Ryanair announced 2013 full year results delivering a net profit of €569 million on revenues of €4,884 billion up 13% carrying 79.3 million passengers up 5% with a load factor of 82%. Ancillary revenue grew by 20% faster than the 5% increase in passenger numbers to €1,064.2 million and average fare per passenger increased by 3%.
Fuel costs increased by 18% to €1,885.6m due to higher prices and increased activity and now accounts for 45% of total costs.
The airline’s gross cash increased by €43.4 million since March 31, 2012 to €3,559.0 million and has net cash of €60.7 million.
The airline will hold an EGM on 18th June to seek shareholder approval for order for 175 Boeing 737-800s to be delivered between 2014 and 2018 enabling passenger growth of 5% per annum.
Ryanair CEO Michael O’Leary said “Delivering a 13% increase in profits and 5% traffic growth despite high oil prices during a European recession is testimony to the strength of Ryanair’s ultra-low cost model. This summer Ryanair opened 7 new bases, and more than 200 new routes as we continue our strategy of growing Europe’s largest passenger airline.
Our new route teams continue to handle more growth opportunities than our current fleet expansion allows. Significant opportunities are opening up in Germany, Scandinavia and central Europe in particular, where Air Berlin, SAS and LOT continue to restructure. We are in active discussions with the new owners of Stansted Airport and the new management at Dublin Airport and while no agreements have yet been reached, if a competitive cost base emerges, then we could restart growth at one or other airports as early as September 2013.
Ryanair believes that its unique low cost advantage will enable the airline to achieve a 20% share of the European short-haul market over the next 5 years, particularly given that many of Europe’s high fare incumbents are restructuring and cutting capacity. Ryanair is now uniquely positioned to offer many of Europe’s airports sustained traffic growth in return for low cost, efficient facilities.”
Irish Aviation Research Institute © 20th May 2013 All Rights Reserved.
