Ryanair: Return to profitability
Ryanair has straightened up it’s last year loss, the Irish airline made a €305 million after-tax profit in the latest business year.
The Irish low-cost airline, Ryanair gained €305 million after-tax profit in the last fiscal year ended in March, following a €169 million loss a year earlier.
According to the company’s announcement made on Thursday, the revenues increased by 2 percent to 3 billion euros and the number of passengers rose by 14 percent to 66,5 million. Ryanair believes, the improvements are due to fuel price reductions and flight network developments.
Shareholders will receive their dividends in October. The company is going to pay a total of €500 million dividends to shareholders. In more than 10 years, this will be the first dividends pay off at the company.
Growth with small breaks
For the 2009/2010 fiscal year, the average ticket price was 32 euros, the lowest in Europe. The flight network has increased with 284 flights. However, there are cities which fell out of Ryanair’s offer such as Budapest, from where the company has retired in April as they couldn’t agree with the operator of Budapest Airport about fee reductions.
Due to traffic restrictions caused by the Icelandic volcanic ash cloud caused Ryanair €50 million loss in revenue. More than 9 thousand flights were cancelled, however the company expects that in the 2010/2011 business year as a whole the number of passengers will increase by 11 percent to 73,5 million.
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