REG - Ryanair Holdings PLC Ryanair Holdings-RYA - Q1 FY26 Ryanair Holdings plc Earnings
21/07/2025 07:00
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RNS Number : 7329R Ryanair Holdings PLC 21 July 2025
RYANAIR REPORTS Q1 PAT OF €820M AS
Q1 FARES RECOVER ON STRONG EASTER & MODEST GROWTH
Ryanair Holdings plc today (21 July) reported Q1 profit after tax of €820m,
compared to prior-year Q1 PAT of €360m, as traffic grew 4% to 58m passengers
at 21% higher fares.
Q1 End: June 2024 June 2025 Change
Passengers 55.5m 57.9m +4%
Load Factor 94% 94% -
Revenue €3.63bn €4.34bn +20%
Op. Costs €3.26bn €3.42bn +5%
PAT €360m €820m +128%
Q1 highlights include:
· Traffic grew 4% to 57.9m.
· Rev. per pax rose 15% (ave. fare up 21% to €51 & ancil. rev. up
3%).
· Unit cost inflation just 1% - cost gap advantage widens.
· Competitive fuel hedges de-risk Group: c.85% FY26 at $76bbl.
· 181 B737 "Gamechangers" in 618 fleet (incl. 5 deliveries in Q1).
· Over 160 new S.25 routes (total: 2,600 routes).
· 30 spare CFM LEAP engines bought to improve resilience.
· Ryanair added to the MSCI World Index.
Q1 REVIEW
Ryanair Group CEO Michael O'Leary, said:
Revenue & Costs:
"Total revenue rose 20% to €4.34bn. Scheduled revenue increased 26% to
€2.94bn as traffic grew 4% with 21% higher fares. Q1 fares substantially
benefitted from having a full Easter holiday in April, weak prior-year comps
and marginally stronger than expected close-in pricing. Ancillary revenues
delivered another solid performance rising 7% to €1.39bn. Operating costs
rose 5% (+1% per pax) to €3.42bn as our jet fuel hedging largely offset ATC
fees (up 16%) and higher enviro. costs (as ETS allowances unwind and SAF blend
mandates impact costs from Jan. 2025).
Ryanair's competitive fuel hedging provides a key advantage in current
volatile oil markets, with FY26 almost 85% hedged at $76bbl and FY27 36%
hedged at just under $66bbl.
Balance Sheet, Liquidity & Returns:
Ryanair's balance sheet is one of the strongest in the industry with a BBB+
credit rating (both Fitch and S&P) and unencumbered B737 fleet (over 590
aircraft). At 30 June, gross cash was €4.4bn after €0.6bn capex and
almost €0.4bn debt repayments. Net cash was €2.0bn (up from €1.3bn at
31 Mar.), leaving the Group well positioned to repay approx. €2.1bn maturing
bonds over the next 10-months (incl. an €850m bond in Sept.) from internal
cash resources. This financial flexibility further widens the cost gap
between Ryanair and competitors who are exposed to expensive (long-term)
finance and rising aircraft lease costs.
We welcome Ryanair's full addition to the MSCI World Index and expect to join
the FTSE Russell Index, following their semi-annual index review, in Sept.
(albeit this inclusion will be phased over approx. 2-years). In May, we
launched our latest share buyback and have purchased (and cancelled) c.1.6m
shares under the programme, at a cost of €39m, at 30 June.
FLEET & GROWTH
Ryanair has 181 B737-8200 "Gamechangers" (up 25 from June 2024) in its 618
aircraft fleet, facilitating 3% FY26 traffic growth (to 206m passengers). We
remain confident that the 29 remaining Gamechangers in our 210 orderbook will
deliver well ahead of S.26, when we hope to recover this years delayed traffic
growth into FY27. Boeing continues to expect MAX-10 certification in late
2025 and we're planning for the timely delivery of our first 15 MAX-10
deliveries in Spring 2027, with 300 of these very fuel efficient aircraft due
to deliver by Mar. 2034.
This summer we will operate over 2,600 routes (incl. 160 new routes) and we're
seeing strong S.25 travel demand across our network. Our Group airlines
capacity constrained growth is being allocated to those regions and airports
who are cutting aviation taxes and incentivising traffic growth, and we expect
this trend to continue.
We believe European short-haul capacity will remain constrained for the next 5
years to 2030 as the big 2 OEMs remain well behind on aircraft deliveries,
many of Europe's Airbus operators work through Pratt & Whitney engine
repairs and EU airline consolidation continues (SAS, TAP, Air Europa &
others). These industry capacity constraints, combined with our widening
unit cost (and fuel hedge) advantage, strong balance sheet, low-cost aircraft
orders and industry leading ops resilience will, we believe, facilitate
Ryanair's controlled profitable growth to 300m passengers p.a. by FY34.
ESG
During Q1 we took delivery of 5 new B737 Gamechangers (4% more seats, 16% less
fuel & CO(2)) and saw the benefit (1.5% lower fuel burn and 6% less noise)
from the retrofit of winglets to our B737NG fleet (target of 409 by 2026).
Our recent deal to buy 30 CFM LEAP-IB engines is a significant $500m
commitment to improve our operational resilience. These latest technology
engines reduce fuel consumption and CO(2) emissions per seat by up to 20%.
The Groups ambitious SAF commitments and our ongoing investment in new
technology positions Ryanair as one of Europe's most environmentally efficient
airlines. It is notable that, despite being Europe's largest passenger
airline, we are only No.4 in the recent Cirium list of EU airline CO(2)
emissions.
