Ryanair Profit Jumps 40% as Tight Capacity Keeps Fares High

Ryanair reported record FY26 profit after tax of €2.26 billion ($2.63 billion) before exceptional items, up 40 percent from the previous year.

The airline announced the results for the financial year ended March 31. Revenue rose 11 percent to €15.54 billion ($18.11 billion), helped by stronger fares, higher passenger numbers, and steady demand for low-cost travel in Europe.

Passenger traffic increased 4 percent to 208.4 million, even though Boeing delivery delays limited Ryanair’s fleet growth. The airline said delays affected 29 Boeing 737-8200 aircraft during the year. Its load factor remained at 94 percent, indicating flights were almost as full as last year.

Higher ticket prices drove most of the growth

The biggest improvement came from fares. Ryanair said scheduled revenue increased 14 percent to €10.56 billion ($12.30 billion) after average fares rose 10 percent. That helped the airline recover from the previous year, when fares fell 7 percent and reduced earnings.

Ancillary revenue also helped. This includes paid extras such as bags, seat selection, priority boarding, and onboard purchases. Ryanair’s ancillary revenue rose 6 percent to €4.99 billion ($5.81 billion), or about €24 ($28) per passenger. Costs also increased, but unit costs rose only 1 percent before exceptional items, showing that Ryanair kept cost growth under control.

Boeing delays are still slowing expansion

Ryanair said all 210 Boeing 737 “Gamechanger” aircraft had been delivered by the end of March 2026, bringing the group fleet to 647 aircraft. These aircraft are important because they carry more passengers and use less fuel than older planes, helping Ryanair protect its low-cost model.

The next major step is the Boeing MAX-10. Ryanair said Boeing expects certification in late summer 2026, with the first 15 MAX-10 aircraft planned for delivery in spring 2027. Until those aircraft arrive, Ryanair’s growth will remain partly limited by aircraft availability.

Fuel costs are the biggest risk for FY27

Ryanair is partly protected from higher fuel prices because 80 percent of its FY27 jet fuel is hedged at about $67 per barrel through April 2027. Hedging lets airlines lock in fuel prices in advance, which can protect profits when market prices rise.

Still, fuel remains a risk. Ryanair said conflict in the Middle East and uncertainty around the Strait of Hormuz have made energy markets more volatile. The airline also expects higher environmental taxes, maintenance costs, and crew costs to put pressure on unit costs in FY27.

Ryanair expects more passengers but gives no profit forecast

Ryanair expects traffic to grow 4 percent to about 216 million passengers in FY27. However, the airline did not provide profit guidance. Ryanair's CEO, Michael O’Leary, said it was too early to make a reliable forecast because the company has limited visibility for the second half of the year and fuel prices remain uncertain.

Recently, the airline warned that the US-Iran war had pushed jet fuel prices sharply higher and could make flights more expensive across the industry. At the same time, Ryanair said it was less exposed than many competitors because it had already hedged most of its fuel needs.

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