Ryanair's Profit Losses and Declining Ticket Prices

Ryanair, the Irish budget airline, experienced significant profit losses in the first quarter of the fiscal year. While demand remained strong, ticket prices did not develop as expected, leading to a 46% drop in after-tax profit compared to the previous year.

Despite a 10% increase in passenger numbers, average fares dropped by 15%. This trend is expected to continue into the second quarter.

Ryanair predicts an 8% customer growth for the year, reaching 200 million passengers, assuming no further delays in the delivery of new Boeing aircraft. Other European airlines such as EasyJet, Wizz Air, and IAG also saw a decline in shares.

Ryanair faced challenges related to air traffic control issues and extreme weather. The company urges the European Commission and parliament to implement long-delayed air traffic control reform.

The main reasons for the decline in ticket prices include resistance from customers and increased competition, resulting in lower fares for the summer season.