OUTLOOK
FY26 traffic remains on track to grow just 3% to 206m passengers, due to
heavily delayed Boeing deliveries. As previously guided, we expect modest
unit cost inflation in FY26 as the delivery of more B737 Gamechangers,
advantageous fuel hedging and effective cost control across our Group airlines
helps offset increased ATC charges and higher enviro. costs. While S.25
travel demand is strong, Q2 fare increases will be lower than in Q1 (which
benefitted from a full Easter holiday in April and weak prior-year comps) and
we now expect to recover almost all of the 7% fare decline we suffered in PY
Q2. The final H1 outcome is, however, heavily dependent on the strength of
close-in Aug. and Sept. bookings. As is normal at this time of year, we have
zero H2 visibility (where PY fare comps normalise and last years modest
delivery delay compensation rolls off).
It remains too early to provide meaningful FY26 PAT guidance. We do,
however, cautiously expect to recover almost all of last years 7% full-year
fare decline, which should lead to reasonable net profit growth in FY26. The
final FY26 outcome remains heavily exposed to adverse external developments,
incl. the risk of tariff wars, macro-economic shocks, conflict escalation in
the Middle East and Ukraine and European ATC strikes, mismanagement &
short staffing."
ENDS
For further information Neil Sorahan Cian Doherty
please contact: Ryanair Holdings plc Drury
www.ryanair.com (http://www.ryanair.com) Tel: +353-1-9451212 Tel: +353-1-260-5000
Ryanair Holdings plc, Europe's largest airline group, is the parent company of
Buzz, Lauda, Malta Air, Ryanair & Ryanair UK. Carrying c.206m guests p.a.
on approx. 3,600 daily flights from 93 bases, the Group connects 233 airports
in 37 countries on a fleet of almost 620 aircraft, and c.330 new Boeing 737s
on order, which will enable the Ryanair Group to grow traffic to 300m p.a. by
FY34. Ryanair has a team of over 26,000 highly skilled aviation professionals
delivering Europe's No.1 operational performance, and an industry leading
40-year safety record. Ryanair is one of the most efficient major EU airlines.
With a young fleet and high load factors, Ryanair targets 50grams of CO₂ per
pax/km by 2031 (a 27% reduction).
Certain of the information included in this release is forward looking and is
subject to important risks and uncertainties that could cause actual results
to differ materially and that could impact the price of Ryanair's securities.
Forward looking statements are based on management's beliefs and assumptions
and on information currently available to management. Ryanair has no
obligation to update any forward looking statements contained in this release,
whether as a result of new information, future events, or otherwise. It is not
reasonably possible to itemise all of the many factors and specific events
that could affect the outlook and results of an airline operating in the
European economy and the price of its securities. Among the factors that are
subject to change and could significantly impact Ryanair's expected results
and the price of its securities are the airline pricing environment, fuel
costs, competition from new and existing carriers, market prices for the
maintenance and replacement of aircraft, costs associated with environmental,
safety and security measures, actions of the Irish, U.K., European Union
("EU") and other governments and their respective regulatory agencies,
litigation, post-Brexit uncertainties, changes in the structure of the
European Union, any further change in the restrictions on the ownership of
Ryanair's ordinary shares and the voting rights of its shareholders and ADR
holders, including as a result of regulatory changes or the actions of Ryanair
itself, weather related disruptions, ATC strikes and staffing related
disruptions, aircraft availability and delays in the delivery of contracted
aircraft, dependence on external service providers and key personnel, supply
chain disruptions, tariffs, fluctuations in corporate tax rates, currency
exchange rates and interest rates, airport access and charges, labour
relations, the economic environment of the airline industry, the general
economic environment in Ireland, the U.K. and Continental Europe, continued
acceptance of low fares airlines, the general willingness of passengers to
travel, war, geopolitical uncertainty and other economic, social and political
factors, significant outbreaks of airborne disease and global pandemics such
as Covid-19 and unforeseen security events, terrorist attacks and
cyber-attacks. There may be other risks and uncertainties that Ryanair is
unable to predict at this time or that Ryanair currently does not expect to
have a material adverse effect on its business.
