Ryanair predicted its passenger numbers will almost double in ten years as it swung strongly into profit in the financial year just ended.
Revenues at the Irish carrier jumped 124% to €10.8bn as fares rose compared to a 75% hike in costs, a gap that helped after-tax profits to recover to €1.43bn from Covid-dominated losses of €355mln the year before.
Passengers carried in the year to end March 2023 rose by 74% to 168.6mln, with the load factor on its planes also bouncing back to 93% from 82%.
For the current year (2023-24), Ryanair said it expects to carry 185mln passengers, a 10% increase and sees a steady rise in that number from then on helped by its order for 300 new Boeing Max-10s, which has now been signed, it added.
Ryanair expects the number of passengers carried each year to reach 225mln by 2026 and 300mln by 2034.
The airline also swung to net cash of €0.56bn (from net debt of €1.43bn), which with ongoing cash flow will enable it to pay back a €750mln maturing bond in August and fund €2.6bn of capex this year, said chief executive Michael O' Leary, who added this is the peak of its new fleet investment.
O’Leary noted the airline's fuel bill will rise by €1bn in the current twelve months, while staff costs, higher crew ratios and airport charges will also have an impact.
Even so, he added he is “cautiously optimistic” revenue will grow sufficiently to cover the higher costs and profits will rise modestly.
Dublin-listed Ryanair shares rose by 2% to €15.95.