Ryanair profits slashed by 50%!!!

Low-cost airline Ryanair saw its profits fall 47%, despite swelling passenger numbers, and warned it could make a loss in the second half as consumers tightened their belts. This is great news for the many disgruntled passengers who’ve been shafted by them and who now use reputable airlines.

Chief executive Michael O’Leary, delivering the airline’s half year results for the six months to the end of September, said his firm’s adjusted profit after tax had fallen 47% against a background of ‘record oil prices’.

As a result, half year profit came in at €214.6 million, compared to €407.6 million in the first half of 2007, while basic earnings per share fell 46% to 14.44 Euro cents.

Profits were impacted by the record rise in oil seen during 2008, when Brent crude peaked at $147 a barrel, and O’Leary noted fuel costs were up 101% to €788.5 million.

Putting the rise in fuel costs aside, Ryanair grew passenger numbers by 19% to 32 million, while reducing fares by 4% to an average of €47. It also grew revenues by 16% to €1.8 billion.

O’Leary said that achieving the profit that it did was ‘testimony to the strength of the Ryanair lowest fare model.’

Looking ahead, O’Leary reiterated that the recession would continue to drive down oil prices and fares this winter, but he remained upbeat that the group’s traffic would grow by 9% this winter, and by 14% in the full year, with the company servicing 58 million passengers.

However, he also warned that the group believed ‘average fares in the second half will fall by between 15%-20%, leading to losses in the 3rd and 4th quarters.’


9 thoughts on “Ryanair profits slashed by 50%!!!

  1. Ryanair ruined our Christmas

    Well, how’s this for a sob-story. My family and I now live in Italy. We can’t afford to go back to the UK that often, so when Ryanair had a flight ‘sale’, we thought we’d take advantage. Our ‘€10’ flights ended up costing €200, but that was still pretty cheap, so we booked.

    Or so we thought.

    Got my online confirmation number when I booked and printed it out ready to take to the airport with us. That was 4 weeks ago.

    We’d arranged a huge family reunion in London, sisters, cousins etc…we were going to take the kids to Hamleys and to see the Christmas lights and let the young cousins all play together for the first time ever. Had it all planned.

    And yesterday, I tried to log into my flight to add an extra bag (too many Christmas presents to carry over). Only, there’s no booking. Nothing. So I spend €1.50 PER MNUNTE waiting 20 minutes on their customer service line, only to be told that when I’d made the booking there had been some problem with my credit card, so they’d cancelled the booking. Had they phoned me, or emailed me to let me know there was a problem? Not a chance.

    I wonder, did anyone actually manage to buy these ‘cheap’ flights or is this a tactic they use to reduce the number of cheap seats they sell? If I hadn’t tried to add an extra bag yesterday, we’d have turned up at the airport on Thursday with two young kids and found out we weren’t going. And of course, the flights are now €900!

    Ryanair has ruined our Christmas. I hate them (almost as much as they seem to hate their customers), and I’d rather spend twice the amount next time to go with someone else. They don’t deserve to be in business.

  2. We all know Ryanair doesn’t give two hoots about any of its customers. I had first hand experience this morning.

    On the paperwork it advises Ryanair check in desks open 2 hours before the flight and shut promptly 40 minutes before. Remember that, I’ll come back to it later.

    I was booked on the 6.20am flight to Dublin FR901 from Stansted. This means the check in should have closed only at 5.40am.

    I arrived at 5.00am at the check in desk 146 zone J as instructed by the airport TV system. I stood in the line for about 5 minutes, but was then told to use the remote self serve check in kiosk.

    I went through a few screens on the kiosk only for it to advise me I had to pay £8.00 for the privilege of using the touch screen system. I joined the queue at the ticketing desk of about 10 other equally miffed Ryanair flyers.

    When I got to the desk my card didn’t work so I needed to get cash. I was sent by ‘Fab’ at the ticketing desk (who incidentally proved to be useless, arrogant, condescending and rude, so for the rest of this letter, we’ll just call her “Useless”) to the ATM, got cash then rejoined the back of the queue.

    After another 5 minutes in the line, where 2 more people jumped the line to pay by entering through the exit barrier yet were still seen first by the 3 desk clerks over those in the queue, I met Useless again who took my money & gave me a hand written receipt. Like those they gave when everything was black & white.

    I went back to the self service kiosk which then advised me it was now too late to use it and I had to go back to the check-in desk I had originally started at. It was now 5.35am – still 5 minutes before advertised closing.

