(Alliance News) - Ryanair Holdings PLC on Monday reported a sharp rise in first-quarter revenue, beating pre-Covid numbers and sending the budget airline back into profit, even as Easter bookings and fares were badly damaged by the Russian invasion of Ukraine in February.
For the three months to June 30, revenue was EUR2.60 billion, multiplied from EUR370 million in the first quarter last year. This helped swing the Dublin-based carrier to a profit after tax of EUR170 million from a EUR273 million loss a year before. However, the firm noted this was below its pre-Covid profit of EUR243 million in the first quarter of its financial year 2020, which ended June 30, 2019.
Notably, the airline counted more passengers in the quarter to June 30 and higher revenue than in the quarter to June 30, 2019. Customer numbers were up 7.9% to 45.5 million from 41.9 million.
Revenue increased 13% to EUR2.60 billion from EUR2.31 billion three years ago. The load factor however was lower at 92% from 96%.
Average fares were down 4% on the same quarter pre-Covid, but ancillary revenue continued to perform strongly, delivering over EUR22.50 per passenger, Ryanair noted.
Looking ahead, Ryanair said it could not "ignore the risk" of new Covid variants in autumn. The Dublin-based carrier pointed to its experience with Omicron last November and the Ukraine invasion to demonstrate how "fragile the air travel market remains". Ryanair said the strength of any recovery will be dependent on there being no adverse or unexpected developments over the remainder of financial 2023.
The airline said it is "clear signs of pent-up demand". Average fares in the second quarter of its financial year are tracking ahead of pre-Covid levels by a low double-digit percentage, having been 4% down in the first quarter.
However, bookings remain closer-in than normal, leaving the company with "almost zero visibility into H2".
Ryanair shares were up 0.3% at EUR12.91 in Dublin on Monday morning.
By Tom Budszus; tombudszus@alliancenews.com
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