Ryanair Holdings Plc · EURONEXT:RYA
Ryanair — Q1 FY24 Earnings Presentation
19 slides from Ryanair's earnings presentation, Jul 24, 2023
Slide 1: Q1 FY24 Results – Jul. 24
Q1 FY24 Results – Jul. 24 1
Slide 2: Europe's Lowest Cost Airline Group
Eur ope’s Lowest Cost Air line Gr oup Lowest fare/lowest cost EU airline No. 1, Traffic (183.5m) – 123% of pre-Covid No. 1, OTP & reliability No. 1 EU ESG airline – Sustainalytics 300 a/c order – growth decade to 2034 Fin. strength + lowest cost = L.T. winner 2 2
Slide 3: Europe's No. 1 Coverage & Choice
E u r o p e ’s N o. 1 C ove r a g e & C h o i c e 91 bases 228 apts, 36 countries 558 aircraft – 391 on order 3,200 daily flights 225m pax FY26 300m pax FY34 3 3
Slide 4: Europe's Lowest Costs – Gap Widens
Eur ope’s Lowest Costs – Gap W idens € per pax RYA WIZ EZJ LUV LUF IAG Staff/efficiency 7 7 13 70 45 49 Airport & Hand. 7 14 28 11 34 46 Route Charges 5 5 5 - 5 5 Own’ship & maint. 8 16 14 17 52 44 S & M other 4 5 16 28 31 21 (i) The gap widens: 31 47 (+50%) 76 (+140%) 126 (+301)% 167 (+430%) 166 (+
Slide 5: Q1 FY24 Results
Q1 FY24 Results Q1 FY23 Q1 FY24 Guests (m) 45.5 50.4 +11% Load Factor 92% 95% +3pts Revs. (€bn) €2.60 €3.65 +40% (i) Op. costs (€bn) €2.38 €2.94 +23% (i) PAT (€m) €170 €663 +290% EPS (€ cent) 16.53 58.22 +252% (i) Excl. €18m except. unrealised mark-to-market net gain on jet fuel caps 5 5
Slide 6: Ind. leading Balance Sheet
Ind. leading Balance Sheet €’bn Mar. 23 Jun. 24 Assets 11.7 11.9 530 B737 fleet debt free Cash 4.7 4.8 Strong liq. despite bonds / capex Total 16.4 16.7 Accruals 6.6 6.7 Debt 4.2 3.9 Net Cash: €0.98bn – Jun. 23 Net Cash:€0.56bn – Mar. 23 S/H Funds 5.6 6.1 Total 16.4 16.7 6 6
Slide 7: Current Developments
Cur r ent Developments Robust S.23 demand, Q2 fares modestly ahead of PY Q2 Challenges remain (ATC strikes, higher fuel, inflation & int. rates) Strong S.23 op. resilience – higher crew ratios & double ops cap. FY24 traffic 183.5m (was 185m) – Boeing deliv. delays Market share gains across
Slide 8: S.23 performance – robust demand
S.23 perfor mance – robust demand Op. 125% of pre-Covid cap. in S.23 124 G’changers in fleet by August SH intra. EU cap. @ 93% of pre C-19 (E’control) Robust demand – strong US & Asian inbound Strong Q1 fares; Q2 up but tougher PY Q2 comps Record S.23 sched. – 3,200 daily flights 88
Slide 9: Strong op. performance & growth
Strong op. perfor mance & growth Source: Eurocontrol 9 9
Slide 10: Challenges remain in FY24
Challenges remain in FY24 60 days of FR ATC strikes since 01 Jan. 1,800 flights canx. & OTP impacted 1.1m “Protect overflights” petition Heavy invest in resilience for S.23: ─ higher crew ratios – more standby May 23 – MOL delivering over 1m signatures to the European Commission in Brussels
Slide 11: Strong Mkt Share Gains Across Europe
Strong Mkt Share Gains Across Europe * No. 1 No. 2 No. 3 Share gain Italy (38%) ITA EZJ +12pts Poland (37%) Wizz LOT +12pts Hungary Wizz (28%) LUF +11pts Ireland AUA (58%) A. Lingus BA +10pts Austria Austrian (19%) Eurowings +6pts Spain (24%) Vueling Iberia +4pts UK easyJet (22%) BA +3pts Source: Ry
Slide 12: Fleet FY27 – FY34 (300 MAX-10 order)
Fleet FY27 – FY34 (300 MAX-10 order) Fleet (yr. end) 790 800 300 x MAX-10s 800 760 730 700 More seats 680 Less fuel 667 652 Lower costs 8 28 68 218 268 300 122 169 23 18 600 9 Addit. capac. for 1 airports to grow 537 28 210 210 210 Lower apt. & 210 hand. costs 98 210 210 210 400 210 Lower fares 411
Slide 13: ESG update
ESG update 2023 “Aviation with Purpose” report published ─ Reset CO2 pax/km tgt: 50g in FY31 (was 60g) ─ 1.5°C aligned Climate Transition Plan Sig. invest in fuel effic. a/c (“G’changers & MAX-10) NG retrofit scim. winglets (1.5% fuel red.) – 27 installed to date 4x SAF MOUs; Neste, OMV, Rep
Slide 14: Outlook
Outlook FY24 Traffic: 183.5m pax (was 185m) – Boeing deliv. delays Robust S.23 demand: traffic & Q2 fares modestly ahead of PY Q2 Q2 outcome reliant on close-in Aug. & Sept. fares Uncertain H2 (limited vis., tough comps. & macro concerns) Too early for PAT guidance (expect modest growth)
Slide 15: Appendices
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Slide 16: Appendix: Hedge summary
Appendix: Hedge summar y (i) (ii) Hedge Jet Swap (bbl) Cap (bbl) Opex €/$ H1 FY24 79% 74% ($89) 5% ($86) 93% ($1.08) H2 FY24 89% 77% ($90) 12% ($86) 90% ($1.08) FY24 44 83% 75% ($89) 8% ($86) 91% ($1.08) H1 FY25 40% 40% ($75) - 62% ($1.11) H2 FY25 12% 12% ($73) - 37% ($1.13) FY25 44 27% 27% ($75) -
Slide 17: Appendix: Balance Sheet Strengthens
Appendix: Balance Sheet Strengthens BBB+ (stable) invest. grade rating Strong liq. - €4.84bn @ 30 Jun. Net cash €0.98bn (PY: €0.56bn) Strong cashflow to repay bonds & fund capex: − Aug. 23 - €0.75bn bond (@1.125%) − Sep. 25 - €0.85bn bond (@2.875%) − May 26 - €1.20bn bond (@0.875%) − Capex F
Slide 18: Appendix: Best in class ESG
A ppendix: Best in class ESG Ratings: Member of: Committed to: *as at 30 June 2023 18 18
Slide 19: Disclaimer
Disclaimer Certain of the information included in this presentation is forward looking and is subject to known and unknown risks and uncertainties that could cause actual results and developments to differ materially from those expressed in or implied by such forward-looking statements. By their nat