Ryanair Holdings Plc · EURONEXT:RYA
Ryanair — Debt Investor Presentation (May 2021)
22 slides from Ryanair's debt investor presentation, May 2021
Slide 1: Ryanair May 2021
RYANAIR MORE CHOICE. LOWER FARES. GREAT CARE. May 2021
Slide 2: Cautionary Statement
Cautionar y Statement Disclaimer: This presentation has been prepared by Ryanair DAC and Ryanair Holdings plc (“Ryanair”) and comprises the written materials/slides for a presentation concerning Ryanair. By attending this presentation and/or reviewing the slides you agree to be bound by the followin
Slide 3: Credit highlights
Credit highlights Strong balance sheet (BBB) – one of the best in sector Solid liquidity: €3.15bn Mar 31, 85%+ B737 fleet unencum. (€7.3bn book value) Funding strengthens RYR financial position & facilitates post C-19 growth Low fares to drive strong volume recov. – pent up demand Lowest f
Slide 4: Europe's Lowest Cost Airline Group
Eur ope’s Lowest Cost Air line Gr oup Lowest fare/lowest cost airlines No. 1, Traffic (149m FY20) No. 1, Cust. service / OTP 96% Solid “B-” CDP (1st time) climate rating 210 x B-8200s delivs. 200m pax by FY26 Strong (BBB) balance sheet (S&P & Fitch) Fin strength + lowest cost = L.T. wi
Slide 5: Europe's No. 1 Coverage
E u r o p e ’s N o. 1 C ove r a g e 84 bases / 225 airports 37 countries New base update: - S.21: ZAG/ZAD/CFU/CHQ/RHO - W.21: RIX/BLL/ARN Over 2,100 routes 200m guests p.a. by FY26 5 5
Slide 6: Europe's Lowest Costs Wins!
Eur ope’s Lowest Costs W ins! € per pax RYA WIZ EZJ NOR E’Wings LUV Staff/efficiency 7 6 10 19 20 55 Airport & Hand. 8 11 22 19 18 9 Route Charges 5 5 5 7 7 0 Own’ship & maint. 7 14 9 28 21 17 S & M other 4 3 7 14 28 20 Total 31 39 53 87 94 101 %> Ryanair +26% +71% +181% +203% +226% (Source: Pre Cov
Slide 7: FY21 Results
FY21 Results Mar 20 Mar 21 Guests (m) 149 27.5 -81% Load Factor (%) 95 71 -24pts Revenue €8.49bn €1.64bn -81% Op. costs €7.38bn €2.48bn -66% (i) (ii) PAT / (Net Loss) €1,002m €(815m) n/m OTP 92% 96% +4pts (i) Excl. €353m hedge ineffectiveness charge (ii) Excl. €200m hedge ineffectiveness charge 7 7
Slide 8: Strong Balance Sheet (BBB)
Strong Balance Sheet (BBB) €’bn Mar 20 Mar 21 Assets 10.94 9.18 Over 85% B737 fleet debt free (€7.3bn book val.) Cash 3.81 3.15 Strong liquidity / cash preservation Total 14.75 12.33 Accruals 5.63 2.25 Debt repays next 12 months: Debt 4.21 5.43 • €850m 2014 Bond (Jun. 21) • £600m UK CCFF (Mar. 22) S
Slide 9: Current Developments
Cur r ent Developments Post C-19 pent-up demand subj. to vaccine rollout S.21 Sig. growth ops: FY22 sched. (8 new bases) Long term EU cost leadership extended & enhanced 1st “gamechanger” B737-8200 to deliver in May 21 Path to 200m guests p.a by FY26 ESG improvements – Dir. of Sustainabi
Slide 10: C-19 pent-up demand subject to vaccine rollout
C-19 pent-up demand subject to vaccine rollout C-19 uncertainty - travel restrict./lockdowns in Q1 Vaccines to replace lockdowns & testing into S.21 V. strong booking recovery since early April Matching capacity with demand in H1 FY22 PCR Doc. Wallet – upload COVID docs to App Healthy fl
Slide 11: EU cost leadership extended & enhanced