Ryanair Holdings plc and Subsidiaries
Condensed Consolidated Interim Balance Sheet as at June 30, 2025 (unaudited)
At Jun 30, At Mar 31,
2025 2025
Note €M €M
Non-current assets
Property, plant and equipment 11,001.3 10,923.7
Right-of-use asset 138.6 148.5
Intangible assets 146.4 146.4
Derivative financial instruments 10 16.6 15.4
Deferred tax 35.1 1.6
Other assets 266.5 261.7
Total non-current assets 11,604.5 11,497.3
Current assets
Inventories 5.0 4.6
Other assets 1,969.3 1,850.7
Trade receivables 10 96.9 73.5
Derivative financial instruments 10 30.0 94.4
Restricted cash 10 23.1 23.1
Financial assets: cash > 3 months 10 734.9 100.1
Cash and cash equivalents 10 3,613.3 3,863.3
Total current assets 6,472.5 6,009.7
Total assets 18,077.0 17,507.0
Current liabilities
Provisions 50.1 53.5
Trade payables 10 575.2 702.0
Accrued expenses and other liabilities 6,434.0 6,179.4
Current lease liability 34.4 37.7
Current maturities of debt 10 2,047.8 848.4
Derivative financial instruments 10 460.5 224.7
Current tax 202.0 107.1
Total current liabilities 9,804.0 8,152.8
Non-current liabilities
Provisions 129.3 141.1
Derivative financial instruments 10 139.5 2.5
Deferred tax 361.1 377.1
Non-current lease liability 94.0 111.4
Non-current maturities of debt 10 147.3 1,685.2
Total non-current liabilities 871.2 2,317.3
Shareholders' equity
Issued share capital 6.4 6.4
Share premium account 1,430.2 1,421.6
Other undenominated capital 4.0 4.0
Retained earnings 6,343.5 5,588.6
Other reserves (382.3) 16.3
Total shareholders' equity 7,401.8 7,036.9
Total liabilities and shareholders' equity 18,077.0 17,507.0
Ryanair Holdings plc and Subsidiaries
Condensed Consolidated Interim Income Statement for the Quarter Ended June 30,
2025 (unaudited)
IFRS Quarter Ended IFRS Quarter Ended
Change
Jun 30, 2025 Jun 30, 2024
Note %* €M €M
Operating revenues
Scheduled revenues +26% 2,943.8 2,328.9
Ancillary revenues +7% 1,393.8 1,297.2
Total operating revenues 7 +20% 4,337.6 3,626.1
Operating expenses
Fuel and oil -2% 1,456.8 1,421.9
Airport and handling charges -6% 495.1 467.2
Staff costs -3% 461.7 448.3
Route charges -16% 356.3 307.5
Depreciation -10% 343.3 313.2
Marketing, distribution and other -1% 221.2 219.3
Maintenance, materials and repairs -8% 89.9 83.0
Total operating expenses -5% 3,424.3 3,260.4
Operating profit +150% 913.3 365.7
Other income
Net finance and other income 48.7 28.1
Foreign exchange (loss)/gain (31.8) 7.0
Total other income 16.9 35.1
Profit before tax +132% 930.2 400.8
Tax (expense) 4 (110.3) (40.8)
Profit for the quarter - all attributable to equity holders of parent +128% 819.9 360.0
Earnings per ordinary share (€)
Basic +144% 0.7717 0.3164
Diluted +144% 0.7659 0.3145
Weighted avg. no. of ord. shares (in Ms)
Basic 1,062.5 1,137.9
Diluted 1,070.5 1,144.6
*'+' is favourable and '-' is adverse period-on-period.
Ryanair Holdings plc and Subsidiaries
Condensed Consolidated Interim Statement of Comprehensive Income for the
Quarter Ended June 30,
2025 (unaudited)
Quarter Quarter
Ended Ended
Jun 30, Jun 30,
2025 2024
€M €M
Profit for the quarter 819.9 360.0
Other comprehensive (loss)/income:
Items that are or may be reclassified subsequently to profit or loss:
Movements in hedging reserve, net of tax:
Net movement in cash-flow hedge reserve (403.0) 98.6
Other comprehensive (loss)/income for the quarter, net of income tax (403.0) 98.6
Total comprehensive income for the quarter - attributable to equity holders of
parent
416.9 458.6
Ryanair Holdings plc and Subsidiaries
Condensed Consolidated Interim Statement of Cash Flows for the Quarter Ended
June 30, 2025 (unaudited)
Quarter Quarter
Ended Ended
Jun 30, Jun 30,
2025 2024
€M €M
Operating activities
Profit after tax 819.9 360.0
Adjustments to reconcile profit after tax to net cash from operating
activities
Depreciation 343.3 313.2
(Increase)/Decrease in inventories (0.4) 0.4
Tax expense 110.3 40.8
Share based payments 4.5 2.5
(Increase) in trade receivables (23.4) (24.1)
(Increase) in other assets (127.0) (303.4)
Increase in trade payables 62.3 147.8
Increase in accrued expenses and other liabilities 258.2 633.2
(Decrease) in provisions (15.6) (3.2)
(Decrease) in finance income (4.2) (8.6)
(Increase) in finance expense (1.4) (1.5)
Foreign exchange 42.4 (5.2)
Income tax (paid) (10.7) (25.2)
Net cash inflow from operating activities 1,458.2 1,126.7
Investing activities
Capital expenditure - purchase of property, plant and equipment (622.8) (501.5)
(Increase) in financial assets: cash > 3 months (634.8) (288.3)
Net cash (used in) investing activities (1,257.6) (789.8)
Financing activities
Proceeds from shares issued 1.0 -
Share buyback (59.1) (248.8)
Dividends paid - -
Repayment of borrowings (340.0) (5.0)
Lease liabilities paid (8.9) (8.6)
Net cash (used in) financing activities (407.0) (262.4)
(Decrease)/Increase in cash and cash equivalents (206.4) 74.5
Net foreign exchange differences (43.6) 5.2
Cash and cash equivalents at beginning of the quarter 3,863.3 3,875.4
Cash and cash equivalents at end of the quarter 3,613.3 3,955.1
Included in the cash flows from operating activities for the quarter are the
following amounts:
Interest income received 22.2 36.5
Interest expense paid (17.6) (19.8)
Ryanair Holdings plc and Subsidiaries
Condensed Consolidated Interim Statement of Changes in Shareholders' Equity
for the Quarter Ended June 30, 2025 (unaudited)
Issued Share Other Other
Ordinary Share Premium Undenom. Retained Reserves Other
