Ryanair’s Group CEO Michael O’Leary says that the airline no longer anticipates double-digit percentage drops in average fares this summer, as the previous weakness in airfares has now stabilised.
Ryanair’s share price dropped 15pc last month after O’Leary predicted significant decreases in airfares. The CEO now believes that a 5pc drop in fares during the July-September quarter appears to be a more accurate projection.
O’Leary said worry of a potential “ugly scenario” involving double-digit declines in average fares seems to have dissipated, with the softening of fares observed in April, May, and June now stabilising.
When asked about price resistance on last-minute fares, O’Leary noted that the airline is currently not facing the same level of resistance, indicating a shift in the pricing dynamics compared to earlier in the year.
