(Sharecast News) – Ryanair said on Monday that it will pay its first ever dividend, as it posted a jump in first-half profit thanks to record summer traffic and higher fares.
In the six months to the end of September, profit after tax rose 59% to €2.18bn, with revenues 30% higher at €8.58bn.
The profit performance was attributed to a strong Easter in the first quarter, record summer traffic and higher fares, which offset “significantly higher” fuel costs in the half year.
Ryanair said average fares increased 24% to around €58, while customer numbers jumped 11% to 105.4m. The budget airline declared a maiden dividend of €400m, or €0.35 a share.
“Despite uncertainty over Boeing deliveries, a significantly higher full year fuel bill (up circa €1.3bn on last year), very limited Q4 visibility and the risk of weaker consumer spending over coming months, we now expect that FY24 profit after tax will finish in a range of between €1.85bn to €2.05bn, assuming modest losses over the H2 winter period,” it said.
“This guidance remains highly dependent on the absence of any unforeseen adverse events (for example such as Ukraine or Gaza) between now and the end of Mar. 2024.”