Shares Capital Account Capital Earnings Hedging Reserves Total
M €M €M €M €M €M €M €M
Balance at April 01, 2024 1,140.1 6.9 1,404.3 3.5 5,899.8 265.9 33.8 7,614.2
Profit for the year - - - - 1,611.6 - - 1,611.6
Other comprehensive (loss)
Net movements in cash flow reserve - - - - - (287.2) - (287.2)
Total other comprehensive loss - - - - - (287.2) - (287.2)
Total comprehensive income/(loss) - - - - 1,611.6 (287.2) - 1,324.4
Transactions with owners of the Company recognised directly in equity
Issue of ordinary equity shares 1.0 - 17.3 - (12.4) - - 4.9
Repurchase of ordinary equity shares - - - - (1,481.7) - - (1,481.7)
Cancellation of repurchased shares (77.2) (0.5) - 0.5 - - - -
Dividends paid - - - - (437.7) - - (437.7)
Share-based payments - - - - - - 12.8 12.8
Transfer of exercised and expired share-based awards - - - - 9.0 - (9.0) -
Balance at March 31, 2025 1,063.9 6.4 1,421.6 4.0 5,588.6 (21.3) 37.6 7,036.9
Profit for the quarter - - - - 819.9 - - 819.9
Other comprehensive (loss)
Net movements in cash flow reserve - - - - - (403.0) - (403.0)
Total other comprehensive loss - - - - - (403.0) - (403.0)
Total comprehensive income/(loss) - - - - 819.9 (403.0) - 416.9
Transactions with owners of the Company recognised directly in equity
Issue of ordinary equity shares 0.4 - 8.6 - (7.6) - - 1.0
Repurchase of ordinary equity shares - - - - (57.5) - - (57.5)
Cancellation of repurchased shares (2.8) - - - - - - -
Share-based payments - - - - - - 4.5 4.5
Transfer of exercised and expired share-based awards - - - - 0.1 - (0.1) -
Balance at June 30, 2025 1,061.5 6.4 1,430.2 4.0 6,343.5 (424.3) 42.0 7,401.8
Ryanair Holdings plc and Subsidiaries
MD&A Quarter Ended June 30, 2025 ("Q1 FY26")
Introduction
For the purposes of the Management Discussion and Analysis ("MD&A") (with
the exception of the balance sheet commentary) all figures and comments are by
reference to the quarter ended June 30, 2025 results.
Income Statement
Scheduled revenues:
Scheduled revenues increased 26% to €2.94BN as traffic grew 4% (to 57.9M
passengers) with 21% higher fares (approx. €51). Q1 fares benefitted from
having a full Easter holiday in April 2025 and weak prior year comps.
Ancillary revenues:
Ancillary revenues delivered a solid performance rising 7% to €1.39BN as
traffic grew 4% and spend on discretionary services rose 3% to over €24 per
passenger.
Total revenue:
As a result of the above, total revenue rose 20% to €4.34BN.
Operating Expenses:
Fuel and oil:
Fuel and oil increased 2% to €1.46BN as favourable jet fuel hedging and
lower fuel burn (new B737-8200 "Gamechanger" aircraft and retrofit scimitar
winglets on our B737-800NG fleet) helped offset a 4% increase in sectors and
higher environmental costs (as ETS allowances unwind and SAF blend mandates
impact costs from Jan. 2025).
Airport and handling charges:
Airport and handling charges rose 6% to €495M, due to 4% traffic growth,
ground ATC rate hikes and higher handling labour costs.
Staff costs:
Staff costs increased 3% to €462M, as a 4% increase in sectors and agreed
pay increases (under CLAs) were somewhat offset by 25 additional gamechanger
aircraft in the fleet (driving lower crewing ratios) and slower recruitment
ahead of Summer 2025.
Route charges:
Route charges rose 16% to €356M, primarily due to significantly higher
Eurocontrol/ATC rates and a 4% increase in flight hours.
Depreciation:
Depreciation increased 10% to €343M, primarily due to 25 more "Gamechanger"
aircraft in the fleet, higher aircraft utilisation (sectors up 4%) and
increased maintenance on the older B737NG fleet.
Marketing, distribution and other:
Marketing, distribution and other rose just 1% to €221M (well below 4%
traffic growth) as lower EU261 compensation and marketing spend offset other
costs driven by growth.
Maintenance, materials and repairs:
Maintenance, materials and repairs increased 8% to €90M due to 4% higher
sectors and reduced supplier credits as aircraft deliveries catch-up.
Other income:
Net finance and other income increased to €49M due to a strong cash balance,
the Group's low-cost finance and modest delay compensation received. Foreign
exchange translation reflects the impact of primarily €/US$ exchange rate
movements on quarter end balance sheet revaluations.
Balance sheet:
Gross cash was €4.4BN at June 30, 2025 despite €0.6BN capex, almost
€0.4BN debt repayments and €0.1BN share buybacks. Gross debt was €2.3BN
(March 31, 2025: €2.7BN) and net cash was €2.1BN at June 30, 2025 (March
31, 2025: €1.3BN).
Shareholders' equity:
Shareholders' equity increased by €0.4BN to €7.4BN in the quarter due to a
net profit of €0.8BN partly offset by an IFRS hedge accounting decrease in
derivatives of €0.4BN.
Ryanair Holdings plc and Subsidiaries
Interim Management Report
Introduction
This financial report for the quarter ended June 30, 2025 meets the reporting
requirements pursuant to the Transparency (Directive 2004/109/EC) Regulations
2007 and Transparency Rules of the Central Bank (Investment Market Conduct)
Rules 2019.
This interim management report includes the following:
· Principal risks and uncertainties relating to the remaining nine months of
the year;
· Related party transactions; and
· Post balance sheet events.
Results of operations for the quarter ended June 30, 2025 compared to the
quarter ended June 30, 2024, including important events that occurred during
the quarter, are set forth above in the MD&A.
