The airline Ryanair suffered a net loss of 306 million euros between October and December, the third quarter of its postponed fiscal year, due to the collapse in traffic caused by the pandemic and the restrictive measures. The low cost Irish carrier expects to live the worst financial year in its 35-year history and expects an annual loss of between 850 and 950 million euros, a note reads. The airline posted a net profit of 88 million euros in the third quarter of its previous fiscal year.
Travel and passenger restrictions reduced by 78%
Like the whole industry, the group has once again suffered from travel restrictions put in place to curb the spread of the virus and its new variants. His quarterly turnover dropped by 82% to 340 million euros. The low-cost carrier carried only 8.1 million passengers, a decline of 78% in one year.
The weight of the coronavirus variants
We had hoped that things could improve in the third quarter, but in the week before Christmas, the emergence of British and South African variants led to severe restrictions, he explained Michael O’Leary, founder and CEO of the group, in a video on the website of Ryanair. The carrier believes the confinements and testing required before flying will cause traffic to plummet until Easter. It maintains its forecast of 26-30 million passengers for the 2020-2021 financial year, which ends in late March. Before the outbreak of the pandemic, the group hoped to deliver 155 million passengers this year. As a result, the current exercise will continue to be the most difficult in Ryanair’s 35-year history, according to CEO. The group expects an annual loss of between 850 and 950 million euros, while specifying that this is a prudent target.