Ryanair - 7

[Falcon666]

I don't mind listening to a sweet female voice,


In every airline there are cabin crew announcements.



Point 1
Exactly ,agree totally BUT on the majority of Flights i have used with Ryr from Ltn we never seem to get one.(strong eastern european accents dont help-on one or two flights it has actually been difficult to understand anything-talk too fast.mic too close to the mouth)

Point 2
Most LCCs imho go over the top on announcments in the cabin.Probably the need to sell stuff but is it really necessary to have the ON-TIME fanfare.(And they even do it when the plane is 30mins late)

Its the reason most people just switch off from listening and get the music out.

What will be interesting with Ryr is the on going battle between Boeing/Airbus over new a/c.
Think the boy crying wolf is coming into play.

Airbus know what the game is,they see Ryr as only a boeing customer.
Why should they play along and see ryr walk away.
With Easy and Airbus there was commitment from day1.
Ryr reputation is slowly catching up with them

[Zippy Monster]

Nobody is in the same league as Ryanair when it comes to sales PAs during flight. They don't leave you alone. I'd hate to do a 3hr+ slog with them, an hour is about as much as I can stand. easyJet et al are peaceful in comparison. And they're so loud that you can hear it above your own music unless you're listening to it at eardrum-bursting volume levels.

[mickyman]

Falcon666

An order for 200+ frames would be welcome at
both manufacturers irrespective of the airline.
There would be something wrong if 'deals' were not
done on such an order.

I couldnt see Easyjet ordering Airbuses when they
ordered 737's, so anything is possible - do you not
think a 'deal' was done for the Airbus order?

I can think of some big American airlines' orders that
had these 'deals' so lets not cuss Ryanair for trying
to get the best possible contract.

MM

[james170969]

I agree but the PA volumes on Easyjet are just as bad. I have to hold my hands over my earphones in order to be able to block out the PA system and sometimes the sales pitch goes on for ages.

[Falcon666]

MM

Appreciate all orders are good but i think it comes down to just how serious Ryr are to change their fleet.
Easy did it with a vastly lower number of frames.
Would ryr seriously consider a mixed fleet?

Rumours are ryr walked away from deals with Airbus before so you can understand the Airbus view now.

I am not a betting man but if i were i couldnt put money on seeing a ryr Airbus anytime soon.

F666

[mickyman]

Falcon666

I agree but Ryanair have a history of walking away - dont they!

MM

[anna_list]

First half results

Ryanair Half Year Results - London Stock Exchange

• Profit after tax €387M, much higher than last year due to lower fuel costs
• Yields down 17% (average fare including bags €39)
• Revenue down 2% to €1767M
• Full year guidance unchanged: Losses in Q3 and Q4 to give full year profit "at lower end of" €200M to €300M
• Total cash & equivalents: €2,536.9m.
• Total debt: €2,586.1m, Net debt: €49.2m
• "we have made little progress in our discussions with Boeing for an order of 200 aircraft for delivery between 2013 and 2016. We won't continue these discussions indefinitely and have signalled to Boeing that if they are not completed before the year end, then Ryanair will end its relationship with Boeing and confirm a series of order deferrals and cancellations"
• If there is no order for new aircraft "Ryanair should change course before the end of this fiscal year and manage the airline over the next three years to maximise cash for distribution to shareholders"

[A319-100]

Share price down 7.5 %

[Nashers]

in the current economic climate, cost is everything. when things get better and customers disposable income goes back to what they use to be, im not sure people will still want the no frills. they may rather pay a bit extra and get a better service.

there will alwase be a market for no frills airlines as there are alwase going to be people who would not otherwise be able to afford to fly. however im not sure if it will be as big as it is currently once things get better. ryanair have realy made the most of the bad climate with its passangers. im not convicend they will be happy to stay loyal.

[Checkboard]

From the article quoted above:

Mr O'Leary took the opportunity to criticise "stupid tourist taxes" and high airport charges, saying that he planned to switch some of his winter capacity to lower cost countries such as Belgium, the Netherlands, Italy and Spain.

So Ryanair pilots will be in the European rental market (at their own cost) for winter? How fluid are their contracts?

