Ryanair Holdings Plc Narrowed FY24 PAT Guidance to €1.85B-€1.95B (Prior €1.85B- €2.05B

Author: Benzinga Newsdesk | January 29, 2024 06:00am

We continue to target approx. 183.5m FY24 traffic (+9%), despite slightly lower Q3 load factors and Boeing delivery delays.  As a result of these lower load factors and higher productivity pay (recently agreed with various pilot unions incl. Belgium, Italy & the UK) to improve operational resilience, we now expect FY24 ex-fuel unit costs to rise by c.€2.50, which still widens the cost gap between Ryanair and our main European competitor airlines.  Q4, which is traditionally our weakest quarter, will also be impacted by the partial unwind of free ETS carbon credits (from 1 Jan.).  While we will benefit from the first half of Easter traffic falling in late Mar., this is unlikely to fully offset the weaker than previously expected load factors and yields in late Q3 and early Q4.  We are therefore narrowing our FY24 PAT guidance to a range of between €1.85bn to €1.95bn (previously €1.85bn to €2.05bn).  This guidance and the full year result remains heavily dependent upon avoiding unforeseen adverse events in Q4 (such as the Ukraine war, the Israel-Hamas conflict and further Boeing delivery delays).” 

Posted In: RYAAY