    I went back to desk 149 as directed where about 5 people were ahead of me in the line. A Ryanair lady advisor was calling for the Cork flight, I was then moved into the line for desk 150. 2 people ahead of me in the line, but just as I got there another Ryanair official with 2 Dublin flyers pushed ahead of me in the line to get them onto their flight.

    It was now 5.40am when I gave my passport & details to the lady on desk 150 who then advised me the flight had shut 20 minutes ago & hurriedly called another Ryanair lady over.

    The check in clerk was in a stress saying to the other lady she ‘couldn’t get Rachel on the radio’. Rachel apparently was the one who needed to know I could make the flight.

    The lady who’d been called over returned 5 minutes later advising the flight had shut. She directed me back to the ticketing desk where after another 5 minute wait I again met Useless who advised me she could not refund the £8 I had just paid to her in cash less than half hour before. She also advised I could write to Ryanair for a refund of taxes but not the fare.

    She then decided to start to lecture me on how I should have been there ‘on time’. Who the hell is this woman? I was there. Her level of service was the worst I have ever seen or heard. I work in retail so I hear bad service everyday. At this point I asked for her name which she advised ‘Fab’, but refused to give me any further details. I noted her name at 5.45am – she gave me the time. Remember I had stood in the line for a few minutes to get back to the desk again.

    I think it is disgusting how Ryanair can mess customers around so much then shut the flight early then have an advisor – Useless – take it upon herself to lecture the customer that they should have turned up earlier!

    As I mentioned on the paperwork it states the desk shuts 40 minutes before. I was there 40 minutes before that, actually in the line from which I was taken then messed about. I was there for the flight. On time. It is their staff who created the series of events that caused me to not be on the flight.

    So. Ryanair can refund my £8 check in fee, all the charges and taxes £42.62 plus the fare of £10.98 as well to my credit card I paid with. And what the hell is ‘passenger fee’ of £8?????

    Just be honest about the charges and we will all be happy. Now I have got up really early for nothing and am unable to attend a meeting in Cork. If I had stayed in the original line I would have been checked in the normal way by a check in clerk in way enough time. If you had a sensible check in procedure like every other airline I wouldn’t have to bother writing this letter and one less person would know that ‘Fab’ is probably annoying every customer with her stinking attitude.

    Well done, .’Ryanscare’.

  3. I’ve been trying to arrange a stag do for a groom in Riga Latvia. As he has a few friends in Liverpool and Glasgow, it has been hard to arrange a stag do where people can go on the same dates.

    Enter Ryanair…I priced tickets based on non-sales prices, went away fed the information to all concerned and agreed a date.

    Now the scumbags at Ryanair must be tracking my cookies and automatically logging my demand because everytime I go back the price increases. Funnily enough the weeks before and after – the price is a lot more reasonable. There is no doubt in my mind that they must track interest then swell the price the more interest is generating in one location.

  4. FANTASTIC! Ryanair is losing money :-)

    In the short and long term this is great news. Short term because they will have less money, in the long term because they will implement one crazy and customer hostile fee after the other resulting in even more customers hating Ryanair.

    Ryanair has always said 1 piece hand luggage per person but now (according to the BBC) they will have a strict 1 piece hand luggage and charge 40 euro at the boarding. Customers will have to fit everything (normal hand luggage, duty free etc.) into the approved size hand luggage.

    I can hardly wait for the day when Ryanair starts to really suffer. No company should profit from treating customers as they do.

  5. Fares may fall, but I’m sure they’ll find some other way to shaft us while booking!.


    Ryanair Hater_#9987003

  6. Good – good riddance to bad rubbish. The sooner they go they better.

    As I have previously suggested – we have to put our money where our mouth is and NOT travel with Ryanair but if you, like me have some residual issues make sure that the AUC gets to hear about them. Their email address is: [email protected] or send a letter to:
    Air Transport Users Council
    CAA House
    45-59 Kingsway
    WC2B 6TE

  7. I found your topic “I Hate Ryanair » Blog Archive » Ryanair profits slashed by 50%!!!” when i was searching for cheap flight fares and it is really intresting for me. If its OK for you i would like to translate your topic and post it on my german blog about cheap flight fares. I link back to your topic of course!

  8. Why is Ryanair so devious ? That company and their bosses feel they have the power to do what they like! Well the sooner people boycott them and their shoddy service the better!

    3 times I have flown with them with my family and all of those times they managed to take more money from their dogdy scams that puts you in a position so you have no choice !

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