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Ryanair profits fall by a quarter
Ryanair has reported that its profits have dropped by more than a quarter because of falling fares and rising fuel costs. The no-frills carrier’s net profit for the three months to the end of December was 35 million euros, compared to 47.5 million 12 months earlier. But, despite the apparent shrinkage in margins, the carrier’s passenger numbers and total sales grew by nearly 15 per cent, and Ryanair continued to predict that the future was bright as its rivals continued to struggle. The BBC quotes chief executive Michael O’Leary as making reference to the failures of Volare, Vbird and Air Polonia in recent months: “As predicted, casualties continue in the European industry. This is not a temporary phenomenon resulting from high oil prices but a permanent market shift towards low-cost air travel.”
Report by Tim Gillett, News From Abroad
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