Principal risks and uncertainties for the remainder of the year
Jet fuel is subject to wide price fluctuations as a result of many economic
and political factors and events occurring throughout the world that Ryanair
can neither control nor accurately predict, including increases in demand,
sudden disruptions in supply and other concerns about global supply, as well
as market speculation. Oil prices increased significantly following Russia's
invasion of Ukraine in February 2022 and remain volatile in light of the
conflicts in the Middle East.
Among other factors that are subject to change and could significantly impact
Ryanair's expected results for the remainder of the year and the price of
Ryanair securities are the airline pricing environment, fuel costs,
competition from new and existing carriers, market prices for the replacement
of aircraft, costs associated with environmental, safety and security
measures, actions of the Irish, UK, European Union ("EU") and other
governments and their respective regulatory agencies, post-Brexit
uncertainties, any change in the restrictions on the ownership of Ryanair's
ordinary shares and the voting rights of its shareholders and ADR holders,
including as a result of regulatory changes or the actions of Ryanair itself,
weather related disruptions, ATC strikes and staffing related disruptions,
delays in the delivery of contracted aircraft, fluctuations in currency
exchange rates and interest rates, airport access and charges, labour
relations, the economic environment of the airline industry, the general
economic environment in Ireland, the UK and Continental Europe, the general
willingness of passengers to travel and other economic, social and political
factors, global pandemics such as Covid-19, capacity growth in Europe, the
availability of appropriate insurance coverage, supply chain
disruptions/delays, increasing fares to cover rising business costs,
cybersecurity risks and increased costs to minimise those risks, increasingly
complex data protection laws and regulations, dependence on key personnel, the
expectation that corporation tax rates will rise, the risk of a recession or
significant economic slowdown, tariff wars and unforeseen security events.
Board of Directors
Details of the members of the Company's Board of Directors are set forth on
pages 218 and 219 of the Group's 2025 Annual Report.
Related party transactions - Please see note 9.
Going concern
The Directors, having made inquiries, believe that the Group has adequate
resources to continue in operational existence for at least the next 12 months
and that it is appropriate to adopt the going concern basis in preparing these
condensed consolidated interim financial statements. The continued preparation
of the Group's condensed consolidated interim financial statements on the
going concern basis is supported by the financial projections prepared by the
Group.
In arriving at this decision to adopt the going concern basis of accounting,
the Board has considered, among other things:
· The Group's net profit of €0.82BN in the quarter ended June 30,
2025;
· The Group's liquidity, with €4.37BN gross cash and €2.05BN net
cash at June 30, 2025, €0.95BN undrawn funds under the Group's €1.1BN
revolving credit facility;
· The Group's focus on cost reduction and cash management;
· The Group's solid BBB+ (stable) credit ratings from both S&P and
Fitch Ratings;
· The Group's strong balance sheet position with its owned B737 fleet
(over 590 aircraft) unencumbered;
· The Group's access to the debt capital markets, unsecured/secured
bank debt and sale and leaseback transactions;
· The Group's fuel hedging position (approx. 84% of FY26 and 36% of
FY27 jet fuel requirements were hedged at June 30, 2025); and
· The Group's ability, as evidenced throughout downturns (such as the
Covid-19 crisis), to preserve cash and reduce operational and capital
expenditure.
Ryanair Holdings plc and Subsidiaries
Notes forming Part of the Condensed Consolidated
Interim Financial Statements
1. Basis of preparation and material accounting policies
Ryanair Holdings plc (the "Company") is a company domiciled in Ireland. The
unaudited condensed consolidated interim financial statements for the quarter
ended June 30, 2025 ("Q1 FY26") comprise the results of the Company and its
subsidiaries (together referred to as the "Group").
These unaudited condensed consolidated interim financial statements ("the
interim financial statements"), which should be read in conjunction with our
2025 Annual Report for the year ended March 31, 2025, have been prepared in
accordance with IAS 34 Interim Financial Reporting as adopted by the EU ("IAS
34"). They do not include all of the information required for full annual
financial statements and should be read in conjunction with the most recent
published consolidated financial statements of the Group. The consolidated
financial statements of the Group as at and for the year ended March 31, 2025,
are available at http://investor.ryanair.com/.
In adopting the going concern basis in preparing the interim financial
statements, the Directors have considered Ryanair's available sources of
finance including access to the capital markets, sale and leaseback
transactions, secured and unsecured debt structures, undrawn funds under the
Group's revolving credit facility, the Group's cash on-hand and cash
generation and preservation projections, together with factors likely to
affect its future performance, as well as the Group's principal risks and
uncertainties.
The June 30, 2025 figures and the June 30, 2024 comparative figures do not
include all of the information required for full annual financial statements
and therefore do not constitute statutory financial statements of the Group
within the meaning of the Companies Act, 2014. The consolidated financial
statements of the Group for the year ended March 31, 2025, together with the
independent auditor's report thereon, are available on the Company's Website
and will be filed with the Irish Registrar of Companies following the
Company's Annual General Meeting. The accounting policies, presentation and
methods of computation followed in the unaudited condensed consolidated
interim financial statements are consistent with those applied in the
Company's latest Annual Report.
The Audit Committee, upon delegation of authority by the Board of Directors,
approved the unaudited condensed consolidated interim financial statements for
the quarter ended June 30, 2025 on July 18, 2025.