EU cost leader ship extended & enhanced FY20 per pax Cost savings initiatives: (ex fuel) • Pay deals agreed Staff/efficiency €7 • Pay cuts of 5% to 20% (restored over 3/5 years) – built in flexibility • Growth deals as B-8200s delivs. drive vol. discs. (WIP) Airport & Hand. €8 • STN, BGY, CRL low-co
Slide 12: The "Gamechanger" arrives in May
T he “Gamechanger” ar rives in May 1ST B-8200 deliv. in late May 21 Approx. 60 delivs. for peak S.22 “Gamechanger”: +4% seats, -16% fuel Envir. savings: -16% fuel / CO2 , -40% noise “Most scrutinised & audited aircraft in history” Lower cost B-8200 drives mkt share gains post C-19 Flee
Slide 13: Path to 200m guests by FY26
Path to 200m guests by FY26 Airline failures & retrench – significant EU capacity cuts Airports seek to recover traffic – growth incentives 8 new base deals post Covid Lower cost B737-8200 facilitates growth (c.600 fleet by FY26) Pent up demand + lower costs = Mkt share gains Strong BBB
Slide 14: 210 order allows growth to 200m guests p.a.
210 or der allows growth to 200m guests p.a. M 200 + 200 195 180 175 160 149 150 140 139 130 80 – 120 120 106 100 80 60 27.5 40 20 FY17 FY18 FY19 FY20 FY21 FY22E FY23E FY24E FY25E FY26E 14 14
Slide 15: Environment ("B-" CDP rating)
Envir onment (“B -” CDP r ating) Thomas Fowler – Director of Sustainability 15 15
Slide 16: Environment update (cont.)
Envir onment update (cont.) First time CDP enviro. survey (2020) - Strong “B-” climate protection score - Rated “A” for environmental corp. gov. - Committed to improving “B-” to “A” in 2 years B737-8200 order incr. (-16% CO2 , - 40% noise) Ambitious environmental targets: - CO2 per RPK 10% by
Slide 17: Social & Gov. Update
S o c i a l & G o v. U p d a t e Jobs saved through engagement - Unions agree paycuts & job furloughs - 100% pilots & 99% c/crew (restore over 5 years) Keeping people current thru. Covid Diversity – More women NEDs (40%) & managers Safety is the Group’s No. 1 priority Chair & Committees re
Slide 18: Customer Service Update
Customer Ser vice Update Improved Comms for cust. with cancelled bookings Customer focus panel launched New Online Cash form – easy access to cash refunds OTA Verification form – refunds direct from Ryanair PCR Doc. Wallet – upload COVID documentation Zero Change Fee – more flexibility 1
Slide 19: EU ownership & control post-Brexit
EU owner ship & contr ol post-Br exit Non-EU votes restricted • Effective control in the hands of EU shareholders • EU ownership protected UK nationals cannot acquire ord. shares • Long standing non-EU restriction (since 2002) • Extended to UK nationals • Non-EU purchaser => sell-down notice • N
Slide 20: FY22 Outlook
FY22 Outlook FY22 Traffic: lower end of 80m – 120m range (Q1: 5m to 6m) Significant uncertainty but rapid recent booking recov. (i) Cautiously believe FY22 outcome close to breakeven Cost cuts & cash preservation remains top priority Low fares to drive strong volume recov. – pent up demand
Slide 21: Proposed Transaction Terms & Conditions
Eur ope’s Lowest Cost Air line Gr oup Proposed Transaction Terms & Conditions Issuer Ryanair DAC Guarantor Ryanair Holdings plc Expected Rating of Notes BBB / BBB (S&P/Fitch Ratings) Ranking of Notes Senior, Unsecured Size Euro Benchmark Tenor 5 years Use of Proceeds General Corporate Purposes Listi
Slide 22: 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
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