Ryanair Expects Fiscal 2020 Profit at Lower End of Guidance, Can't Give 2021 Guidance

By Anthony O. Goriainoff

Ryanair Holdings PLC said Friday that it expects profit after tax for fiscal 2020 to be at the lower end of guidance due to the coronavirus pandemic, and that it wasn't able to give any guidance for fiscal 2021.

The low-cost airline said that for the year ended March 31 it expects pre-exceptional profit after tax in the 950 million-euro to 1 billion-euro ($1.04 billion-$1.09 billion) range.

The airline said traffic in March fell by 48% to 5.7 million customers, meaning full-year traffic rose 4% to 149 million compared with the 154 million the airline said it was on track to achieve even as late as early March.

The airline said it expects its fleet to remain largely grounded for at least April and May, and expects to record ineffectiveness in its fiscal 2021 fuel hedges as an exceptional item in its fiscal 2020 results. The airline said this will amount to an exceptional charge of around EUR300 million.

"The Ryanair group of airlines will continue to focus on delivering cost savings, protecting jobs, working with EU governments to support rescue and medical flights, and preparing for the return to normal service when the Covid-19 crisis has passed," the company said.

In January the airline said it expected profit after tax for fiscal 2020 to be in the range of EUR950 million to EUR1.05 billion.

Write to Anthony O. Goriainoff at anthony.orunagoriainoff@dowjones.com

(END) Dow Jones Newswires

April 03, 2020 02:40 ET (06:40 GMT)

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