Ryanair see profits fall following summer strikes

posted on 22nd October 2018 by yumna
Ryanair see profits fall following summer strikes

Ryanair has posted a fall in profits for the first half of 2018 following a plethora of air traffic control strikes and staff shortages over the summer.

The budget airline recorded a 7% decline in profits for the first half of the year to 1.20bn EUR.

The airline noted that average fares declined by 3% over the period due to excess capacity in Europe.

On the plus side, aircraft were 96% full during the same period.

Ryanair’s Michael O’Leary said: “As recently guided, H1 average fares fell by 3%.  While ancillary revenues performed strongly, up 27%, these were offset by higher fuel, staff and EU261 costs.

Our traffic, which was repeatedly impacted by the worst summer of ATC disruptions on record, grew 6% at an unchanged 96% load factor.”

The airline also mentioned fears of a hard-deal Brexit as a possibility which will produce ‘risk’. Ryanair noted that the time for agreements is shortening.