Except as stated otherwise below, the condensed consolidated interim financial
statements for the quarter ended June 30, 2025 have been prepared in
accordance with the accounting policies set out in the Group's most recent
published consolidated financial statements, which were prepared in accordance
with IFRS as adopted by the EU and also in compliance with IFRS as issued by
the International Accounting Standards Board (IASB).
New IFRS standards and amendments adopted during the period
The following new and amended IFRS standards, amendments and IFRIC
interpretations, have been issued by the IASB, and have also been endorsed by
the EU unless stated otherwise. These standards are effective for the first
time for the Group's financial year beginning on April 1, 2025 and therefore
have been applied by the Group in these condensed consolidated interim
financial statements:
· Amendments to IAS 21 The Effects of Changes in Foreign Exchange
Rates: Lack of Exchangeability (effective on or after January 1, 2025).
The adoption of these new or amended standards did not have a material impact
on the Group's financial position or results in the quarter ended June 30,
2025, and are not expected to have a material impact on financial periods
thereafter.
Prospective IFRS accounting changes, new standards and interpretations not yet
effective
The following new or revised IFRS standards and IFRIC interpretations will be
adopted for the purposes of the preparation of future financial statements,
where applicable. Those that are not, as of yet, EU endorsed are flagged.
While under review, we do not anticipate that the adoption of the other new or
revised standards and interpretations will have a material impact on our
financial position or results from operations:
· IFRS 19 Subsidiaries without Public Accountability: Disclosures
(effective on or after January 1, 2027).*
· IFRS 18 Presentation and Disclosure in Financial Statements
(effective on or after January 1, 2027).*
· Annual Improvements Volume 11 (effective on or after January 1,
2026).*
· Contracts Referencing Nature-dependent Electricity - Amendments to
IFRS 9 and IFRS 7 (effective on or after January 1, 2026).
· Amendments to the Classification and Measurement of Financial
Instruments (Amendments to IFRS 9 and IFRS 7) (effective on or after January
1, 2026).
*These standards or amendments to standards are not as of yet EU endorsed.
2. Judgements and estimates
The preparation of financial statements in conformity with IFRS Accounting
Standards requires management to make estimates, judgements and assumptions
that affect the application of policies and reported amounts of assets and
liabilities, income and expenses. These estimates and associated assumptions
are based on historical experience and various other factors believed to be
reasonable under the circumstances, and the results of such estimates form the
basis of carrying values of assets and liabilities that are not readily
apparent from other sources. Actual results could differ materially from these
estimates. These underlying assumptions are reviewed on an ongoing basis. A
revision to an accounting estimate is recognised in the period in which the
estimate is revised if the revision affects only that period or in the period
of the revision and future periods if these are also affected. Principal
sources of estimation uncertainty have been set forth below. Actual results
may differ from estimates.
Critical estimates
Long-lived assets
At June 30, 2025, the Group had €11.0BN of property, plant and equipment
long-lived assets, of which €10.7BN were aircraft related. In accounting for
long-lived assets, the Group must make estimates about the expected useful
lives of the assets and the expected residual values of the assets.
In estimating the useful lives and expected residual values of the aircraft
component, the Group considered a number of factors, including its own
historic experience and past practices of aircraft disposals, renewal
programmes, forecasted growth plans, external valuations from independent
appraisers, recommendations from the aircraft supplier and manufacturer and
other industry-available information.
The Group's estimate of each aircraft's residual value is 15% of market value
on delivery, based on independent valuations and actual aircraft disposals
during prior periods, and each aircraft's useful life is determined to be 23
years.
Revisions to these estimates could be caused by changes to maintenance
programmes, changes in utilisation of the aircraft, governmental regulations
on ageing aircraft, changes in new aircraft technology, changes in
governmental and environmental taxes, geopolitical uncertainties, changes in
new aircraft fuel efficiency, changing market prices for new and used aircraft
of the same or similar types, tariffs and macro economic shocks. The Group
therefore evaluates its estimates and assumptions in each reporting period,
and, when warranted, adjusts these assumptions. Any adjustments are accounted
for on a prospective basis through depreciation expense.
Critical judgements
In the opinion of the Directors, the following significant judgements were
exercised in the preparation of the financial statements:
Long-lived assets
On acquisition a judgement is made to allocate an element of the cost of an
acquired aircraft to the cost of major airframe and engine overhauls,
reflecting its service potential and the maintenance condition of its engines
and airframe. This cost, which can equate to a substantial element of the
total aircraft cost, is amortised over the shorter of the period to the next
maintenance check (usually between 8 and 12 years) or the remaining useful
life of the aircraft.
3. Seasonality of operations
The Group's results of operations have varied significantly from quarter to
quarter, and management expects these variations to continue. Among the
factors causing these variations are the airline industry's sensitivity to
general economic conditions and the seasonal nature of air travel.
Accordingly, the first half-year typically results in higher revenues and
results.
4. Income tax expense
The Group's consolidated tax expense for quarter ended June 30, 2025 of
€110M (June 30, 2024: €41M) comprises a current tax charge of €105M and
a deferred tax charge of €5M primarily relating to the temporary differences
for property, plant and equipment and net operating losses. No significant or
unusual tax charges or credits arose during the quarter. The effective tax
rate of just under 12% for the quarter ended June 30, 2025 (June 30, 2024:
approx. 10%) is the result of the mix of profits and losses incurred by
Ryanair's operating subsidiaries primarily in Ireland, Malta, Poland and the
UK.
