Full Year 2026 Ryanair Holdings PLC Earnings Call Transcript
Key Points
- Ryanair Holdings PLC (RYAAY) reported a record full-year profit of $2.26 billion, a 40% increase over the previous year.
- The company achieved a new record traffic figure of 208.4 million passengers, despite delivery delays on Boeing aircraft.
- Ryanair Holdings PLC (RYAAY) has a strong balance sheet with a BBB+ credit rating and is effectively debt-free after repaying a $1.2 billion bond.
- The company has a conservative jet fuel hedging strategy, with 80% of its fuel needs hedged at $67 per barrel, providing insulation against volatile oil prices.
- Ryanair Holdings PLC (RYAAY) is expanding its network with 130 new routes and three new bases, focusing on regions with favorable tax and airport incentives.
- The conflict in the Middle East has created uncertainty, impacting visibility on future bookings and pricing.
- Ryanair Holdings PLC (RYAAY) faces rising EU environmental taxes, which are expected to increase by €300 million this year.
- Maintenance costs are expected to rise due to an aging fleet and necessary engine repairs.
- The company anticipates mid-single-digit increases in unit costs if unhedged fuel prices remain elevated.
- There is concern over potential competitor failures in Europe due to high oil prices and inadequate hedging strategies.
Good morning, ladies and gentlemen. Welcome to the Full-Year Results Analyst Conference. I'm joined by all the team -- I'm speaking to you from New York. I'm joined by all the team from London, Dublin and various other sites around Europe. As you've seen earlier this morning, we reported a record full-year profit of $2.26 billion, which has a rise of 40% over our prior year profit after tax of $1.6 billion.
The highlights were traffic growth of 4% to a new record figure of 208.4 million. That was achieved despite delivery delays on 29th Boeing game change for aircraft. During the year, incredible cost discipline, unit cost rose only 1%.
For the looking forward to the next 12 months, we've covered 80% of our jet fuel at about $67 per barrel, $668 per metric tonne.
We took delivery of the last 29 of our 210 game changer orders. So we have 647 aircraft in the fleet at the 31st of March. And we declared a final dividend of 19.$0.05 per share. It's payable in September subject to AGM approval.
Obviously, we
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