Ryanair Holdings Plc · EURONEXT:RYA
Ryanair — Q3 FY22 Earnings Presentation
18 slides from Ryanair's earnings presentation, Feb 1, 2022
Slide 1: Q3 Results - Jan. 2022
Q3 Results - Jan. 2022
Slide 2: Europe's Lowest Cost Airline Group
Eur ope’s Lowest Cost Air line Gr oup Lowest fare/lowest cost airlines No. 1, Traffic: < 100m (149m pre C-19) No. 1, Cust. service / OTP 90% Upgraded “B” CDP rating (from “B-”) Strong (BBB) bal. sheet (S&P & Fitch) Fin. strength + lowest cost = L.T. winner 2 2
Slide 3: Europe's No. 1 Coverage
Eur op e’s No. 1 Cover a ge 90 bases / 230 airports 37 countries 15 new bases - W.21: AGA/ARN/BLL/TRN/RIX - S.22: FNC/NUE/NCL/ORK/VCE Over 2,500 routes Faster 5 year growth plan 225m guests p.a. by FY26 3 3
Slide 4: 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 5: Q3 FY22 Results
Q3 FY22 Results Q3 FY21 Q3 FY22 Guests (m) 8.1 31.1 +286% Load Factor 70% 84% +14pts Revenue €0.34bn €1.47bn +331% Op. cost €0.67bn €1.59bn +136% Net loss €(321m) €(96m) n/m 5 5
Slide 6: Q3 FY22 Balance Sheet (BBB)
Q3 FY22 Balance Sheet (BBB) €’bn Mar. 21 Dec. 21 Assets 9.2 10.1 Fleet 90% unencum. Cash 3.2 3.0 Strong liq. - £600m CCFF repaid (Oct. 21) Total 12.3 13.1 Accruals 2.3 3.1 Debt 5.4 5.1 Net Debt €2.1bn (€2.3bn at 31 Mar.) S/H Funds 4.7 4.9 Total 12.3 13.1 6 6
Slide 7: Current Developments
Cur r ent Developments Strong traffic & LF recovery in Sept. (81%), Oct. (84%), Nov. (86%) Omicron restrictions damage traffic in Dec. & into Q4 Dec. traffic 11m -> 9m, Jan. 10m -> 6m-7m Delisted from the LSE (Dec. 21) due to Brexit EU cost leadership widens Fuel well hedged with jet swa
Slide 8: EU cost leadership widens
EU cost leadership widens FY20 per pax Cost savings: (ex fuel) • Pay deals agreed & extended Staff/efficiency €7 • Pay cuts of 5% to 20% (restored over 3/5 years) – built in flexibility • Growth deals as B-8200s drive vol. discs. (WIP) • STN, BGY, CRL, MAN, EMA low-cost base deals extended to 2028-3
Slide 9: Fuel hedging update
Fuel hedging update (i) Swap Cap. (Option) Q4 FY22 (100%) $580 (60%) $750 (40%) H1 FY23 (80%) $620 (60%) $715 (20%) H2 FY23 (70%) $640 (70%) - FY22 FY23 (ii) Carbon (EUA) €24 (100%) €45 (80%) (i) Brent crude spot > $89bbl. / Jet spot $827 per met. tn. on Wed. 26 Jan. (ii) EUA spot €89 on Wed. 26 Jan
Slide 10: Growth accelerates to 225m guests p.a.
Growth accelerates to 225m guests p.a. Competitors fail / cut-back across Europe Airports offer recovery / growth incentive schemes EU Govts. stimulate recovery – vaccinations rising across EU EU slot waiver (64%|36%) extended to Oct. 22 15 new bases & more growth at existing bases (720 ne
Slide 11: Gamechangers drive faster growth to 225m p.a.
Gamechanger s drive faster growth to 225m p.a. M Subject to COVID Guests 225 210 x B737 Total “Gamechanger” 220 order 205 185 More seats Less fuel 180 Lower costs 165 149 Addit. capac. for airports to 140 restore traffic 90 - 100 Lower apt. & 100 hand. costs Lower fares 60 Traffic + profit growth 27
Slide 12: ESG update
ESG update Ambitious envir. targets: - CO2 10% by 2030 (to 60 g’s) - SAF on 12.5% flights by 2030 - Improve CDP score to “A” in 2 yrs (“B” rating - Dec. 21) - Net neutral 2050 6,000 new jobs over next 5 years Invest in people & training (€50m DUB centre) - 8 new CAE full flight Sims (1st del
Slide 13: Summary
Summar y FY22 Traffic: just under 100m Recovery disrupted by Omicron in Dec. & Jan. (i) Guide FY22 loss between €250m & €450m Low fares drive recovery (LF. act. / yield pass.) Faster post-COVID growth: 225m pax p.a. by FY26 Strong BBB balance sheet = fleet & market gains Fin strength +
Slide 14: Appendices
@RYANAIR MORE CHOICE.LOWFARES.GREATCARE. 4@eCPMMS
Slide 15: Appendix: 2022 Customer Programme
Appendix: 2022 Customer Programme ➢ New Customer Advisory panel Customer panel ➢ Met DUB (Sept 21) & MAD (Spring 22) ➢ Inputs & approves 2022 customer programme ➢ Real-time updates on airport & gate info. App Assistant (Day of Travel) ➢ Live flight status & boarding updates ➢ Live Ops Centre vid
Slide 16: Appendix: CDP ratings
Appendix: CDP ratings 2019 2020 2021 N/R B- B N/R C B B B B- N/R N/R C C B- C S/west C B D Source: CDP N/R = Not rated 16 16
Slide 17: Appendix: Ryanair & The Environment
A ppendix: Ryanair & T he Envir onment Thomas Fowler – Director of Sustainability 17 17
Slide 18: 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