[befree]

start of the fall of ryanair

Ryanair is so vast and has such a large cash pile that any fall will take many years. The results out today mark a corner in the airlines history.

In the first half year (Jan-june) they took in less money even though they "sold" more seats. They have got to the point were growing reduces income. The logical move is to reduce growth and firm up the selling price per set as Easyjet have done. To do this FR need to change their order for 100+ more 737s. Boeing will not let FR do this as it is one of their biggest orders. FR is dangling a bigger future order but I cannot see FR switching to airbus so Boeing have a strong hand.

Next year FR will see higher fuel costs, have problems selling on aircraft and need to drop prices to fill even more planes. 2010 could be its last ever year of profit. A large part of FRs profits are in effect made by getting planes at a massive discount, trashing them for 5 years and then getting around the same price for them that they paid. That model is broke. They only sold 3 planes in the first half of 2009. They are also having to reduce the book value of the planes. With a need to sell 20-40 planes per year, the 2nd hand market is key to profits and cash flow.

I have not heard a comment yet about the oil price at which the become loss making with their lower income per seat.

[Dysag]

Ryanair is unhappy with the price Boeing is charging for its aircraft

Dear ol' MoL is not so smart after all. He made it clear to everyone that he wanted to stick with an all-737 fleet. Having excluded a price competition with Airbus, he's now bleating that the monopoly supplier charges too much!

[F14]

Well done The Ryans. The fuel price was the key to the profits, after last years disaster with hedging policy looks like they are now learning from their mistakes.

Regarding airframe purchases. Looks like bluff, Boeing are in trouble, they need Ryanair to survive. I can't see them lose Ryanair as a customer. But maybe another player will enter the game. Could a smaller e-jet or c-jet be the answer? More modern aircraft could open up many shorter airfields, therefor putting pressure on existing airports to lower charges.

[Skipness One Echo]

Boeing are in trouble, they need Ryanair to survive.

Overly dramatic. You don't survive long by giving hundreds of aircraft away for sweeties....

[F14]

Be Free, good analysis. However at the end of the day, the FR machine is so lean if they can;t make money on a route nobody can. Every failure of a highcost airline just sends more passengers in FRs direction. Ryanair effectively bleed to death last.

There's still plenty of growth to be had in Europe.

[racedo]

could be its last ever year of profit. A large part of FRs profits are in effect made by getting planes at a massive discount, trashing them for 5 years and then getting around the same price for them that they paid. That model is broke. They only sold 3 planes in the first half of 2009. They are also having to reduce the book value of the planes. With a need to sell 20-40 planes per year, the 2nd hand market is key to profits and cash flow.

I have not heard a comment yet about the oil price at which the become loss making with their lower income per seat.

Last year of profit ? Get real.

So hedging well below trend for 2010 and 2011 is what exactly ?

You ignore the obvious that average life of an aircraft is less than 3 years or 10 years less than the age of a Southwest aircraft who also run a 737 fleet.

Holding off on an order for 5 years to Boeing until 2015 will still see FR fleet younger than most comparable airlines.

Boeing knows a 200 aircraft order to 2018 is approx 5-6 months production at current rates, they want the order and know full well that it comes down to price.

Of course in 2003 when €-$ was .8 - $1 a $24 M 737 cost then over €30 Million where as now a €30 M 737 costs them €20M and as majority of earnings are in Euros then they really getting a huge benefit from dollar collapse.

Boeing will get their order eventually.

[bia botal]

Losses in Q3 and Q4 to give full year profit "at lower end of" €200M to €300M

Oh goody, Town hall meeting in march then eh guys.

[top jock]

Boeing are happy to do business with him but CFM will not sell their engines to him at the price he wants so no new deal struck yet. He was looking to confirm 100 aircraft bringing the total to 500 and another 100 options.

[BC2300]

Last year of profit. 'Befree' you are deluded

[Tyke]

Ryanair will continue to thrive with its' present policy. It will attract customers with its' pricing and it will repel customers when it strands them abroad. Overall, it will attract more than it repels. Whist I wouldn't want to work for them, I have to admire the bottom line.