million during the same period last year.
Average fares declined by 2 percent. However, costs per passenger fell at a faster rate with the result that margins increased by 6 points to 32 percent for the half year.
Chief Executive Michael O’Leary said traffic and revenue growth had been “remarkably strong” across all markets.
“Our profits for the half year already exceed the total profits for the entire previous year, and this is a remarkable achievement at a time when we are still opening up new routes and driving down air fares,” he said.
O’Leary said average fares were over 50 percent lower than Ryanair’s nearest competitor and up to 80 percent lower than Lufthansa and British Airways.
“Staff productivity continues to improve, much of it as a result of operating the larger 737-800 series aircraft,” O’Leary said. “Ryanair is set to carry more than 9,000 passengers per employee this year, a figure that is more than twice that of Southwest and over ten times greater than our principal competitor British Airways.”
O’Leary issued what he said was a “note of caution,” saying that while the half-year profits have been exceptional, “they will not, in my opinion, be repeated.”
He said yields in quarter three and quarter four will be “significantly lower” and as a result profit growth will not be as strong as in the first half of the year.
Despite this, however, O’Leary increased his forecast for full year profits for the budget carrier by 15 percent — up from euro 200 million to euro 230 million.