Ryanair on track for its worst-ever yearly performance

Ryanair on track for its worst-ever yearly performance

Ryanair is one of the European airlines which feels the pandemic’s effects, as travel restrictions are more severe

Due to the restrictions imposed to curb the number of COVID-19 infections, Ryanair number of passengers fell 78% in the past three months of fiscal 2021, which led to a quarterly loss of €306 million. The figures are higher than the €300 million forecasted by the company. In the current financial year, the company expects to lose roughly €1 billion.

Ryanair announced that it would fly around 26 million to 30 million people by the end of fiscal 2021, significantly less than the 149 million reported in the previous year. It expects a high of 120 million passengers to fly by in March 2022.

Despite the significant losses, Ryanair is seen as one of the best-placed air carriers globally, as it still got strong cash balance, and it lacks long-haul and business-class.

For the future, Ryanair expects this fiscal year to be “the most challenging” in its more than three decades of existence. Its budged it is so far in line with the net loss of €850 million and €950 million. However, the company’s CEO Michael O’Leary stated that a “dramatic recovery” is in sight this summer as more and more people are getting a vaccine against COVID-19.

Since the beginning of the until the moment of writing, Ryanair stock price lost 12%.

Source: reuters.com

This information prepared by za.capex.com is not an offer or a solicitation for the purpose of purchase or sale of any financial products referred to herein or to enter into any legal relations, nor an advice or a recommendation with respect to such financial products.

This information is prepared for general circulation. It does not regard to the specific investment objectives, financial situation or the particular needs of any recipient.

You should independently evaluate each financial product and consider the suitability of such a financial product, by taking into account your specific investment objectives, financial situation or particular needs, and by consulting an independent financial adviser as needed, before dealing in any financial products mentioned in this document.

This information may not be published, circulated, reproduced or distributed in whole or in part to any other person without the Company’s prior written consent. Past performance is not always indicative of likely or future performance. Any views or opinions presented are solely those of the author and do not necessarily represent those of za.capex.com

JME Financial Services (Pty) Ltd trading as ZA.CAPEX.COM acts as intermediary between the investor and Magnasale Trading Ltd, the counterparty to the contract for difference purchased by the Investor via ZA.CAPEX.COM, authorised & regulated by the Cyprus Securities and Exchange Commission with license number 264/15. Magnasale Trading Ltd is the principal to the CFD purchased by investors.