Ryanair CEO 'Very Cautious' on Profit Forecast Amid Fare Drop
Ryanair Holdings warned it may reduce its full-year profit guidance if a drop in ticket prices accelerates.
"We’re not yet revising the guidance," Chief Executive Officer Michael O’Leary said to reporters Wednesday in London. "But we’re very cautious on the full-year guidance. If winter fares fall by more than 10 or 12 percent, we will have to review."
The carrier said last week it’s seeing fares in its core summer period fall by 9 per cent, sharper than the 6 per cent to 8 per cent dip expected at the start of the budget airline’s fiscal year.
After the comments, Ryanair shares fell as much as 2.5 per cent and were down 1.6 per cent at 11:35 a.m. in London.
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