Ryanair reports strong Q1 Financial Year profits

A Ryanair Boeing 737 with new Scimitar winglets.
Photo Credit: Ryanair

In a recent financial report, Ryanair Holdings has announced impressive first-quarter profits of €663 million for the current fiscal year. The company attributes its success to various factors, including a robust Easter period and an additional UK public holiday in May.

In comparison, last year’s Q1 profit after tax (PAT) of €170 million was adversely affected by Russia’s invasion of Ukraine in February 2022, which led to decreased traffic and fares during that period.

Q1 performance and revenue growth

Ryanair’s scheduled revenues for Q1 FY24 experienced a remarkable 57% increase, reaching €2.47 billion. The company’s passenger traffic also grew by 11%, reaching a total of 50.4 million, while average fares rose significantly by 42% to €49.

These positive outcomes were primarily driven by the strong Easter season and the added public holiday in the UK during May.

Additionally, ancillary revenue witnessed a growth of 15% to €1.18 billion, equivalent to approximately €23.30 per passenger. As a result, the total Q1 FY24 revenue soared by 40% to €3.65 billion.

Expansion and growth strategies

Ryanair is currently operating its most extensive summer schedule, offering over 3,200 flights and accommodating up to 600,000 passengers daily.

The airline has recently opened three new bases in Belfast, Lanzarote, and Tenerife, along with introducing more than 190 new routes. These expansions have further strengthened Ryanair’s position as a leading airline in the Italian, Polish, Spanish, and UK markets.


The carrier has also announced its plans to extend its services to and from Albania during the upcoming winter season, marking an expansion of its footprint in Central and Eastern Europe.

Market constraints and opportunities

Despite its growth and expansion efforts, CEO Michael O’Leary acknowledged the challenges faced by the European aviation industry.

Structural capacity reductions in the wake of several airline failures or fleet cutbacks during the pandemic, volatile oil prices discouraging some airlines from expanding, and a shortage of new and leased aircraft have led to constrained short-haul capacity throughout Europe during the summer.

However, the demand for H1 (first half) is robust, and fares remain ahead of the previous year as the airline enters peak season. While Q2 seems slightly weaker in comparison to Q1, Ryanair remains optimistic about the industry’s prospects.

Fleet upgrades and Gamechanger aircraft

Ryanair’s fleet continues to evolve, with its Gamechanger fleet reaching 119 aircraft at the end of the quarter. The company anticipates increasing this number to 124 by the end of July.

Ryanair recently finalized an order with Boeing for 300 Boeing MAX-10 aircraft (150 firm orders and 150 options). Subject to shareholder approval at the Sept. AGM, these aircraft are expected to be delivered between 2027 and 2033.

The Boeing MAX-10 aircraft offer numerous advantages, including 39 more seats compared to the Boeing 737NG, 20% lower fuel consumption, 20% fewer CO2 emissions, and a 50% reduction in noise levels.

Such fleet upgrades are a testament to Ryanair’s commitment to providing a superior travel experience while maintaining its focus on environmental sustainability.

FY24 outlook

Ryanair anticipates its traffic for FY24 to grow to approximately 183.5 million passengers, which represents a 9% increase. However, this growth rate is slightly lower than the original forecast of 185 million due to Boeing’s delivery delays in spring and autumn 2023.

Despite these challenges, the airline remains cautiously optimistic that its FY24 profit after tax (PAT) will exceed last year’s results. Nevertheless, the company acknowledges that it is still too early to provide precise PAT guidance for FY24. Further details and projections will be announced during the H1 results in November.

With its expansion plans, fleet upgrades, and continued focus on operational efficiency, Ryanair appears well-positioned to achieve substantial market share gains and further growth in the coming years, aiming to serve 300 million passengers annually by FY34.

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By Len Varley - Assistant Editor 5 Min Read
5 Min Read
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