Skip to content
Search

Latest Stories

Ryanair Lowers Full Year Profit Guidance By 12 Per Cent As Strikes Take Toll

The budget airline, Ryanair has cut its full-year (2019) profit guidance following higher crude oil prices, staff strikes, compensation expenditure, and others.

Ryanair lowered its full year profit guidance (excluding Laudamotion) from a current range of €1.25 billion – €1.35bn, to a new range of €1.10bn – €1.20bn.


The airline said, lower traffic and weaker close in fares in September, caused by two days of co-ordinated pilot, cabin crew strikes in Germany, Holland, Belgium, Spain and Portugal have adversely impacted the company’s operations.

The company was forced to lower its profit guidance after higher EU261 care and re-accommodation costs arising from these recent strikes and higher crude oil prices.

“We now guide the financial year 2019 PAT in a new range of €1.10bn to €1.20bn (previously €1.25bn to €1.35bn). Second quarter fares are down approximately three per cent (previously guided one per cent) due to the weakness caused to close-in bookings and fares mainly as a result of these two co-ordinated strikes in September,” the company said.

“We had until last week expected stronger third quarter fares to recover softer second quarter yields but over the past week, third quarter fares and customer confidence have been affected by worries about possible strikes. We are now guiding second half fares down two per cent (previously flat),” the air carrier added.

The company’s fuel bill is expected to be approximately €460m higher (previously €430m) than last year and other costs will be negatively impacted by higher EU261 care and re-accommodation costs. Our slower traffic growth in the second half will cut financial 2019 traffic to 138m (previously 139m excluding Laudamotion).

Ryanair cannot rule out further disruptions in the third quarter, which may require full-year guidance to be lowered further and may necessitate further trimming of loss-making winter capacity.

More For You

Piyush Goyal

Piyush Goyal recalled that in February, Narendra Modi and Donald Trump had instructed their trade ministers to conclude the first phase of the bilateral trade agreement (BTA) by November 2025. (Photo: Getty Images)

Getty Images

Trade talks with US moving forward positively, says Indian minister Goyal

INDIA’s commerce and industry minister Piyush Goyal on Thursday said that negotiations on the proposed trade agreement between India and the United States, which began in March, are progressing in a positive atmosphere and both sides are satisfied with the discussions.

He recalled that in February, Indian prime minister Narendra Modi and US president Donald Trump had instructed their trade ministers to conclude the first phase of the bilateral trade agreement (BTA) by November 2025.

Keep ReadingShow less
Baiju Bhatt

At 40, Bhatt is the only person of Indian origin in this group, which includes figures such as Meta’s Mark Zuckerberg. (Photo: Getty Images)

Baiju Bhatt named among youngest billionaires in US by Forbes

INDIAN-AMERICAN entrepreneur Baiju Bhatt, co-founder of the commission-free trading platform Robinhood, has been named among the 10 youngest billionaires in the United States in the 2025 Forbes 400 list.

At 40, Bhatt is the only person of Indian origin in this group, which includes figures such as Meta’s Mark Zuckerberg. Forbes estimates his net worth at around USD 6–7 billion (£4.4–5.1 billion), primarily from his roughly 6 per cent ownership in Robinhood.

Keep ReadingShow less
UK business district
The Canary Wharf business district including global financial institutions in London. (Photo: Getty Images)
Getty Images

Economy shows no growth in July amid political turbulence

UK's ECONOMY showed no growth in July, according to official data released on Friday, adding to a difficult week for prime minister Keir Starmer’s government.

The Office for National Statistics (ONS) said gross domestic product was flat in July, following a 0.4 per cent rise in June.

Keep ReadingShow less
India’s IT sector

India’s $283 billion IT industry, which contributes more than 7 per cent to the country’s GDP, has for over three decades provided services to major clients including Apple, American Express, Cisco, Citigroup, FedEx and Home Depot.

iStock

India’s IT sector faces uncertainty as US proposes 25 per cent outsourcing tax

INDIA’s IT sector is facing uncertainty as US lawmakers consider a 25 per cent tax on companies using foreign outsourcing services.

Analysts and lawyers said the proposal has led to customers delaying or re-negotiating contracts, raising concerns in India, the world’s largest outsourcing hub.

Keep ReadingShow less
Rachel Reeves

'Our economy isn't broken, but it does feel stuck,' Reeves said, speaking alongside the release of a finance ministry report on business property taxation, known as rates.

Getty Images

Reeves signals possible changes to business property taxes ahead of budget

CHANCELLOR Rachel Reeves said on Thursday she is considering changes to business property taxes to support small firms looking to expand, as part of her plans to boost growth.

Reeves’ comments come ahead of her annual budget on November 26, at a time when concerns about possible tax rises and inflation are weighing on businesses and households.

Keep ReadingShow less