Ryanair Holdings Plc · EURONEXT:RYA
Ryanair — Q1 FY23 Earnings Presentation
18 slides from Ryanair's earnings presentation, Jul 25, 2022
Slide 1: Q1 Results - July 2022
Q1 Results - July 2022
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: 165m (pre C-19: 149m) No. 1, Cust. service CDP “B” enviro. rating No. 1 EU ESG airline – Sustainalytics Strong (BBB) bal. sheet (S&P & Fitch) Fin. strength + lowest cost = L.T. winner
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 225 airports / 90 bases 36 countries FY23: 15 new bases 770 new routes Over 500 aircraft Over 2,300 routes 225m pax by FY26
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 (i) Total 31 39 (+26%) 53 (+71%) 87 (+181%) 94 (+203%) 101 (+226%) The gap widen
Slide 5: Q1 FY23 Results
Q1 FY23 Results Jun 21 Jun 22 Guests (m) 8.1 45.5 +461% Load Factor 73% 92% +19pts Revenue €0.37bn €2.60bn +602% Op. costs €0.68bn €2.38bn +253% (i) Net (loss) / profit €(273m) €170m n/m EPS (euro cent) (24.16) 16.53 n/m (i) Excl. €18m unrealised mark-to-market net gain on jet fuel caps
Slide 6: Balance Sheet (BBB stable)
Balance Sheet (BBB stable) €’bn Mar. 22 Jun. 22 Assets 11.6 12.4 B737 fleet 92% unencum. Cash 3.6 4.6 Strong liquidity Total 15.2 17.0 Accruals 4.6 5.8 Debt 5.1 5.0 Net Debt €0.4bn (€1.5bn @ Mar. 22) S/H Funds 5.5 6.2 Total 15.2 17.0
Slide 7: Current Developments
Cur r ent Developments S.22 at 115% of peak S.19 (pre C-19) cap. (73 B737 “Gamechangers”) Pent-up demand but challenges remain (ATC & airport delays) Fuel hedging extended (80% FY23 & 30% FY24) – comp. advantage 165m pax in FY23 Recovery fragile into H2 as Ukraine & C-19 overhang sector
Slide 8: S.22 Performance & Growth
S.22 Perfor mance & Gr owth 73 “Gamechangers” in fleet for S.22 Operating 115% of S.19 cap. in S.22 Fully crewed for S.22 (kept current & early recruit) Pay restoration agreements done – subj. to recovery Unprecedented ATC & airport delays A320 leases extended to 2028 (lock-in savings &
Slide 9: Strongest Performing EU Airline Group
Strongest perfor ming EU Air line Group Source: Eurocontrol - daily flight data 01 Jul. 2022
Slide 10: Strong Hedge Position – comp. advantage
Str ong Hedge Position – comp. advantage (i) (i) (ii) Hedge Jet Swap / (bbl) Caps / (bbl) Carbon H1 FY23 80% 60% ($62) 20% ($71) H2 FY23 80% 70% ($64) 10% ($92) FY FY23 80% 65% ($63) 15% ($77) >90% (€55) H1 FY24 30% 30% ($89) H2 FY24 30% 30% ($95) FY FY24 30% 30% ($92) (i) Brent crude spot > $105bbl
Slide 11: Strong Market Share Gains
S t r o n g M a r ke t S h a r e g a i n s * No. 1 No. 2 No. 3 Share gain Italy (40%) easyJet ITA +14pts Hungary (30%) Wizz Lufthansa +13pts Austria AUA (19%) Wizz +12pts Poland (36%) LOT Wizz +11pts Ireland (56%) Aer Lingus BA +7pts Belgium (31%) Brussels A. Tui Fly +5pts UK (22%) easyJet BA +2pts
Slide 12: Accelerated growth to 225m pax p.a. by FY26
Accelerated growth to 225m pax p.a. by FY26 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 Lower apt. & 97 hand. costs 100 Lower fares 60 Traffic + profit growth 27.5 20 FY2
Slide 13: Environment update
Envir o. update 2022 “Aviation with Purpose” Report published No.1 rated EU ESG airline – Sustainalytics CO2 pax/km < pre C-19 levels – 73 “G’changers” Ambitious enviro. targets: ― SAF on 12.5% of flights by 2030 ― Improve CDP score to “A” in 2 yrs ― Net zero emissions by 2050 SBTi commitm
Slide 14: Summary
Summar y 165m pax (+11% pre C-19 levels) – L.F. active / yield passive Strong demand: Q2 fares up v. S.19 but bookings close-in Recovery fragile into H2 (Omicron, Ukraine & high oil) No PAT guidance @ this time – target modest FY23 profit Faster post-COVID growth: 225m pax p.a by FY26 St
Slide 15: Appendices
@ Appendices RYANAIR GROUP auda MALTAAIR RYANAIR “RYANAI
Slide 16: Appendix: Sustainalytics ESG rating upgraded
A ppendix: Sustainal ytics ESG rating upgraded EU airlines Risk Rating Rank Ryanair #1 23.8 (Med.) 1 Wizz 25.1 (Med.) 2 IAG 26.9 (Med.) 3 Lufth. 27.5 (Med.) 4 AFKLM 27.6 (Med.) 5 No. 1 rated EU airline easyJet 34.6 (High) 6 No. 1 rated large cap. airline Large cap. Risk Rating Rank Ryanair #1 23
Slide 17: Appendix: Environment initiatives / update
A ppendix: Envir o. initiatives / update
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