Ryanair: stock up with FY loss set to be less than expected
(CercleFinance.com) - Ryanair said on Wednesday that it forecasts a lower-than-expected loss for FY 2020/2021 to 31 March.
For the full year, Europe's leading low-cost airline said it expects a net loss of between 850 million and 800 million euros, against a previous forecast of 950 million and 850 million euros.
Passenger traffic over the past 12 months has collapsed to 27.5 million, a fraction of the 149 million transported in FY 2019/2020, a collapse that the airline (unsurprisingly) attributes to the Covid crisis.
More surprisingly, however, Ryanair says it expects traffic for the new 2021/2022 financial year to be at the lower end of the annual target of 80 to 120 million passengers that it had previously set itself.
This update is justified by the slow rollout of vaccination campaigns in the European Union.
The low-cost company added that it did not share the optimism of certain analysts concerning the recovery of the airline sector and mentioned that, at this stage, it expects to just about break-even in FY 2021/2022.
All said, the company's shares were actually up 1% in Dublin on Wednesday morning, outperforming the index of European travel and air transport stocks, which was down around 0.5%.
Copyright (c) 2021 CercleFinance.com. All rights reserved.
For the full year, Europe's leading low-cost airline said it expects a net loss of between 850 million and 800 million euros, against a previous forecast of 950 million and 850 million euros.
Passenger traffic over the past 12 months has collapsed to 27.5 million, a fraction of the 149 million transported in FY 2019/2020, a collapse that the airline (unsurprisingly) attributes to the Covid crisis.
More surprisingly, however, Ryanair says it expects traffic for the new 2021/2022 financial year to be at the lower end of the annual target of 80 to 120 million passengers that it had previously set itself.
This update is justified by the slow rollout of vaccination campaigns in the European Union.
The low-cost company added that it did not share the optimism of certain analysts concerning the recovery of the airline sector and mentioned that, at this stage, it expects to just about break-even in FY 2021/2022.
All said, the company's shares were actually up 1% in Dublin on Wednesday morning, outperforming the index of European travel and air transport stocks, which was down around 0.5%.
Copyright (c) 2021 CercleFinance.com. All rights reserved.