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Jul 4 2018, 12:10 IST/BST
Ryanair (RYA) reports its Q1 results on July 23rd. We assume net income of €304m and full year estimates of €1314m (guidance: €1250-1350m). Volumes were strong in Q1 — 96% loads and 7.2% growth. Air traffic control (ATC) strikes (1,100 flight cancellations in May and June) and current potential strike action in Ireland will clearly be top of the list for investors. However, we expect underlying ancillary revenues to be strong (we assume 9% per pax for the year) and reported ancillary numbers to be even stronger in H1 (skewed by changes to IFRS 15 related to revenue from contracts with customers). Overall, we expect RYA to maintain full year guidance, which is heavily dependent on peak summer and next winter trends.