Ryanair, which is due to publish its annual results on May 17, said that it expects to announce a net loss of €800 million to €850 million for the year that ended on March 31, 2021, compared with a previously expected €850 million to €950 million.
The European Union's slow COVID-19 vaccine rollout will damage Ryanair's prospects in the coming year, Europe's biggest low-cost airline said, as it flagged the smaller than expected loss for its financial year just ended.
The airline said that it now expects its passenger traffic in the year to March 31, 2022, to be towards the lower end of its previously estimate of 80 million to 120 million people.
"Easter travel restrictions/lockdowns and a delayed traffic recovery into the peak summer '21 season, due to the slow rollout in the EU of COVID-19 vaccines, means that FY22 traffic is likely to be towards the lower end of our previously guided range," it said in a statement.
Ryanair flew 27.5 million passengers in the last 12 months, down from 149 million passengers in the year to March 31, 2020, before the pandemic had a significant impact.
The airline said that while it is too soon to make meaningful profit guidance for the new financial year, it expects to be "close to breakeven."
Goodbody Stockbrokers said in a note that it expects "some adjustment down" from its current €252 million profit forecast for the year to March 31, 2022.
Cash At The End Of March
The airline had 3.15 billion euros of cash at the end of March, down from 3.5 billion at the end of December.