Ryanair has declared its inaugural dividend amidst a robust rebound in the aviation industry, which is making a strong comeback from the pandemic-induced financial downturn.
The airline has recorded a substantial half-year profit, bolstered by an impressive Easter season in the first quarter, unprecedented summer passenger volumes, and increased ticket prices that have helped to mitigate the impact of soaring fuel expenses.
Passenger traffic surged by 11 percent, reaching 105 million, while the average ticket price rose by nearly 25 percent.
Nevertheless, Michael O’Leary, the CEO, cautioned that the airline’s projections for the full year are still subject to potential disruptions, citing possible unforeseen events similar to the situations in Ukraine or Gaza that could arise before the end of March.
Despite these concerns, the company is anticipating a full-year net profit ranging from €1.85 billion to €2.05 billion. This projection takes into account expected minor losses during the winter months.
The Dublin-based airline announced its first-ever dividend payout of €400 million (£347 million) following a 24 percent hike in passenger fares over the six months leading up to September, with the average ticket price reaching approximately €58 (£50).
The fare increase coincided with an 11 percent uptick in the number of passengers, which climbed to 105.4 million.
Yet, company executives have indicated concerns over the substantial increase in fuel costs and setbacks in the delivery of Boeing aircraft, which are impacting the airline negatively.
Ryanair disclosed that up to 10 of the 57 Boeing 737 Max aircraft it had anticipated receiving by next summer might be postponed until the following winter.