5. Contingencies
The Group is engaged in litigation arising in the ordinary course of its
business. The Group does not believe that any such litigation will
individually, or in aggregate, have a material adverse effect on the financial
condition of the Group. Should the Group be unsuccessful in these litigation
actions, management believes the possible liabilities then arising cannot be
determined but are not expected to materially adversely affect the Group's
results of operations or financial position.
6. Capital commitments
At June 30, 2025 the Group had an operating fleet of 592 (2024: 567) Boeing
737 and 26 (2024: 27) Airbus A320 aircraft. In September 2014, the Group
agreed to purchase up to 200 (100 firm and 100 options) Boeing 737-8200
aircraft which was subsequently increased to 210 firm orders in December 2020.
At June 30, 2025, the Group had taken delivery of 181 of these aircraft. The
remaining aircraft are expected to deliver before Summer 2026. In May 2023,
the Group ordered up to 300 (150 firm and 150 options) new Boeing 737-MAX-10
aircraft for delivery between 2027 to 2033. This transaction was approved at
the Company's AGM in September 2023.
7. Analysis of operating revenues and segmental analysis
The Group determines and presents operating segments based on the information
that internally is provided to the Group CEO, who is the Company's Chief
Operating Decision Maker (CODM).
The Group comprises five separate airlines, Buzz, Lauda Europe ("Lauda"),
Malta Air, Ryanair DAC and Ryanair UK. Buzz, Malta Air and Lauda do not
individually exceed the quantitative thresholds and accordingly are presented
on an aggregate basis as they exhibit similar economic characteristics and
their services, activities and operations are sufficiently similar in nature.
The results of these operations are included as 'Other Airlines.' The Ryanair
DAC segment incorporates all of the Group's operations, except for those
included within 'Other Airlines', and is reported as a separate segment as it
exceeds the applicable quantitative thresholds for reporting purposes.
The CODM assesses the performance of the business based on the profit or loss
after tax of each airline for the reporting period. Resource allocation
decisions for all airlines are based on airline performance for the relevant
period, with the objective in making these resource allocation decisions being
to optimise consolidated financial results. Reportable segment information is
presented as follows:
Quarter Ended Ryanair DAC Other Airlines Elimination Total
Jun 30, Jun 30, Jun 30, Jun 30,
2025 2025 2025 2025
€M €M €M €M
Scheduled revenues 2,903.9 39.9 - 2,943.8
Ancillary revenues 1,393.8 - - 1,393.8
Inter-segment revenues 199.0 394.3 (593.3) -
Segment revenues 4,496.7 434.2 (593.3) 4,337.6
Reportable segment profit after income tax 788.4 31.5 - 819.9
Other segment information:
Depreciation (333.7) (9.6) - (343.3)
Net finance and other income 50.4 (1.7) - 48.7
Capital expenditure (403.2) (12.6) - (415.8)
Staff costs (294.0) (167.7) - (461.7)
Segment assets 17,709.4 367.6 - 18,077.0
Segment liabilities (10,120.9) (554.3) - (10,675.2)
The expense line items not presented in the table above are incurred by
Ryanair DAC and as such have not been presented across the segments.
Quarter Ended Ryanair DAC Other Airlines Elimination Total
Jun 30, Jun 30, Jun 30, Jun 30,
2024 2024 2024 2024
€M €M €M €M
Scheduled revenue 2,295.9 33.0 - 2,328.9
Ancillary revenue 1,297.2 - - 1,297.2
Inter-segment revenues 188.5 380.5 (569.0) -
Segment revenues 3,781.6 413.5 (569.0) 3,626.1
Reportable segment profit after income tax 332.4 27.6 - 360.0
Other segment information:
Depreciation (303.2) (10.0) - (313.2)
Net finance and other income 30.1 (2.0) - 28.1
Capital expenditure (380.1) (20.0) - (400.1)
Staff costs (281.7) (166.6) - (448.3)
Segment assets 17,639.0 374.3 - 18,013.3
Segment liabilities (9,534.6) (652.2) - (10,186.8)
The expense line items not presented in the table above are incurred by
Ryanair DAC and as such have not been presented across the segments. Prior
period comparatives have been updated to align with current period
presentation.
The following table disaggregates revenue by primary geographical market. In
accordance with IFRS 8, revenue by country of departure has been provided
where revenue for that country is in excess of 10% of total revenue. Ireland
is presented as it represents the country of domicile. "Other" includes all
other countries in which the Group has operations.
Quarter Ended Quarter Ended
Jun 30, Jun 30,
2025 2024
€M €M
Italy 937.8 781.7
Spain 772.3 640.1
United Kingdom 631.7 526.6
Ireland 244.6 196.0
Other 1,751.2 1,481.7
Total revenue 4,337.6 3,626.1
Ancillary revenues comprise revenues from non-flight scheduled operations,
inflight sales and internet-related services. Non-flight scheduled revenue
arises from the sale of discretionary products such as priority boarding,
allocated seats, car hire, travel insurance, airport transfers, room
reservations and other sources, including excess baggage charges and other
fees, all directly attributable to the low-fares business.
The vast majority of ancillary revenue is recognised at a point in time, which
is typically the flight date. The economic factors that would impact the
nature, amount, timing and uncertainty of revenue and cashflows associated
with the provision of passenger travel-related ancillary services are
homogeneous across the various component categories within ancillary revenue.
Accordingly, there is no further disaggregation of ancillary revenue required
in accordance with IFRS 15.
8. Property, plant and equipment
Acquisitions and disposals
During the quarter ended June 30, 2025, net capital additions amounted to
€0.41BN principally reflecting aircraft deliveries in the period and
capitalised maintenance offset by depreciation.
