Out of interest, what would the affect on these figures have been if they hadn't postponed the arrival of the eight aircraft that are fully completed and currently gathering dust that were originally due for delivery between now and year end...
Even if they paid for 8 aircraft up front and in full, they would have posted a half year profit and, based on current guidance, a full year profit. Nice position to be in!
In these competitive times I'm just curious how much more the average fare would have to increase before Ryanair would no longer justifiably be able to call itself this....?
Until their average fare is higher than one of their competitors.
But also a plane that does nothing also does not make a profit. FR are cutting so many routes and dropping bases that it will have lots if idle planes with more flying in each year. Also the oil price has just hit a 6 month high and is expect to rise a lot more.
Any Ryanair aircraft on the ground have helped facilitate current profits which would have been lower if they were flying. As a matter of interest, how many idle aircraft are you projecting befree? Fuel costs are outlined in their half year presentation -
90% of FY11 hedged at $730pmt, 60% of FY12 hedged at $760pmt. Also what's your current thoughts on your predictions made earlier this year?
this year they face an extra 300 million euro fuel cost. their average ticket price is now 35 euros so they need an extra 9 million passengers to just pay the extra fuel cost.
the only way FR made more money was the big fall in the fuel cost last year.
They are likly to see less profit this year and long term will get hit by reduced value of the planes. they have to take a loss on teh reduced value when they sell them. last year they sold 3 and expect to sell 10 this year.