Ryanair warns more strikes are likely as it downgrades profits
Shares in Ryanair opened down 8% in early Monday trading following a profits warning by the airline.
The Irish carrier said full-year profits will be 12% lower than expected, from the initial forecast of €1.25-1.35bn (£1.11-1.2bn) to between €1.1-1.2bn.
Ryanair blamed industrial action as well as higher oil prices, higher costs associated with EU flight compensation rules, and weaker fares brought in as a result of the recent strikes.
It explained forward bookings for the third quarter were down, fuelled by concern among passengers over the likelihood of more industrial action. As a result, fares have been dropped to stimulate interest.
Ryanair chief executive Michael O’Leary said: "Customer confidence, forward bookings and [third quarter] fares have been affected, most notably over the October school mid-terms and Christmas, in those five countries where unnecessary strikes have been repeated."
In a statement announcing the profit warning, Ryanair said it ‘cannot rule out further disruptions in [the third quarter], which may require full-year guidance to be lowered further and may necessitate further trimming of loss-making winter capacity’.
The airline is cutting some routes and closing its Eindhoven base in the Netherlands its Bremen base in Germany as well as making cuts to its Niederrhein base.
Lisa
Lisa joined Travel Weekly nearly 25 years ago as technology reporter and then sailed around the world for a couple of years as cruise correspondent, before becoming deputy editor. Now freelance, Lisa writes for various print and web publications, edits Corporate Traveller’s client magazine, Gateway, and works on the acclaimed Remembering Wildlife series of photography books, which raise awareness of nature’s most at-risk species and helps to fund their protection.
Vegas’s Billion-Dollar Secrets – What They Don’t Want Tourists to Know
Visit Florida’s New CEO Bryan Griffin Shares His Vision for State Tourism with Graham
Chicago’s Tourism Renaissance: Graham Interviews Kristin Reynolds of Choose Chicago
Graham Talks with Cassandra McCauley of MMGY NextFactor About the Latest Industry Research
Destination International’s Andreas Weissenborn: Research, Advocacy, and Destination Impact
Graham and Don Welsh Discuss the Success of Destinations International’s Annual Conference
Graham and CEO Andre Kiwitz on Ventura Travel’s UK Move and Recruitment for the Role
Brett Laiken and Graham Discuss Florida’s Tourism Momentum and Global Appeal
Graham and Elliot Ferguson on Positioning DC as a Cultural and Inclusive Global Destination
Graham Talks to Fraser Last About His England-to-Ireland Trek for Mental Health Awareness
Kathy Nelson Tells Graham About the Honour of Hosting the World Cup and Kansas City’s Future
Graham McKenzie on Sir Richie Richardson’s Dual Passion for Golf and His Homeland, Antigua
ADS PRO 
Phocuswright reveals the world's largest travel markets in volume in 2025
Higher departure tax and visa cost, e-arrival card: Japan unleashes the fiscal weapon against tourists
Cyclone in Sri Lanka had limited effect on tourism in contrary to media reports
Singapore to forbid entry to undesirable travelers with new no-boarding directive
Euromonitor International unveils world’s top 100 city destinations for 2025