9. Related party transactions
The Company's related parties include its subsidiaries, Directors and Key
Management Personnel. All transactions with subsidiaries eliminate on
consolidation and are not disclosed.
There were no related party transactions in the quarter ended June 30, 2025
that materially affected the financial position or the performance of the
Group during that period and there were no changes in the related party
transactions described in the 2025 Annual Report that could have a material
effect on the financial position or performance of the Group in the same
period.
10. Financial instruments and financial risk management
The Group is exposed to various financial risks arising in the normal course
of business. The Group's financial risk exposures are predominantly related to
commodity price, foreign exchange and interest rate risks. The Group uses
financial instruments to manage exposures arising from these risks.
These condensed consolidated interim financial statements do not include all
financial risk management information and disclosures required in the annual
financial statements and should be read in conjunction with the FY25 Annual
Report. There have been no changes in our risk management policies in the
period.
Fair value hierarchy
Financial instruments measured at fair value in the balance sheet are
categorised by the type of valuation method used. The different valuation
levels are defined as follows:
· Level 1: quoted prices (unadjusted) in active markets for identical
assets or liabilities that the Group can access at the measurement date.
· Level 2: inputs other than quoted prices included within Level 1
that are observable for that asset or liability, either directly or
indirectly.
· Level 3: significant unobservable inputs for the asset or
liability.
Fair value estimation
Fair value is the price that would be received to sell an asset, or paid to
transfer a liability, in an orderly transaction between market participants at
the measurement date. The following methods and assumptions were used to
estimate the fair value of each material class of the Group's financial
instruments:
Financial instruments measured at fair value
· Derivatives - currency forwards, jet fuel forward swap contracts
and carbon contracts: A comparison of the contracted rate to the market rate
for contracts providing a similar risk profile at June 30, 2025 has been used
to establish fair value. The Group's credit risk and counterparty's credit
risk is taken into account when establishing fair value (Level 2).
The Group policy is to recognise any transfers between levels of the fair
value hierarchy as of the end of the reporting period during which the
transfer occurred. During the quarter ended June 30, 2025 there were no
reclassifications of financial instruments and no transfers between levels of
the fair value hierarchy used in measuring the fair value of financial
instruments.
Financial instruments not measured at fair value
· Long-term debt: The fair value disclosed for the Group's long-term
debt has been measured using the relevant market rates of interest at June 30,
2025. This represents the amount which would be payable to a third party to
assume the obligations.
The fair value of financial assets and financial liabilities, together with
the carrying amounts in the condensed consolidated balance sheet, are as
follows:
At Jun 30, At Jun 30, At Mar 31, At Mar 31,
2025 2025 2025 2025
Carrying Fair Carrying Fair
Amount Value Amount Value
Non-current financial assets €M €M €M €M
Derivative financial instruments:
- U.S. dollar currency forward contracts - - 5.8 5.8
- Jet fuel & carbon derivatives contracts 16.6 16.6 9.6 9.6
16.6 16.6 15.4 15.4
Current financial assets
Derivative financial instruments:
- U.S. dollar currency forward contracts - - 84.4 84.4
- Jet fuel & carbon derivative contracts 30.0 30.0 10.0 10.0
30.0 30.0 94.4 94.4
Trade receivables* 96.9 73.5
Cash and cash equivalents* 3,613.3 3,863.3
Financial asset: cash > 3 months* 734.9 100.1
Restricted cash* 23.1 23.1
4,498.2 30.0 4,154.4 94.4
Total financial assets 4,514.8 46.6 4,169.8 109.8
At Jun 30, At Jun 30, At Mar 31, At Mar 31,
2025 2025 2025 2025
Carrying Fair Carrying Fair
Amount Value Amount Value
Non-current financial liabilities €M €M €M €M
Derivative financial instruments:
- U.S. dollar currency forward contracts 134.7 134.7 2.5 2.5
- Jet fuel & carbon derivative contracts 4.8 4.8
139.5 139.5 2.5 2.5
Non-current maturities of debt:
- Long-term debt 147.3 147.3 488.9 488.9
- Bonds - - 1,196.3 1,172.5
147.3 147.3 1,685.2 1,661.4
286.8 286.8 1,687.7 1,663.9
Current financial liabilities
Derivative financial instruments:
- Jet fuel & carbon derivative contracts 203.3 203.3 224.5 224.5
- U.S. dollar currency forward contracts 257.2 257.2 0.2 0.2
460.5 460.5 224.7 224.7
Current maturities of debt:
- Bonds 2,047.8 2,033.6 848.4 850.3
2,047.8 2,033.6 848.4 850.3
Trade payables* 575.2 702.0
Accrued expenses* 2,259.2 1,953.5
5,342.7 2,494.1 3,728.6 1,075.0
Total financial liabilities 5,629.5 2,780.9 5,416.3 2,738.9
*The fair value of each of these financial instruments approximate their
carrying values due to the short-term nature of the instruments.
11. Shareholders' equity and shareholders' returns
In May 2025, the Board approved a €750m share buyback programme (including
Ordinary Shares underlying ADRs). In the quarter ended June 30, 2025 the
Company bought back, and cancelled, approx. 2.8M ordinary shares (as it
completed an €800M share buyback programme launched in August 2024 and
commenced a follow on €750M share buyback) at a total cost of €58M. As a
result of these share buybacks, share capital decreased by approx. 2.8M
ordinary shares (equivalent to approx. 0.3% of the Company's issued share
capital at March 31, 2025).
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