The low-cost airline looks to continued market share in the year ahead, as consolidation and closure continues to dog the industry.
European low-cost airline Ryanair has published its third quarter financial results, and revealed a loss of €11 million over the three month period. The figure was better than expected, and dramatically lower than 12 months ago, when the airline announced losses of over €101 million.
The company also increased its full year net profit guidance to €275 million.
Ryanair’s CEO, Michael O’Leary spoke of the financial results, describing the loss as “disappointing although better than expected”.
“We are increasing market share particularly where we compete with the big three high fare flag carrier groups led by Air France, BA and Lufthansa,” O’Leary said. “Market conditions remain difficult, although the increasing pace of consolidation and closures among our competitors allied to Ryanair’s continuing fleet expansion.”
In December 2009, the company announced it was pulling out of a deal for 200 new aircraft from US aerospace company, Boeing. O’Leary clarified the situation during the third quarter statement, putting the blame squarely at the feet of Boeing. The Ryanair CEO said the US company had “regrettably insisted on changing our delivery terms and conditions which were not acceptable to Ryanair.”
“We have no plan to re-open these discussions. If there is to be any future agreement on aircraft then it will have to be on materially improved terms. We will instead proceed with our confirmed 112 aircraft deliveries up to the end of 2012 which will allow us to grow traffic to some 85 million passengers per annum.”
