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Ryanair raises annual forecast, Q1 loss smaller than expected


As a result of strong bookings for this summer, Ryanair reported a slightly smaller-than-expected quarterly loss and raised its full-year traffic forecast on Monday. However, its fares remain well below pre-pandemic levels.

The airline carried 27.5 million passengers in the year ending March 2021, down from 149 million the previous year.

Low-cost airline Ryanair now expects to carry between 90 million and 100 million passengers in the fiscal year ending March 2022, up from an earlier forecast of 80 million to 100 million.

For the first quarter of its fiscal year 2021-2022, the group lost 273 million euros, while analysts polled by the company expected a loss of 283 million.

Chief Executive Michael O’Leary said in a statement that while it remains impossible to provide an accurate profit forecast for the current fiscal year, the group expects to post a small loss or return to breakeven.

According to the executive, Ryanair expects to carry 9 million passengers in July, at the upper end of its previous forecast of 7 million to 9 million, and 10 million in August.

COVID-19-related travel restrictions across Europe have crippled the industry, but Ryanair expects a “strong recovery” this winter and next summer as its competitors reduce capacity.

The airline, which has one of the strongest balance sheets in the industry, said it had cash reserves of €4.06 billion, up from €3.15 billion at the end of March, after issuing a €1.2 billion bond in May.

Neil Sorohan, Ryanair’s CFO, also told Reuters in an interview that the group could order 10 Boeing 737 MAX aircraft this year if the cost is right.

For MetaNews.


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Jonathan Hobbs is an Australian investor and author that trades on a variety of asset classes, including currencies, equities, and commodities. Jonathan’s experience as a macro trader leverages his unique writing style to combine important elements, such as technical analysis and news. The other elements that he brings into his unique writing styles are foundation analysis aimed at rational equilibrium values, evaluating the sizes and motivations of buyers and sellers, as well as identifying the needs of the buyers and sellers in the individual markets. Jonathan is committed to quality writing for new traders as well as veterans.

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