Ryanair CEO Michael O’Leary is confident the airline will recover its 7pc fare decline from 2024 this financial year through a projected 7pc rise in fares for the full year.
He said in Madrid that t while raffic levels exceed targets, with summer fares reaching levels from summer 2023, full-year results hinge on pricing in the third quarter, which covers the Christmas season, and the fourth quarter, where visibility remains low.
Economic weakness in Britain and France drives price sensitivity, leading consumers to switch from flag carriers to Ryanair.
He contended that demand for trans-Atlantic travel to America has decreased, while holidays in the Mediterranean and Europe increase, benefiting Ryanair’s operations.
Michael O’Leary shared “The traffic is ahead of target. Fares look like they will rise by 7pc for the full year. This summer’s fares were ‘pretty much’ at levels recorded in the summer of 2023. At the moment there seems to be less demand for trans-Atlantic travel to America – I think (US President Donald) Trump has kind of alienated people – and more people are holidaying around the Mediterranean and Europe, and that has been very good for Ryanair’s business.”
